Branded entertainment initiatives increasingly important to marketers

Branded entertainment is more than product placement - it is a fully integrated means of linking a product within an entertainment source. The top three reasons why client-side marketers are finding it beneficial are:

• The ability to make a stronger emotional connection with the consumer (78%)
  
• The ability to align their brand with relevant content (75%)
  
• The ability to build brand affinity with a desired target group or demographic (73%)

The most popular forms of branded entertainment being used include commercial TV, the Internet and sporting events / venues. Among these the number of client-side marketers involved with Internet films has doubled since 2006 (from 15% to 31%), while companies involved in other Internet branded entertainment projects jumped from 28% to 55% over the same time period. The use of commercial TV is trending downward, having decreased in popularity by 10% since 2006, the last time this survey was fielded. Branded entertainment projects at sporting events / venues grew by 20% in the same five years.

Many opportunities

Though branded entertainment provides many opportunities, client-side marketers indicated that they are not satisfied with the quality of research available to measure its effectiveness in both 2006 and 2011 (64% and 65%, respectively). While 83% of today's marketers' companies are measuring the impact of their branded entertainment integrations, 63% find it challenging to do so. In the 2006 survey, the same percentage (63%) indicated that it was a challenge to measure branded entertainment activities. This shows that while firms are spending more on branded entertainment, dissatisfaction with research remains high.

"Branded entertainment done well is an effective means to build deeper bonds with consumers, but the ROI of these projects needs to be made evident," said Bob Liodice, president and CEO, ANA. "Many companies are taking advantage of branded entertainment opportunities, and it is up to the internal researchers, media providers and agencies to better measure branded entertainment integrations."

Respondents from companies that do not engage in branded entertainment cited reasons for not getting involved, including:

• Cost (43%)
  
• Lack of measurable results (37%)
  
• Brand does not lend itself to meaningful integration (34%)
  
• Lack of internal resources (31%)

This survey was conducted online by the ANA during April and May of 2011. It focused on several areas of branded entertainment initiatives, including measurement, funding, and management. This is the third time the ANA has fielded a survey on this topic, and respondents include those on the ANA's Survey Research Panel as well as members of the TV & Video Committee. In all, 73 client-side marketers participated.

About the ANA

Founded in 1910, the ANA (Association of National Advertisers) leads the marketing community by providing its members with insights, collaboration, and advocacy. ANA's membership includes 400 companies with 10 000 brands that collectively spend over US$250 billion annually in marketing communications and advertising. The ANA strives to communicate marketing best practices, lead industry initiatives, influence industry practices, manage industry affairs and advance, promote, and protect all advertisers and marketers. For more information, go to www.ana.net, follow us on Twitter, join us on Facebook, or visit our YouTube channel.