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Item of Interest The Business of Production

Why Brands Are The New Labels (And Publishers, And Producers)

Brands funding media – is this future of advertising and media sponsorship?

Why Brands Are The New Labels (And Publishers, And Producers…) http://tinyurl.com/3knt8xf

I have been a long time proponent of branded media because I find branded content to be much less intrusive than advertising. Branded media integrates with the program, hopefully in a relevant way, while advertising intrudes on a program with something likely to be irrelevant to me and my interests.

So I think this is yet another step along the way toward replacing intrusive advertising to models that are less viewer antagonistic.

Gone are the days of artists hoping and praying for that major studio deal  — which later they learn isn’t really that major. Instead they can take a paycheck from a brand and get pretty much the same thing as what they would get from your typical 360 deal offering.

But it’s not only music that is benefiting from having a brand as its studio.

Brands are positioning themselves as the new labels, no doubt, but they are also evolving into the content creators. There is, naturally, criticism of branded entertainment – it is necessarily the opposite of arms-length, unbiased reporting – but as the digital landscape has changed media integration, it has also increased consumer tolerance for brands looking for new ways to market. And if you want high quality content — whether that is music or print or video — someone needs to pay.  So, brands are stepping up as the new content publishers.

More changes coming of course…

At the March 2011 Shorty Awards, Foursquare Founder Dennis Crowley pointed out that he saw an ad on TV encouraging people to discover the song in the Old Navy ad using Shazam. The call-to-action is then obvious: Purchase on iTunes.  Old Navy, Apple, a digital startup and an emerging artist all working together as one? That’s some epic progress – over some pretty blurry lines.  Expect more of this going forward.

Add in the extra news that Capital One is producing content and it’s a whole new world.