Product placement in American Idol
Get ready for product placement on your TV screens as it has been announced that this is to be allowed on British television for the first time.
Television companys have notably been struggling of late with the recession hitting advertising revenue hard with results being seen in cut backs and pay cuts for some of televisions biggest stars.
This shift in the advertising rules will only apply to commercial broadcasters. An ITV spokesman said: "If the Government does decide to permit product placement, it will be warmly welcomed by the commercial broadcasting industry and advertisers alike."
So what is product placement?
Product placement is a marketing tool whereby products are 'placed' in films and TV shows. The audience will notice the product brands in TV shows as brands will just happen to be there on screen. This could see regulars at the Rovers Return asking for a pint of Carling instead of 'the usual'.
This form of advertising is well established in the United States where it has reportedly grown into a $1.87bn (£1.06bn) industry. Popular US imports, such as American Idol and Desperate Housewives, regularly include products that companies have paid to feature.
Ofcom thinks the British product placement market could be worth between £25m and £30m within five years. Under the proposed new rules, product placement would be allowed as long as an announcement was made at the start of the programme. It would be banned from children's shows, news bulletins and documentaries. Tobacco and prescription drugs would not be allowed.
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