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Paid-for references to products and services will be allowed in certain types of UK TV programmes for the first time from 28 February.
Ofcom has now published a new set of rules to govern product placement. The rules include restrictions on the types of product that can be placed, the genres of programmes in which they can be placed, and how products are shown and referred to in programmes. The new rules will be incorporated into Ofcom's Broadcasting Code. They reflect the amendments made to UK legislation following the last Government's decision to allow product placement.
Summary of the rules
- Product placement will be allowed in films, series made for TV, light entertainment shows and sports programmes. It will be prohibited in all children's and news programmes and in UK-produced current affairs, consumer affairs and religious programmes. The BBC cannot accept most types of commercial revenue in relation to services funded by the licence fee, so the bulk of its programmes cannot contain product placement.
- The rules will prohibit placement of tobacco, alcohol, gambling, foods or drinks that are high in fat, salt or sugar, medicinal products, baby milk and products and services which cannot be advertised on television, such as weapons and escort agencies.
- Product placement must not impair a broadcaster’s editorial independence and must always be editorially justified. Programmes cannot be created or distorted so that they become vehicles for the purposes of featuring products, services or trade marks.
- Before 28 February Ofcom will be issuing to broadcasters a universal logo which will need to appear at different junctures within programmes to inform viewers that a programme contains product placement.
Comment
The introduction of product placement may go some way to counteract the effects of viewers fast-forwarding through traditional advertising breaks. Detractors have, however, expressed scepticism that it will in any way increase advertising revenues. In any event, it will require some delicate judgment calls to ensure that products are placed in compliance with the rules.
Storylines, themes and narratives that have, or appear to have, been constructed for the purpose of giving exposure to placed products are unlikely to be tolerated. Advertisers should not expect to gain anything like the exposure available in US programming. Programmes in which established characters already exhibit a penchant for particular behaviours or tastes, (such as fast cars or fast food), may initially offer advertisers and broadcasters lower-risk opportunities to test out the scope for product placement.
Programme makers have for some time been tentatively accepting advertiser funding. The crafting of legal relationships to preserve editorial independence has been central to the viability of such projects. The terms of placement agreements will be no less important.
Clarification from Ofcom will be crucial. It has pledged to provide regular updates and guidance while the product placement market establishes itself.
A full article will appear shortly on our website.
Nicola McCormick
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Simkins' early warning bulletins are for general guidance only. Legal advice should be sought before taking action in relation to specific matters. Where reference is made to Court decisions facts referred to are those reported as found by the Court. Please note that past bulletins included in the Archive have not been updated by any subsequent changes in statute or case law.
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