Product Placement: The Present & The Future
- 1. IBC Annual Advertising & Marketing Law Conference 2012 London, UK, April 2012 Product Placement: The Present & Future Richard Graham Partner, Edwards Wildman 24 April 2012 © 2012 Edwards Wildman Palmer LLP & Edwards Wildman Palmer UK LLP
- 2. Summary ♦ Introduction ♦ Product Placement versus Prop Placement ♦ The Emerging Commercial Deals ♦ The Issues ♦ Contracting for Product Placement ♦ The Future 2
- 3. Introduction ♦ Product Placement Back to the Future 2, 1989 Wayne's World, 1992 Cast Away, 2000 Back This Morning, 2011 Style the Nation, 2011 Coronation Street, 2011 3
- 4. Introduction ♦ The Greatest Product Placement Ever Sold 4
- 5. Introduction ♦ Definition: Commercial References in Television Programming Audiovisual Media Communications Services Directive ♦ ♦ Editorial Editorial Act 2003 Independence Independence ♦ ♦ Distinction Distinction ♦ ♦ Transparency Transparency ♦ ♦ Consumer Consumer Protection Protection ♦ ♦ Unsuitable Unsuitable Consumer European Sponsorship Sponsorship Protection From Convention on Unfair Trading Human Rights Regulations 2008 5
- 6. Introduction ♦ Allowed in UK since 28 February 2011 ♦ General ♦ Independent editorial control ♦ Editorial content distinct ♦ Prohibition of surreptitious advertising ♦ Prohibition of promoted products ♦ No undue prominence ♦ Specific ♦ What programmes? ♦ What products? ♦ Where? ♦ How? 6
- 7. Introduction Is it within the permitted exception of programmes? No (i.e. films, sports, series, light entertainment) (Rule 9.6) Yes Product Is it within the exception to the permitted exceptions of Yes Placement programmes? (i.e. news or children) (Rule 9.7) Prohibited No Any product General Was programme produced under UK jurisdiction? placement Prohibition (excluding those produced for cinema) must be on Product Yes edited out or Placement No obscured/ (Rule 9.6) Is the programme religious, current Yes affairs or consumer? (Rule 9.12) blurred No No •Editorial Independence •No alcohol, HFSS, gambling, infant milk, medicinal, cigarette products, •Non Promotional banned products (Rule 9.13) •No Undue Prominence •No Cigarettes, Tobacco Is the programme produced or or Prescription Medicine commissioned by a Ofcom- Yes regulated broadcaster? (Rule (Rules 9.8-9.11) 9.14) 7
- 8. Product Placement versus Prop Placement Product Placement Prop Placement • Programme • Programme • Product, service or trade mark • Product, service or trade mark • Commercial or Non- • No Significant Value / Residual Commercial Purpose Value • Consideration Received • No Consideration • Provider (ex. Costs saved by inclusion) or Connected Person • Placement Agencies Benefit • Channels/Studios Benefit
- 9. The Emerging Commercial Deals Sky 1 Channel 4 ITV (A League Of (Hollyoaks) (This Morning) Their Own) - Innovative? -Dolce Gusto -Kinect Sports - Market- - £100,000 - Existing Xbox defining? - 3 Months Sponsorship UKTV Channel 5 (Find My Past) (Big Brother) -Product -Product Placement Placement - AFP - Other 9
- 10. The Issues Definitional Issues Unfairness Sophisticated With Free Prop Exportable Market Content Financial Product Consumer Drivers Placement Drivers in the UK No Case US / Aus Histories or Different Research on Markets ROI Consumer Perception 10
- 11. Contracting for Product Placement ♦ Effective Negotiation Placement Obligations Frequency, Commission Prominence, (based on…) Reference Exclusivity / Retainer Non-Compete The Product Placement Agreement Changes in Prohibited Law Acts Editorial Force Control / Majeure Consultation Control of Trade Mark 11
- 12. The Future ♦ Virtual Product Placement ♦ Negative Placement? (Hangover II) ♦ Market Acceptance ♦ Associated Strategies ♦ Dual Screen Campaigns / Click-Through Response ♦ Social Media (the Twitter/OFT problem) ♦ Sponsorship / Advertiser Funded Programming ♦ Off-screen Promotional Advertising ♦ Viral Marketing (e.g. YouTube) ♦ International Distribution 12
- 13. Questions 13
- 14. Thank you Richard Graham Partner Edwards Wildman Dashwood 69 Old Broad Street London EC2M 1QS +44 (0) 20 7556 4418 (Direct) +44 (0) 20 7583 4055 (Office) [email protected] www.edwardswildman.com 14