The ever changing world of media and entertainment has created more opportunities then ever before. The relationship between consumers, brands and the media they use is changing. Fueled by the flood of new technology in the form of personal video recorders (PVR), such as TiVo, and video-on-demand (VOD) services – as well as the enormous popularity of current premium network properties like “CSI Miami” and “Entourage,” and standard setting reality Television series such as “American Idol” and “Survivor” -- the traditional television advertising model will inevitably fail to deliver the traditional audience figures; thus forcing marketers to find new innovative ways of leveraging the medium.

According to The Wall Street Journal’s Suzanne Vranica, “the (Forrester) survey is likely to increase the pressure on Madison Avenue to explore alternative forms of TV advertising such as product placement, sponsorship and content creation.” The growth of product placement activity in both diversity and revenue volume is increasing proportionately as the many distribution platforms expand their impact on media content.

PQ Media reported, “the outlook for branded entertainment marketing through 2012 is for double-digit growth overall, despite slower economic expansion in the period. The sector is projected to grow at a 12.8% Compound Annual Growth Rate from 2007 to 2012, exceeding $40 billion.”
The movie “Transformers” created a partnership with General Motors where four cars were actually characters in the film. In the first half of 2008 GM spent approximately under 104 million dollars for their presence on national cable TV.

Another example of brand integration is the huge hit film, "Hangover", which partnered with a strong cast of brand placement partnerships such as: Aquafina, Baldwin, Boost Mobile, Cadillac, Caesars Palace, Cirque du Soleil, Coca-Cola, DNX, Fiji, Hard Rock Cafe, Jägermeister, Krispy Creme, Lay's, Mercedes, MGM Grand, Monster Energy Drink, Rogaine, Roots, Taser, and The Trump Plaza.

Additionally, the "X-Men Origins: Wolverine" had a variety of brand partners, which included Budweiser, Caterpillar, Chevrolet, Ford, and GMC.


The changing advertising dynamic will benefit content providers in a number of ways. Product placement offsets production costs and, in some cases, carries the benefit of millions of dollars of added promotion and advertising. Sponsorship of VOD programming as well as online activity, mobile phones and video games represents significant revenue and new audiences. Content creation provides a powerful format in which to deliver highly targeted messages to captive viewers.