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The Prevalence of and Consumer Response to Foreignand Domestic Brand Placement in Bollywood MoviesMichelle R. Nelson a & Sameer Deshpande ba University of Illinois at Urbana–Champaign, Urbana, Illinois, USAb University of Lethbridge, Lethbridge, Alberta, Canada

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Journal of Advertising, 42(1), 1–15Copyright C© 2013, American Academy of AdvertisingISSN: 0091-3367 print / 1557-7805 onlineDOI: 10.1080/00913367.2012.749195

The Prevalence of and Consumer Response to Foreignand Domestic Brand Placement in Bollywood Movies

Michelle R. NelsonUniversity of Illinois at Urbana–Champaign, Urbana, Illinois, USA

Sameer DeshpandeUniversity of Lethbridge, Lethbridge, Alberta, Canada

Within the context of globalization, we explore the country-of-origin of brand or product placements in Bollywood films. Contentanalysis of films since economic liberalization (1991, 1996, 2001,2006, 2010) reveals a substantial increase in brands, with foreignbrands outnumbering domestic brands and placed in prominentways. Results of surveys reveal that Indians are positive about thepractice yet generally prefer domestic over foreign product place-ments. Consumer ethnocentrism versus admiration for Westernlifestyles emerged as significant predictors of attitudes and per-ceptions. Theoretical ramifications for globalization, global brandstrategy, and brand placement are discussed.

A parrot named Prada (Housefull, 2010). A dog named Face-book (Golmaal 3, 2010). Audi executives tweeting about thebrand’s leading role in Bodyguard (2011; Sauer 2011). Foreign(nonlocal; Batra et al. 2000) brands placed in these contem-porary Bollywood films reflect the globalization forces withinIndia, a developing country that opened its borders to multi-national companies in 1991 (Kurien 1995). Although there aremany definitions of the term, globalization generally refers to“the widening, deepening and speeding up of global intercon-nectedness” (Faulconbridge and Beaverstock 2008, p. 331). In-terconnectedness includes the promotion and promise of for-eign brands through media, a key driver of globalization. As acultural product, media reflects, reinforces, and refines the cul-tural values of producers and commercial influencers so that thepractices, behaviors, and brands from other cultures flow intothe domestic culture (Appadurai 1996).

Address correspondence to Michelle R. Nelson, Department ofAdvertising, University of Illinois at Urbana–Champaign, 810 SouthWright Street, Urbana, IL 61801. E-mail: nelsonmr@illinois.edu

Michelle R. Nelson (PhD, University of Illinois at Urbana–Champaign) is an associate professor, Department of Advertising, Uni-versity of Illinois at Urbana–Champaign.

Sameer Deshpande (PhD, University of Wisconsin–Madison) is anassociate professor, Faculty of Management, University of Lethbridge.

These global symbols and practices are thought to play amajor role in the creation, learning, and sharing of consumptionamong audiences (Alden, Steenkamp, and Batra 1999). The me-dia help audiences, especially in emerging markets, learn howto be global consumers through a process of consumer accultur-ation, where they acquire the knowledge, skills, and behaviorsappropriate to consumer culture (Penaloza 1989). Yet the in-fluence of media on consumers is not automatic. Consumers inemerging markets may readily accept nonlocal brands due tocountry-of-origin (COO) effects where foreign brands conveyquality or status. Conversely, they may reject foreign brands ortheir depictions based on consumer ethnocentrism (i.e., prefer-ence for one’s own country’s products, e.g., Batra et al. 2000;Zhou and Belk 2004).

Movies offer the perfect media site for understanding countryof origin—particularly where foreign and domestic brands areviewed and how they are evaluated among audiences. Brandsare increasingly placed within films as intentional persuasiondevices to attract audience attention and drive sales (Eisend2009). Yet despite the use of product placement around theworld, there is not much research on international aspects ofthe practice (Eisend 2009; Gould, Gupta, and Grabner-Krauter2000). Given the larger theoretical and managerial issues withrespect to international advertising strategy (e.g., Ford, Mueller,and Taylor 2011), our research addresses the role of global-ization in foreign and local product placement prevalence andacceptance. We focus on India, which offers an attractive contextfor a number of reasons.

