Apple TV Plus: Product placement gone wild

In 10 episodes of “The Morning Show,” the Wall Street Journal counted 32 money shots per episode.

Apple TV product placementFrom Joe Flynt and Tripp Mickle’s “Apple’s Gadgets Co-Star in Its New TV Drama” ($) in Friday’s paper:

“The Morning Show” wastes little time giving Apple screen time. The first scene of the first episode opens with the character of executive producer Chip Black, played by Mark Duplass, sprawled on the floor of his office in the dark, feet away from a Mac computer, when the iPhone next to him lights up with an incoming call. About 20 seconds later, Steve Carell’s soon-to-be-disgraced anchor, Mitch Kessler, is awakened by his iPhone. In total, there are 31 shots of Apple devices in Episode 1, including eight with the company’s logo…

Apple products are visible in an average of 32 camera shots per episode, and an Apple logo is visible in roughly one-third of those shots, according to a Wall Street Journal tally from viewing all 10 episodes of the first season. Rival brands are scarce…

Product placement has surged over the past decade as marketers aim to get their brand in front of viewers who increasingly skip commercials and watch shows on demand. Spending on product placement has doubled since 2012 to about $10 billion, according to PQ Media, a media research firm that tracks the industry.

“In a changing world where people watch less traditional television, especially younger audiences, how do you reach them?” said Patrick Quinn, president of PQ Media. “One way to do that is to launch your own streaming service and show off your product. Not everyone can do that, but Apple can.”

My take: “Not everyone can do that, but Apple can.”

5 Comments

  1. Jerry W Doyle said:

    So the production costs of these shows are not as much as initially purported, right? In the absence of owning its own production company streaming top rated content Apple normally would have had to pay premium for product placement. So by owning its own production company streaming big-ticket content Apple can estimate the cost for product placement it normally would have paid to another entity and subtract that amount from its cost of production. These entertainment shows don’t cost as much as first reported. That effects in a positive way the bottom line in terms of profits.

    2
    November 8, 2019
  2. Michael Thompson said:

    This information only further justifies the cost of Apple TV+ content creation. As usual Apple benefits in more ways than just revenue growth.

    Would Apple rather pay billions per year in advertising/marketing costs or spend the same billions on content creation with product placement thrown in for free? Apple will still spend money on third party marketing costs, however it’s possible that we will spend less and gain more.

    Now we own the content forever without paying for one and done advertising to third parties.

    Apple TV+ detractors state that we have little content compared to our competitors. That might be a valid point on 11/8/19, but it will be laughably wrong on 11/8/29 or far sooner.

    The biggest streaming behemoth is the originator Netflix. Many analysts that love to spend Apple’s money, have erroneously predicted that Apple will buy Netflix. If burning shareholder cash and value were Apple’s intention, then buying Netflix is a really good idea.

    Otherwise paying 93x earnings for a NEGATIVE free cash flow, overpriced one-trick pony, shortly facing competition from 360 degrees is plain stupid.

    The detractors will be proven wrong once again like they were with: Apple Watch, Apple Music and Apple everything else.

    3
    November 8, 2019
  3. Gregg Thurman said:

    The detractors will be proven wrong once again like they were with: Apple Watch, Apple Music and Apple everything else.

    Original iMac: cute but over-priced, under powered and no floppy drive
    Original iPod:</b over-priced, late to market, only works with Macs, over 200 established, cheaper competitors
    Original iPhone: over-priced, only works with MacOS and no keyboard
    Original iPad: limited functionality, no market (MSFT 10 year effort to bring a tablet to has failed)
    Original Apple Watch: nobody wears a watch anymore (market relies on smartphones), over-priced, Android copies will prevail.
    Original HomePods: Not as good as less expensive Sonos brand, far more expensive than competing Android versions, voice assistant not as accurate as Alexa.
    Original AirPods: over-priced, not as good as less expensive competitors having noise cancellation
    Apple Pay/AppleCard: only works on iPhone via proprietary Secure Enclave, Google Pay and Samsung Pay can be used on far more devices.
    Original Apple TV+: poorly crafted shows, no content library, will detract from iPhone revenue.

    Judging from the success of the original (and follow on versions) of the iMac, iPod, iPhone, iPad, Apple Watch, HomePod, AirPods, and Apple Pay/AppleCard, AppleTV+ will be an astounding success.

    4
    November 8, 2019
    • Gregg Thurman said:

      Forgot to include Apple Music

      2
      November 8, 2019
    • Fred Stein said:

      Great summary.

      Apple Health, and Apple Arcade could join the list. Talking heads will discovers these franchises in two or three years.

      The NeXT Cube, was the birth mom of the modern MacOS, and to much of the DNA in all Apple’s mobile OSs.

      0
      November 8, 2019

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