As the price of advertising on television has increased, companies and their advertising agencies have been looking for more cost productive ways of marketing. A major way of tackling this issue is through the use of product placement in movies and television. With every new movie release or every new episode of a sitcom, it becomes more and more apparent that advertisers are going to stick with this medium as an effective advertising device. Watching TV or movies as recent as ten years ago, the products you saw were very generic in nature and brand names were rarely seen. But the days of seeing a soft drink can labeled simply "Cola" in the refrigerator on your favorite show are a thing of the past as a new wave of advertising has emerged.

In the world of television, one of the most dreadful words to advertisers is "zapping." The term zapping came about with the invention of the remote control. It denotes the quick reaction by a viewer to change the channel at the sight of a commercial. When viewers would have to leave the comfort of their chair or sofa just to switch stations, advertisers often had a "captured" audience. Companies are finding that the conventional w

While joint promotions are a good trade out, most of the products seen on the TV screen are still paid for by monetary means. This type of placement is typically taken care of by product-placement agencies instead of the companies themselves. In an agreement such as this the corporate clients, pay an annual fee for an agreed amount of payments. The fees can be "as little as $20,000 and rarely $100,000" (Gunther). In prime time placement, there is sometimes a cash/barter agreement as well. Reserved for use in very top rating shows, companies will pay a small amount of money and also have some type of trade out to pay for the placement of their product.

Gunther, Marc. "Now Starring in Party of Five--Dr Pepper: IS THIS SPIN CITY OR THE HOME SHOPPING NETWORK?" Fortune 17 April 2000. Infortrac

Buss, Dale D. "Making Your Mark In Movies And TV" Nation's Business December 1998: 28.

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ay of advertising is too costly to have their commercials skipped by just the touch of a button. So by innovative marketing techniques, companies have placed their product directly in the heart of your favorite television programs. Whether sponsoring the show or just having a brief appearance, they have definitely made their mark.

Even if product placement does raise questions about its effects on the different forms of entertainment consumers enjoy, advertisers know that it is going to get seen, and that's their primary objective, to get their product seen by as many people as possible. Which brings up yet another benefit that product placement brings to its advertisers. In order to air conventional commercials, advertisers have to pay for each time slot that their commercials run. With product placement, advertisers either pay or a trade out agreement is made one time. In return, every rerun of a show or any time a movie is watched, the company basically receives fre

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