First, as one of the BRIC (Brazil. Russia, India, and China)countries, India presents an important emerging market withan enormous and affluent middle class (Bose 2006). Second,given that the majority of foreign brands have been introducedto India only since 1991, the country offers a contemporarycontext to assess globalization effects. Further, it is a countrythat was historically closed to outside influences (Eckhardt andMahi 2004) but in recent decades appears to be more open toforeign brands (Bijapurkar 2007). Third, India annually

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produces the largest number of films in the world (Minocha andStonehouse 2006). These films hold historical and cultural influ-ence; they are viewed by audiences from all social classes andcastes within India (Gokulsing and Dissanayake 1998), whichprovides a huge media reach for brands. Fourth, researchers sug-gest that India, as a high-context culture where visual imagesresonate (Hall 1977) and vertically collectivist values result inadmiration of status and celebrity (Sivadas, Bruvold, and Nel-son 2008), may be especially suitable for product placement(Nelson and Devanathan 2006).

Therefore, within the context of globalization we examinecountry-of-origin of brand (product) placements by gauging theextent of foreign (nonlocal) and domestic (local) brands placedin Indian films from economic liberalization in 1991 to 2010.We then examine Indian audiences’ attitudes toward those place-ments. Understanding general attitudes toward product place-ment is necessary because attitudes can be an important deter-minant of other product placement effects (Balasubramanian,Karrh, and Patwardhan 2006). Further, research has shown thatgeneral attitudes about the practice of product placement mayinfluence specific attitudes toward brands that are placed withina given film (see discussions by Schmoll et al. 2006; Sung, deGregorio, and Jung 2009). Given that past research has noted in-dividual differences with respect to foreign and domestic brandsbased on consumer ethnocentrism or openness to other cultures(e.g., Batra et al. 2000), we assess the relationships of thesefactors to attitudes toward product placement. As such, we re-spond to calls for more research to globally assess factors thatinfluence audience attitudes about product placement (e.g., LaFerle and Edwards 2006).

CULTURAL CONTEXT: RISING INDIA ANDGLOBALIZATION OF BOLLYWOOD FILMS

India is a large, complex country in Southeast Asia. It is mul-ticultural, multilingual, multireligious, and multiethnic (Bhatia2000). India boasts the largest democracy and the second largestpopulation in the world. Although foreign companies enteredIndia before 1991, it was really with economic liberalization(through privatization, removal of trade tariffs, and encourage-ment of free trade/markets) that Indians began witnessing andpurchasing foreign brands at a substantial level. Since 1991, theIndian economy has achieved an average gross domestic prod-uct growth rate of 6.3% per annum (Bijapurkar 2007). In sum,India is a substantial market for foreign brands.

From a cultural viewpoint, India is considered to be collec-tivistic with a ranking of 48 on the Individualism/Collectivismdimension, as compared with the United States, which ranks at91 (Hofstede 2001). As part of a collectivist society, individualsare traditionally motivated by the obligations and duties to theirin-groups (Triandis 1995). However, given their desire to standout from others and the hierarchical nature of the caste system,Indians are considered vertical collectivists (Sivadas, Bruvold,and Nelson 2008). The ramifications for verticality include the

propensity to look up to successful people in the hierarchy, suchas celebrities from the world of cinema, cricket, and business, asrole models. Indeed, despite its diversity, India is united by twocultural institutions featuring prominent celebrities: Bollywoodand cricket (Bhatia 2000).

Bollywood is India’s popular Hindi-language film industrybased in Mumbai (Bombay). The Bollywood “brand” is char-acterized by visual spectacle, song and dance sequences andridiculous plots with unlikely coincidences and happy endings(Bose 2006). Most Indians from across socioeconomic or ge-ographic boundaries watch Indian-produced films in their ownregional languages or in Hindi (Chandra, Rau, and Ryans 2002).According to the Film and Television Producers Guild of India,an estimated 15 million people attend movies daily (Chopra2006).

