ROI
Return on Investment Details
Co-op advertising dollars are another area where companies are charged by their various retail chains. They’re typically charged 4% on an accrual of sales. These funds go towards co-op advertising for such things as in-store ads, web ads, free standing inserts in newspapers, mail ads, etc. for products carried by various retail outlets. Most of Legacy’s clients negotiate with their distribution channels to either get reduced or eliminated co-opting budgets, or the stores will sometimes offer enhanced ads at a lower fee or free end-caps to offset the entertainment marketing that Legacy’s clients are participating in, to drive customers into the store chains that carry their products.
Trade Journals
Every product is covered by its own industry’s trade journals. It’s very expensive to advertise in these journals.
- Legacy helps its clients to write up press releases that tell a sizzle of a story of what they’re doing to promote their products in the entertainment industry. Legacy will help to secure write-ups on these articles in the various trade journals.
- In most cases, the trade journals will run these articles at no fee. These publications after all, would not be successful, if all they had in them were paid ads. The editors of these publications like to find compelling articles about brands within their genre.
A Placements
If a product appears in a television episode for 10 seconds and the 30 second national ad rate for that series is [for example] $185K USD, (the current average cost for a 30 second ad during a prime-time TV show) we would start by taking that figure of $185K and dividing it by 30 seconds. That would give us a per second ad value of $6,166 USD. If the placement is what we call an ‘A placement’, meaning the product clearly shows on camera in a very meaningful way, then we would take this per second value and multiply it by the 10 seconds it appeared, making the value for that one 10-second placement worth an estimated $61,660 USD.
$185K/30 = $6,166 per second for ‘A Placement’
B Placements
If the placement that had been orchestrated for that same 10 seconds is what we call a ‘B placement’, (which means products are not shown as meaningfully, i.e. product is further from the camera, not well lit, label is partially covered, etc.) we would then take that $6,166 USD figure, and divide it by two which would give a ‘B placement’ a per second value of $3,083 USD.
$6,166 USD (cost per second for ‘A Placement’)/2 = $3,083 USD per second for ‘B Placement’
PLEASE NOTE: These are conservative estimates as they do not take repeat viewing into account.
Legacy’s annual clients are guaranteed a minimum of 12 client acceptable exposures per year.
Due to the long viewing life of film and television projects, Legacy’s clients traditionally receive 100s of millions to sometimes even billions of viewer impressions as a result of our services.
Life of a Feature Film
US & Foreign Feature Film Release
Pay-Per-View
Prime Time Cable (HBO/Showtime)
Basic Cable
Network Television
Syndicated
Reruns
People these days watch what they want, when they want. Streaming services and PVRs (Personal Video Recorders) allow the viewer, in most cases, to scan past commercials and spend their time enjoying the programming they have tuned in to watch; programming that has Legacy’s clients’ products showcased in a seamless, yet effective manner. The content of the film or show, in turn has an even higher amount of viewing time. Another factor to consider is that any time a commercial is run, it must be paid for, whereas product placement reaches the consumer every and any time the content is viewed.
When considering the life of any film or TV show, the valuation is extremely comprehensive. Films start with US/foreign box office views as well as Pay-Per-View and paid streaming services. They then move into continued streaming, inflight movies, network television, etc. TV shows evolve from airing to syndication, to streaming services, etc. Your product will FOREVER be in the various film and television placements where your product is placed.
Celebrity Events
Show off and utilize images taken of your products and celebrities at the [approximately] 50 celebrity events Legacy puts on each year. These images have immeasurable value, and you will own these images forever.
Product Placement Still Images and Video Clips
We provide you with images and video clips of your products in productions.
How these images can be utilized, carte blanche, without any further permission needed, is as follows:
The verbiage attached to these images must read as follows:
“As seen with”
“As seen in”
“Look who’s drinking (eating, wearing, etc.)”
You are simply stating a fact!
We would need to secure further written permission to be able to utilize verbiage such as:
“The official product of”
“Endorsed by,” etc.
There are a number of various ways these images can be utilized without any further permission.
With the proper verbiage you can place these images:
- on your website
- on social media
- at conventions
- at industry shows
- while meeting with distributers and wholesalers
Frame the images and put them up:
- in your corporate office
- in company newsletters
- in trade journals
Note: Laws change from time to time and may vary by state or country in regard to the utilization of images. The above is a basic guideline and should not replace a company’s need to consult with their own legal department.
Legacy would need to secure further permission before these images could be placed on the actual product, at point of purchase, or in ads directed to consumers such as print media or television commercials.
The images that we provide to you will be yours forever. If you sell your company someday, these materials will greatly increase your value. It is a great way to secure channels of distribution as distributors and retailers know that the general public follows what Hollywood does.
This type of advertisement is called implied endorsement which has significantly more impact than paid endorsement.
If a company was to cut ONE thirty second national television ad, they could afford to pay for Legacy’s services for more than THREE YEARS!