Product Placement Works

A study conducted by ABC and OMD and presented at the Advertising Research Foundation’s WAM conference in Montreal last month, followed the reactions of 600 viewers ages 18-49 during ABC’s coverage of the American Music Awards in November 2004. The study gauged their reactions to both branded entertainment and traditional advertising during the show. Results:

• 34 percent lift in brand awareness among those exposed to both traditional advertising and branded entertainment during the show
• Viewers exposed to both integration and advertising most likely to say they planned to go out and buy products showcased.

This tells us that traditional advertising is still an effective medium to generate impressions, but if you want it to increase sales, then one needs to coordinate their media buy with product integration.