Despite the Indian film industry’s 90-plus-year history, schol-ars and critics have noted changes in the content of filmsin the past few decades, particularly related to the increasein international settings (Minocha and Stonehouse 2006) andthe depiction of wealthy Indian or nonresident Indian fami-lies (e.g., Wilkinson-Weber 2004). Some critics argue that theglobal integration of settings (e.g., between London and Mum-bai) makes it “easier for the reception by audiences of cer-tain products to be promoted within films” (Kripalani 2006,p. 198).

Evidence suggests that at least some of these productplacements are commercially inspired and sponsored (Sauer2011). For example, Coca-Cola purportedly paid Rs. 3.35 crore(US$670,000), or about 20% of Yaadein’s (“Memories,” 2001)production costs (“India Inc. Warms Up” 2001). More recently,trade sources made note that “the Indian film [Bodyguard, 2011]also happens to be packed with loads of non-Indian productplacement” (Sauer 2011). Product placement is expected to in-crease at a rate of 10% per year (Sachdev 2009). Placements varyfrom Rs. 0.5 million (US$10,000) to Rs. 5 million (US$100,000)depending on the level and length of integration, type and repu-tation of the brand and market value of the actor (Sindhu 2009).Despite protests from critics about the increasingly commer-cial culture of Bollywood films, no known empirical researchhas investigated the prevalence of domestic or foreign brandsin these films or gauged the way Indian audiences feel aboutsuch product placements. Although a complete review of prod-uct placement research is beyond the scope of this article (seereviews by Balasubramanian, Karrh, and Patwardhan 2006; VanReijmersdal, Neijens, and Smit 2009), literature related to con-tent in films is presented next, along with associated predictionsrelated to globalization and brand country of origin for Study1. Study 2 then investigates how Indian audiences feel aboutforeign and domestic product placements.

STUDY 1: CONTENT ANALYSISProduct placement is the use of a product’s name, packag-

ing, signage, or other trademarks in media (Steortz 1987). These

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products can act as visual and/or auditory reminders of the brandand thus serve as important explicit or incidental persuasive de-vices. Only a few studies have examined the content of brandedmaterial in films. For example, content analyses of top-grossingHollywood films in 1989 and 1991 revealed an average of 18and 14 product placements per film, respectively (Sapolsky andKinney 1994; Troup 1991). An exploratory cross-cultural studyshowed that the number and types of product placement differedwithin local country films (Brazil, India, South Korea, Thailand,United States; Devanathan et al. 2003). The film industries thatproduced a greater number of films per year (e.g., Hollywood,Bollywood) also made films featuring the greatest number ofbrands. Finally, Kureshi and Sood (2011) compared the inci-dence and types of product placements within Hollywood andBollywood films between 2007 and 2009. They showed thatHollywood films contained a greater number of brands overall.Within Bollywood films, 14% of the placements were integratedinto the plot. The study neither listed predominant brands norconsidered the country of origin of those brands.

Two studies examine the types and extent of product place-ments over time. In the United States, Galician and Bourdeau(2004) reviewed product placements at three points in time(1977, 1987, 1997). They reported an increase in product place-ments, with Coca-Cola as the most dominant brand in each timeperiod. In addition, there was an increase in the level of promi-nence of brands placed (coded as “full” or “partial” level ofdisplay) over time. Sung, Choi, and de Gregorio (2008) ana-lyzed the 10 most popular Korean films of each year between1995 and 2003. They reported an average of 16 occurrences (10unique brands) per film and an increase in the number of brandsappearing across time. Among the 20 most placed brands, ninewere foreign, with Coca-Cola showing the highest incidencein Korean films. The most common domestic (Korean) brandswere for automobiles (Hyundai) or alcohol (Hite, Jinro).

