Product placement in films is widespread, however in British TV programmes, shows have long had to make up fictional products such as made up beer brands in Coronation Street however from this week you could see a plethora of more familiar beers lining the bar in the Rovers Return as a decision has been made to allow commercial broadcasters to show sponsored products for the first time.
The decision represents a major U-turn by the government, and a senior Whitehall source said: “the climate has changed and we are ready to allow product placement in certain circumstances.”
The ban lift will only apply to commercial broadcasters with the BBC still banned and the ban will also remain in force for all children’s programmes across the networks.
So what does this mean for the advertising industry as we know it?
It will throw a lifeline to struggling ITV and other independent broadcasters who would be able to boost their advertising revenues.
Media analysts estimate this could inject around £72 million into British independent television in the short term.
The move could lead to celebrity chefs promoting supermarket products in their cooking programmes and soft drinks manufacturers placing their beverages in television talent shows.
Also had this move been announced earlier could there have been a different future for Big Brother for example? With new ruling, BB would offer a raft of opportunities for advertisers to place their products and could have rescued the failing programme. Instead of gaffer tape covered Lucozade bottles (which everyone knew was Lucozade really), GSK could have paid to have their famous soft drink appear on the show which targets many of their consumers.
This opens up yet another revenue stream for PR’s and advertisers, and with the wonder of Sky meaning consumers can fast forward through the traditional ATL, this offers brands another way to reach its chosen audience.