Deutsch Signs Up for New Branded-Entertainment Metric

First Agency to Use NextMedium's Embed Tool

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NEW YORK (Madison & Vine) -- As commercial ratings continue to create a sea change in the buying and selling of TV, a new metric for branded integration and product placement is beginning to gain traction.
NextMedium CEO David Bluhm
NextMedium CEO David Bluhm

Interpublic Group of Cos.' Deutsch is the first agency to partner with Los Angeles-based branded-entertainment company NextMedium to use its Embed Intelligence platform, which provides detailed analytics for brands seeking integration in TV, music and film.

Creating more scale
Peter Gardiner, chief media officer of Deutsch, said, "The product-placement/brand-integration world is complicated, and we're constantly looking at ways to enhance what we're doing and create more scale if possible. I think what NextMedium does is a great combination and enhances what we do."

While Deutsch is the first company to sign on at the agency level for Embed Intelligence, NextMedium has partnered with dozens of individual brands to help them achieve objectives and brand equity through accountable integrations. NextMedium CEO David Bluhm said product placement has evolved in the wake of commercial engagement and the decline of traditional TV ad models.

"Thirty-second spots are perceived as less effective, and of course it's never effective if it's not watched," he said. "If it's on a DVD, a DVR, an iPod or a website, any ad spend around a show doesn't do you any good. People are starting to understand the relative value to other spend."

With branded entertainment projected by PQ Media research to reach $40 billion in spending by 2012, more detailed analytics and metrics will help accelerate marketers' interest and ad spend. Large-scale integrations, which often involve meeting with production and ad-sales teams to weave brands into TV shows and movies, remain a growing priority for marketers, but NextMedium's software is focused on streamlining the process for executing small to midlevel integrations and aggregating them across a series of unproduced scripts or other preproduction opportunities.

"This gives us access to an aggregated network of product integrations, and makes it more efficient," Mr. Gardiner said.

Next phase of measurement
NextMedium isn't the only measurement company of its sort being used by the marketplace, but it is the next phase of such measurement for some brands and agencies. In the case of Deutsch, the agency has been using ITVX's platform and will continue to do so as it combines NextMedium's Embed Intelligence data with its other findings. "The two together are pretty interesting. What NextMedium starts getting into are some of the more expanded levels of persuasion," Mr. Gardiner said.

Mr. Bluhm said the Embed Intelligence platform provides clients with five ad-unit options for integrations: foreground, background, prop, dialogue mention or interaction. The platform takes those units based on placement within the program then measures the postproduction value, such as gross rating points or minute-by-minute ratings, and discounts or increases the price of the integration depending on the context of the exposure.

"This is the only way you're going to get the full idea of what you're going to do across all different formats," he said. "It's very scalable to a promotions and productions team and very measurable, using the same analytics from online."
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