As a whole, although limited in number, the content analysisstudies of product placement in films reveal an increase in thenumber of brands over time, including international brands. Al-though the practice of product placement is not new (see Newell,Salmon, and Chang 2006), it has gained growing acceptanceamong practitioners in the past 15 years (Karrh, McKee, andPardun 2003). Given this body of literature and the liberaliza-tion policies and practices in India since 1991, we expect that thenumber of product placements in Bollywood films will increaseover time (from 1991 to 2010).

H1: The number of brands in Bollywood films will increase overtime.

We were also interested in the countries-of-origin of the brandsin the films. Given the effects of liberalization on the prevalenceof foreign brands in Indian society in general, and critiquesof commercialization and globalization in Bollywood (e.g.,Alessandrini 2001; Garwood 2006), we expect that the extentof foreign brands viewed in Bollywood films will also increaseover time. A foreign (nonlocal) brand has the perception that it

is marketed both domestically and in other countries, whereasa domestic (local) brand is one that is India-made and soldonly in India (Batra et al. 2000). Indeed, a recent contentanalysis of other kinds of external (outside of India) and(Western) references (e.g., locations, attire, language) withinBollywood films revealed increases in such references acrosstime (Schaefer and Karan 2011).

H2: The number of foreign brands in Bollywood films will increaseover time.

Although the product placement industry is nascent in India(Menon 2005), there is some suggestion that the practice hasgrown substantially in the past decade (Kureshi and Sood 2011).Therefore, we expect that the number of domestic brands ap-pearing in Bollywood films will increase over time. In addition,we predict that the nature of those product placements willchange. Specifically, in more recent years we expect that brandswill appear in more prominent rather than less prominent posi-tions. This is likely due to the increased intentionality of productplacements on the part of brands rather than use of incidentalbackground props.

H3: The number of domestic brands in Bollywood films will increaseover time.H4: Both foreign and domestic brands will occur in more prominentpositions in Bollywood films over time.

MethodTo assess the frequency and nature of product placements

in films over time, content analysis was conducted on the top10 movies for five time periods at roughly four- or five-yearincrements: 1991 (start of liberalization), 1996, 2001, 2006,and 2010. Increments were selected because we were interestedin changes since liberalization (specifically, from 1991 to 2010);yet to employ two (or three) coders to code 10 three-hour moviesfrom each of 20 years would result in more than 1,200 hours ofcoding. As a compromise, we selected five-year increments toreflect two points in each decade. The most recent year (2010)was selected because data were available, even though it revealsa four-year time differential from 2006.

Lists of top box office movies for these years were obtainedfrom three different sources for reliability: (1) the Internet MovieDatabase (http://www.imdb.com); (2) the Bollywood MovieDatabase (http://www.bollywood.de); and (3) Screen magazineonline (http://www.screenindia.com). Ten of the top 25 movieswere selected from the lists for each year for a total of 50 movies,based on box-office earnings. Similar to other content analysesof product placements in film (Sung, Choi, and de Gregorio2008), 10 films were chosen as they were considered to repre-sent the films with the greatest audience reach, which would bepotentially attractive to marketers to reach largest audience size.In total, 50 films were analyzed resulting in 150 hours of analy-sis, which is similar to the amount of content analyzed in othercontent analyses of films (e.g., 168 hours: Schaefer and Karan2011; about 156 hours: Sung, Choi, and de Gregorio 2008).

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Top grossing “period” films (such as Lagaan and Gadar, bothreleased in 2001) were not included in the list since productplacements were not expected in these movies.

