• by Joe Mandese  @mp_joemandese, June 20, 2005

Magazine editors, besieged by issues concerning their own journalistic credibility, plan to hold the line on future incursions from advertisers, especially the seamless integration of product placement, or so-called "branded entertainment" into the editorial pages of major consumer magazines. At least that was the sense coming out of a panel discussion of top editors and ad executives during the Association of National Advertisers 2005 Print Advertising Forum in New York last week. The view from Madison Avenue, however, is that there already are plenty of "dirty little" product placement secrets throughout the magazine industry.

Interestingly, it was Mark Whitaker, editor of Newsweek, which came under editorial scrutiny when it retracted an inflammatory story about U.S. soldiers desecrating the Koran while integrating Islamic prisoners at Guantánamo Bay, who appeared most vigilant in holding the line between the so-called church and state of the magazine business. But Whitaker said Newsweek's retraction had nothing to do with the kind "journalistic deceit" and plagiarism that has tarnished the editorial world of late. However, he said leading magazine editors are poised to release a new set of American Society of Magazine Editors' guidelines for product placement that will specifically address "new trends" in the business including product placement.

"I think it will probably be a very strong statement against the idea that we should be inserting products," Whitaker said during the ANA panel. Ultimately, he said the ASME guidelines would represent "10 to 12 commandments" of what and "what advertisers can and cannot say about that in the pages of a magazine," including how they are involved in sponsored events with magazines.

One thing magazine editors are not likely to allow, said fellow panelist, Martha Nelson, managing editor of People magazine, is the kind of "shadow" ads that have been popping up in some newspapers. Shadow ads are shadowy ads that appear as watermarks or brand icons over the type in newspaper editorial pages.

Nelson concurred with Whitaker that magazines are not likely to see a further integration of advertising and editorial content.

"I don't believe if you blur the line between editorial and advertising it makes either one better. It just makes them blurry," she said.

That rigid line came in stark contrast to ad execs on the panel, one of whom, Media Kitchen Chairman-CEO Paul Woolmington, predicted it would be an accepted practice within five years.

In fact, Woolmington said it already is common practice within certain advertising categories and magazines genres, especially the fashion and entertainment industries.

"There is a dirty little secret," declared Woolmington. "If you are a major fashion house you do exert editorial influence" in fashion magazines. He said fashion marketers exert direct influence on how fashion editors cover their products and brands and he implied major Hollywood studios like "Paramount" do the same when they arrange to have their stars "placed" on the covers of entertainment magazines.

Editors on the panel bristled at that notion, but MindShare Senior Partner-Group Media Director Debbie Solomon, and moderator of the panel, cited consumer research by her agency indicating that consumers seem to be "ok" with the idea of product placement in magazines, even though marketers and editors are reluctant to do so.

"I think this speaks to the wide definition of branded entertainment," said Solomon, "Virtually every publisher I speak to tells me they don't do it."

Advertiser Vs. Consumer Views On Product Placement

Ad Execs Using   Consumers "OK,"  "It Depends"  
Television                     85%              37%           46%  
Magazines                      34%              42%           41%  
Movies
31%               NA            NA  
Video Games                    24%              19%           30%  
Internet                       22%               NA            NA  
Non-Commercial TV
12%               NA            NA  
Infomercials                    9%               NA            NA  
Radio                           NA              30%           45%  
Newspapers
NA              42%           40%  
Broadway Shows                  NA              17%           31%  

Source: Ad Execs = ANA Advertising Financial Management Conference, May 3, 2005; Consumers = MindShare MORe panel, June 2005