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Share-Save-Spend: Let’s Build A Dam On Madison Avenue

POSTED: 11:50 am EST January 31, 2005
UPDATED: 2:32 pm EST January 31, 2005

If you’ve ever been to or seen pictures of Hoover Dam, then you know it is quite an engineering feat. The project, which took five years to complete (1931-1935), stands 725 feet tall and cost more than $50 million.

The goal of the project was to stop the continual flooding of the Colorado River into the Imperial Valley in Nevada.

Today I want to advocate for the building of a metaphorical Hoover Dam -- on Madison Avenue. The goal: eliminate the flood of product placement that is now embedded into dozens of television programs and movies.

No matter what program or movie you view today, it appears that consumer products -- from hamburgers to credit cards -- now have a starring role.

Take the reality show "The Apprentice." It is the poster child for product placement television. The show is built around the premise that contestants create promotional plans to hawk various products. In one of the recent episodes, the winning team created a new sandwich for Burger King. The next day, the product appeared in 7,800 of their restaurants around the country.

According to a recent New York Times article, the goal of brands like Burger King in affiliating with "The Apprentice," is to stimulate product sales especially with younger demographic groups who often ignore or overlook traditional pitches like commercials. "Commercializing this in almost 8,000 restaurants was attractive to us from the outset," said Russ Klein, chief marketing officer of Burger King. “Our first reaction was that it would be an opportunity to create a 360-degree event as viewers see this unfold overnight from their living rooms to the Burger Kings near them," Klein said.

The psychologist Pavlov discovered that ringing a bell before dispensing a treat to a dog eventually trains the dog to salivate profusely when the bell rings. You might find this hard to believe, but I suspect someone at Burger King has done their homework on Professor Pavlov.

There was a time when product placement wasn’t the norm. Today, virtually every media outlet in America is about one thing -- generating a consumer transaction regardless of a person’s age. And since children are so impressionable, companies will continue to spend billions of dollars in search of the most effective way to shape their financial habits and product preferences.

Bring on the dam!

According to a Yankelovich survey, eight in 10 parents make it their business to know exactly what TV programs their children watch. That’s an encouraging sign, but what about commercials -- especially the commercials that take the form of a product placement inside a show?

Invest some quality time to teach your child why companies strategically place products in shows. The earlier they understand what is going on the more successful they will be at avoiding the clever product pitches.

After you have done that, you may want to consider the best option – turning off the TV.

What programs or movies incorporate product placement into their story lines?

It shouldn’t take you too long to create a list. By raising questions about product placement, you are building long-term awareness of a popular advertising technique. A little knowledge can go a long way toward building healthy financial habits.

This question is designed to build on the Share-Save-Spend tip for the week and can be used as a springboard for additional conversations with family and friends.

In addition to Burger King, other major brands sponsoring the third season of "The Apprentice" include Dove Body Wash, Sony PlayStation, Verizon Wireless and Visa. Each is paying an estimated $2 million to $2.5 million to be incorporated into the plot lines of each episode. Source: New York Times (Jan. 21, 2005)


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