Recording InstrumentThe recording instrument was based on previous research

(e.g., Ferraro and Avery 2000). Similar to Galician andBourdeau (2004, p. 19), “the unit of analysis was the individualappearance of a brand (product or service) whether seen, men-tioned, or used.” Therefore, visual and verbal brand occurrenceswere coded. Similar to other product placement content analysisstudies, brands were defined broadly to include services, sportsteams, newspapers and the like (La Ferle and Edwards 2006), butwe did not consider the name of a police department or munici-pal building to be a brand. Because we did not know whether anybrand was placed intentionally (or paid for), all unique brandswere coded. If the logo or name appeared, it was coded as a prod-uct placement (i.e., we did not distinguish logo from name andtherefore did not code for primary and second placements likeLa Ferle and Edwards 2006). The open-ended items includedthe title of the movie, year of release, brand name and productcategory. The closed-ended items included the country of originof the brand (foreign or domestic) and the degree of prominence(low: background—not major part of scene, partially showing;or high: can see entire product in full view—seems prominentlydisplayed or used by character), which is similar to the definitionused by La Ferle and Edwards (2006).

Coding ProceduresA total of eight Indians served as coders given their famil-

iarity with the language and genre of the films. Training ses-sions were held for coders wherein they separately recordeddata pertaining to different aspects of the product placementsin a Hindi movie containing numerous brand references. Foreach decade, two main coders were randomly assigned an ap-proximately equal percentage of the movies to watch and codeusing the recording instrument previously described. A third In-dian independently coded roughly 33% of the movies. Codingwas compared, and disagreements were discussed and negoti-ated. Coders agreed on more than 90% of their classifications,which is acceptable (Neuendorf 2002). One way that intercoderreliability can be attained is when at least two coders makeindependent judgments about the content codes and then an in-dex is calculated to determine the extent of agreement betweencoders (Lombard, Snyder-Duch, and Bracken 2002). Country-of-origin was coded but then assessed by examining secondarydocumentation (e.g., company website) to solve any discrepan-cies. Prominence was the only category for which there was ajudgment element for coding. Out of the 622 instances, therewas agreement on 90% of the cases. Disagreement was resolvedwith a third judge.

ResultsOverall, according to descriptive statistics, the mean num-

ber of unique brands occurring in the top 10 films, regardlessof country-of-origin, was 9.9 (1991), 5.6 (1996), 9.6 (2001), 8(2006), and 28.4 (2010). While there is decline in certain pe-riods, overall the trend for product placements in Bollywoodcinema is in the upward direction, especially for the most recentyear. One-way ANOVA test was significant (F = 6.31, p < .01)thus supporting hypothesis 1.

The second hypothesis predicted there would be an increasein foreign product placement over time. Descriptive results showa mixed trend, with 33 placements in 1991, followed by 26(1996) and 74 (2001), then a dip in 2006 (to 48), then a highof 157 in 2010. One-way ANOVA test was significant (F =4.86, p < .01). Considering a decadal trend (59 in 1990s, 122 in2000s, and 157 in 2010 alone), there is general support offeredfor hypothesis 2. Hypothesis 3 proposed an increase in domesticproduct placements over time. The number of domestic brandswent down from 66 in 1991 to 30 in 1996 and 22 in 2001, andthen increased to 32 in 2006 and 127 in 2010. Thus, the find-ings were similar to foreign brands: although domestic productplacements have increased since 1991, the trend has not beenconsistent. One-way ANOVA test was significant (F = 3.99,p < .01). Some support for hypothesis 3 is provided. Further, acomparison between product placement type (domestic versusforeign brand) revealed that while domestic brands outnumberedforeign brands in both 1991 (66 and 33, respectively) and 1996(30 and 26, respectively), they were outnumbered by foreignbrands in 2001 (22 and 74), 2006 (32 and 48), and 2010 (127and 157), respectively. This suggests not only an increase inbrands overall but an increase in attention from foreign brands.

When we examine which brands were most prevalent, in1991 the most frequent brands were Air Mauritius, Indian Air-lines, and Mahindra (car/SUV). In 1996 the top brands werealso Indian (Tata, a multi-brand company, and Ambassador, anautomobile company), with the addition of Coca-Cola. In 2001,however, the most frequent brands were all non-Indian: Coca-Cola, Mercedes, Polo Ralph Lauren, Gap, Pepsi and Nike. In2006 both Indian and foreign brands were in the top list: NDTV(Indian brand), Coca-Cola, and Bournvita and Cox and Kingstravel company (Indian brands). Finally, in 2010, the most fre-quent brands were Coca-Cola and Mercedes, as well as Indianbrand airlines. However, there was also a greater variety ofbrands placed in 2010.

