When it comes to network programming ranging from scripted and unscripted shows to segments on morning shows across Spanish-language and total market television, product placement has been a popular way to get a brand message across without a commercial.
In 2023, total spending rose year-over-year. But, the growth rate slowed from 2022, fresh data from PQ Media show.
In the U.S., which accounted for 56.2% of the global market for product placement in all media, total spending rose 11.9% in 2023 to $16.54 billion.
That’s a notable deceleration from the 15.1% growth posted in 2022, PQ Media notes in its Global Product Placement Forecast 2024-2028 report.
There’s a key reason, however. Concurrent writer and actor strikes led to production studios shutting down for months in the U.S., causing delays in domestic and international content releases that featured U.S.-based actors and/or writers. In broadcast
TV, for example, the annual new episode premiums of programs with product placements for the 2023-24 season were limited to reality shows during the important September-to-November time period, such as “The Golden Bachelor.”
On a national level, five of the six media platforms grew at double-digit rates, with print media being the exception.
Of course, digital media grew the fastest at 15.1%, fueled, in part, by the growth of artificial intelligence (AI) placement opportunities from media companies like Amazon Prime Video and NBCUniversal’s Peacock.
AI placements differ slightly from virtual brand integrations, like those placed via companies like Mirriad, as AI software allows viewers to click on integrated products and be sent to an e-commerce site to purchase the product. However, most brands are still hesitant to use the new AI tech because many of the product placements are cameos (appearing in the background), rather than brand integrations in which the actors hold the products towards the camera and/or discuss them favorably in the dialogue. There are also copyright issues if the original producers of the content are not contacted in advance for
permission to use an AI placement.
Product placement in TV remains, by far, the largest media platform category worldwide, valued at $20.62 billion in 2023. The hottest streaming TV series are driving the double-digit growth in product placement in the overall TV category, such as the 106 products placed in “The Brothers Sun” on Netflix.
While the U.S. accounted for well over half of product placement spend in 2023, the rest of the world is gaining ground, with Brazil and Mexico both exceeding $2 billion in spending, Australia investing over $1 billion, and Germany and the United Kingdom approaching $1 billion.
