Gladys Santiago

Diminishing Returns: When Product Placements Compete with Hulu’s Banner Ads

Posted in Advertising, Product Placements, Television by Gladys Santiago on January 17, 2010

Toyota vs. Chevrolet - Hulu

The above image features a scene from ABC’s Modern Family where Mitchell returns home with his adopted daughter, Lily.  Although, Modern Family, much like many other scripted ABC programs, relies heavily on product displacement, the Toyota logo on the back of Mitchell’s car lingers for a few seconds while a Chevy Malibu banner ad is displayed on screen. I don’t remember if a 30-second spot for Chevrolet ran as I watched the episode, but based on my Hulu experience, I’m pretty sure one did. I tend to watch shows in “fullscreen mode,” but naturally minimize my screen to the normal web view for a number of reasons. I would be interested in knowing what percentage of Hulu users watch shows in fullscreen or toggle between various views.

Regardless of my curiosity, I find it interesting that two competing car companies would appear simultaneously on the same screen. I’m not sure if the Toyota occurrence was a paid-for placement, but regardless, the logo is visible and probably decreases brand recall and awareness of the Chevy Malibu ad. Typically, during TV ad purchases, advertisers and networks go through great lengths to ensure that ads do not air during programs that feature heavy integrations of a rival brand. For example, you’re never going to see a commercial for Pepsi during Fox’s Coca-Cola-inundated American Idol. Including ads for competing companies within the same, program, commercial pod, scene or frame cannibalizes viewer attention and blurs brand messages.

While Hulu is primarily a video content hub, the company should begin encoding its content with information that might prove useful to advertisers. Annotating or tagging segments/scenes that contain brand names or logos can help determine which “program moments” deliver better ad performance. Pairing a Chevy Malibu banner ad with a scene that features a Toyota vehicle used by principle characters is just a bad idea. To me, Hulu is rich in data. I absolutely love the Captions Search feature and know that the data it generates will likely make Hulu more appealing to advertisers. I see the annotating/pinpointing of product integrations working on a backend level and possibly even being provided by the content owners themselves (ABC, NBC, Fox…). If a brand is integrated into a television show, it makes sense for that same brand to be integrated into a viewer’s Hulu experience as they enjoy their content.

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One Response

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  1. Jay said, on July 12, 2010 at 8:31 am

    sometimes the ad companies Hulu and abc work with, compete. i dont need this s***. thats y i watch shows illegally online just like most every1 else. no DVDrs, no ads. just watching within an hour


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