Next, hypothesis 4 theorized about the extent of low versushigh prominence placements of domestic and foreign brands.In total, 306 higher prominence brands were observed in com-parison to 323 lower prominence placements. Over time, lowprominence product placements became more common thanhigher prominence brand appearances. Foreign brands wereobserved more often in higher prominence placements, andthese placements were more frequently highly prominent thanwere domestic highly prominent placements. Domestic brandswere found in lower prominence more often than in higher

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prominence positions, but the number of foreign brands placedin lower positions was higher than domestic brands. There is atrend in low and high prominent placements of domestic andforeign brands. The trend shows lower prominent placementsbecoming more prevalent for domestic brands, while the reversewas true for foreign brands. However, statistical tests were notsignificant. The trend, when tested with paired-sample t-test,revealed t = 1.28, n.s. for domestic brands and t = .27, n.s. forforeign brands. Thus, hypothesis 4 was not supported.

DiscussionOur examination of product placement in Bollywood films

revealed that brands are increasingly found in films since theadvent of economic liberalization, especially since 2006. Fur-ther, in line with critiques (Alessandrini 2001; Garwood 2006),foreign brands in particular are prominently shown often inBollywood films. Most of the products are automobiles or softdrinks, such as Coca-Cola, which has been the number-oneglobal brand for the past few years according to Interbrand(http://www.interbrand.com) rankings. For example, in the filmYaadein, Coca-Cola (and not the local brand of Thums Up cola)becomes a symbol for the lead character’s deceased wife. Heoften talks with his Coca-Cola key chain while asking her foradvice on their teenaged daughters. In contrast, automobiles areoften viewed in the background. Overall, our results for morerecent years are on par with past research of top-grossing Holly-wood films, which showed an average of 18 and 14 placementsper film, respectively (Sapolsky and Kinney 1994; Troup 1991).

Despite these findings, the study had some limitations. First,we examined 10 films per year in five- or four-year increments;however, given the enormous output, that is a small percentageof the actual films produced. Still, by using box-office receiptsas a criterion for selection, we were at least reviewing thosefilms with the most presumed audience and impact. Further,because we chose to examine films in multiple-year incrementsrather than coding films from every year since liberalization, thenumber of brands placed in any given year might not necessarilybe indicative of overall trends. Finally, the extent to which thebrands were consciously placed for commercial purposes is notknown. Given the higher frequency and prominence of foreigncompared to domestic brands, it may be the case that foreignbrands were commercially placed whereas the domestic brandstended to be present incidentally or for artistic purposes. Futureresearch might explore the process for product placement withinthe industry.

Whereas this study revealed increasing numbers of domesticand foreign brands placed in films, it does not provide us withinformation about how audiences react to those brands. Indeed,the method of content analysis allows researchers to monitor“social phenomena unobtrusively as they occur” (maximizingexternal validity; Han and Shavitt 1994, pp. 345–46), but itdoes not provide insights into underlying consumer perceptions(Taylor, Miracle, and Wilson 1997).

For marketers, the decision to place a brand in a domesticIndian film or a Hollywood film depends on the receptivityof the audience toward the practice and to the domestic orforeign brands. As suggested by Balasubramanian, Karrh, andPatwardhan (2006), there are likely to be cultural differenceswith respect to acceptance of product placements. These authors,in a review article on product placement research, proposed that“American consumers are more accepting of placements thantheir counterparts in other countries” (proposition 11d, p. 123).Indeed, several studies comparing U.S. consumers’ attitudestoward product placement with consumers from other countrieshave supported this proposition (e.g., Gould, Gupta, andGrabner-Krauter 2000; Karrh, Frith, and Callison 2001). As ex-planation for these effects, researchers suggest that consumersin some non-U.S. contexts, such as Singapore (Karrh, Frith, andCallison 2001) and China (McKechnie and Zhou 2003), may beless used to and knowledgeable about the practice. We reviewliterature related to attitudes toward product placement next.

