Should Product Placement in films and other media be controlled? Essay Example

popular after its successful incorporation in the movie E.T., which led to a notable rise in sales of Reese's Pieces. Prior to this decade, the industry lacked organization and practices were inconsistent. However, since the early 1980s, both the product placement industry and its parent public relations industry have gained significant influence in commerce, economy, and politics. The following excerpt sheds light on the scale of the product placement industry:

According to Karrh (2007, p.140), BMW invested approximately $20 million on the marketing campaign for the launch of the Z3 roadster. This campaign included prominent exposure in the James Bond film Golden Eye, as well as in the film's trailers and TV ads. In Spielberg's Minority Report, there were interactive advertising billboards promoting placement sponsors like Mokie and Lexus, who paid around $5 million to $7 million each. Nowadays, marketers are becoming more aggressive in seeking significant roles for their brands in feature films.

The influence of a larger industry on public opinion, consumer behavior, and consumption patterns highlights the importance of examining the fairness and ethics of its practices. This can be achieved by studying the regulatory framework and factors affecting regulations. In the entertainment industry, placement agencies and content producers play key roles in decision making. To gain insight into this industry, James Karrh conducted a survey in 2007 focusing on ERMA (Entertainment Resources and Marketing Association). The survey sheds light on the current state of the industry and provides future expectations. One crucial topic is the blending of informative and persuasive content, where regulations are necessary to prevent deception when "persuasion/propaganda" disguises itself as "information." Extensive research is warranted due to the significant implications

of this phenomenon. Research on product placement has also expanded to incorporate various perspectives like cognitive response, attitudinal formation, and involvement (Moorman et al., 2005, p.50), which helps develop effective methods for regulating and managing product placement.

Content with the potential to reach a wide audience, such as movies, is an appealing medium for promoting brands. The success of the product-placement industry can be attributed to its adoption of an "integrated marketing communication" approach, as described by an industry analyst.

According to Karrh et al. (2007), the effects of product placements and other integrated marketing strategies can be understood as a "consumption constellation". In this constellation, products, brands, or activities form symbolic connections that represent or fulfill social roles for audience members. These audience members may use or avoid these products as a way to gain social status or avoid being stigmatized (p.138).

Advertising agencies were highly interested in this synergy, making it an appealing proposition. Both the industry members and their sponsors were motivated to maintain these lucrative opportunities, which is why regulations often fail to produce desired outcomes, especially in the United States. Moreover, while some bills get approved by Congress, many others never make it past the initial stages (Katz, 1993, p.76).