STUDY 2: AUDIENCE ATTITUDES TOWARD PRODUCTPLACEMENT

Research regarding audience attitudes toward product place-ment has focused on several factors, including ethical accept-ability and realism (e.g., Gupta and Gould 1997) as well as at-titudes toward placement of specific products (e.g., cigarettes).Research has also shown that general attitudes about the practiceof product placement may influence specific attitudes towardbrands that are placed within a given film (see discussions bySchmoll et al. 2006; Sung, de Gregorio, and Jung 2009).

A handful of studies have examined product placement withIndians. Panda (2004) showed film clips of various productplacements to 80 students and reviewed memory as well as at-titudes toward product placement. Results show that viewerswere mostly positive about product placement, considering thepractice to be acceptable (3.7 on a 5-point scale) and even amus-ing (mean = 3.4). Among nonresident Indian students living inthe United States, Nelson and Devanathan (2006) noted that in-dividuals’ level of brand consciousness was positively related totheir appreciation for the realism aspect of product placementbut not for attitudes toward product placement in general. Morerecently, a study of product placement in games was conductedamong game players in India (Kureshi and Sood 2009). Resultsshowed that, for this group, the addition of real brands intothe game made it more exciting; they did not find any ethicalconcerns. As a whole, it appears that at least some consumers(brand conscious, game players) appreciate the realism garneredwith product placements and consider the practice acceptableand amusing. Yet these referenced studies used homogenoussamples—namely, well-educated young men. To what extentsuch findings may hold for more diverse Indian populations isnot known. In fact, we suspect that individual-difference factorsfrom demographics to psychographics may impact how con-sumers feel about product placements.

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Further, despite the call for research to probe consumers’ in-terpretations of local versus foreign product placements to detectany potential country-of-origin bias (DeLorme and Reid 1999;Gould, Gupta, and Grabner-Krauter 2000), few studies have ad-dressed this issue. In one study, an ethnography of Brazilians’interpretations of brands in telenovelas, non-Brazilian productswere most often considered to be propaganda, whereas domes-tic brands were not (LaPastina 2001). To what extent Indianaudience members’ beliefs and appreciation vary for domesticor foreign brands is not known. Last, given the cultural and so-cietal admiration of celebrities (Venkatesh and Swamy 1994),we assess the perceived impact of celebrity product placementon Indian audiences. We review past literature on individual-difference factors next with three general research questions toguide Study 2:

RQ1: [How] do demographic, movie-viewing, and psychographiccharacteristics influence attitudes toward product placement?RQ2: Which factors influence the perceived impact of celebrityproduct placement on self among Indian audiences?RQ3: How do Indians feel about foreign versus domestic brandsplaced in Bollywood films? Which factors predict attitudes towardforeign and preference for domestic product placement?

DemographicsPast research in the United States has demonstrated gender

differences with respect to beliefs and attitudes toward productplacement, with studies showing that women were suspiciousabout the tactics but appreciated the realism (Stern and Russell2004: Sung, de Gregorio, and Jung 2009). Men, on the otherhand, were more likely to indicate negative evaluation of productplacements and critique depictions of consumptive lifestyles.Conversely, in a cross-cultural study with consumers from Aus-tria, France, and the United States (Gould, Gupta, and Grabner-Krauter 2000), men—regardless of country—were more likelyto claim that they would purchase a brand they saw in a moviethan women were. Other studies have examined audience re-sponses to specific types of product categories for product place-ment (e.g., alcohol). In general, males report more favorableattitudes toward product placement of ethically charged prod-ucts than females do across cultures (Gupta and Gould 1997;Gould, Gupta, and Grabner-Krauter 2000; McKechnie and Zhou2003; Tiwsakul, Hackley, and Szmigin 2005). However, somestudies have found no gender differences for neutral placements(Gupta and Gould 1997; Gould, Gupta, and Grabner-Krauter2000).

Most research on product placement has been conducted withuniversity students (e.g., Gould, Gupta, and Grabner-Krauter2000; Karrh, Frith, and Callison 2001). This body of work hasreported generally favorable attitudes toward product placementfrom this young, movie-viewing audience (see review by Sung,de Gregorio, and Jung 2009). However, when research isconducted with more diverse age populations, some evidenceof age-related influences in beliefs and attitudes toward productplacement emerges, at least among U.S. populations (e.g.,

DeLorme and Reid 1999; Schmoll et al. 2006; Sung, deGregorio, and Jung 2009). Age may be a relevant characteristicto consider in India given the vast changes in society since 1991.Cohort effects with liberalization as a marker are predicted todrive distinct consumption ideologies (Bijapurkar 2007). Theyounger Indians (“liberalization’s children”; born around 1990)are the “first non-socialist generation.” They are thought to bemore globally integrated than their elders and may thereforeembrace foreign brands, even in Bollywood films. The parentsof this group, called “midnight’s children,” represent India’s firstpost-Independence generation, as India achieved Independencein 1947. They are closer to the age of the older consumers in thepreviously referenced U.S. studies; they may feel more reluctantto embrace foreign brands or product placements in Bollywoodfilms.

Movie ViewingPast research has reported a positive relationship between

media use and attitudes toward product placement (e.g., Gould,Gupta, and Grabner-Krauter 2000; Gupta and Gould 1997). Theexplanation offered by Gupta and Gould (1997) related to theperceived enjoyment and positivity felt by moviegoing audi-ences toward the movies and the elements within the movies(including product placements). Research has found that heavymovie viewing is positively related to acceptability of or atti-tudes toward product placement in general (e.g., Schmoll et al.2006). Also, DeLorme and Reid (1999) observed that frequentmoviegoers (defined as seeing at least one movie per month)were more active in the movie-viewing process; they noticedand learned from the brands in the movies. Despite the fact thatheavy viewers sometimes feel product placement is more ac-ceptable than do light viewers, some research has shown thatfrequency of movie viewing has no effect on purchase inten-tion in Austria, France, or the United States (Gould, Gupta, andGrabner-Krauter 2000).

Country-of-Origin EffectsGiven that very little research in the product placement

literature has investigated how audience members feel aboutforeign or domestic brands, we looked to the country-of-origin (COO) literature, particularly for this cultural context,to guide our thinking. Country-of-origin is a multifaceted con-cept (Parameswaran and Pisharodi 1994) that examines howa brand’s country-of-origin (where it is made or the imageof its origin) serves as an extrinsic cue to consumers. AsParameswaran and Pisharodi (1994) point out, it may be aparticularly important cue in global marketing because mostconsumers may be unfamiliar with foreign brands and, there-fore, less able to assess intrinsic qualities such as product per-formance. Originally, COO referred mostly to perceptions ofquality (Bilkey 1993); however, Batra et al. (2000) note fromanthropological literature (e.g., Ger, Belk, and Lascu 1993)that COO can also convey symbolic meaning such as status.

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PREVALENCE OF AND RESPONSE TO BRAND PLACEMENT IN BOLLYWOOD MOVIES 7

Further, Batra et al. (2000) suggest that consumers in emergingeconomies (such as India) may be particularly susceptible tostatus COO effects because they want to emulate the (mostlyWestern) images in media, participate in a global consumerculture, and show off hierarchical values through conspicuousconsumption. Within the product placement context, the COOof the brand may influence how audiences evaluate the brand orits perceived influence. Three factors relevant in our study haveemerged with predictive power over COO effects: admirationfor Western lifestyle, Western acculturation, and ethnocentrism;these are discussed next.

First, research has shown for Indian consumers, their “ad-miration for lifestyles” in economically developed, Westerncountries can drive nonlocal country-of-origin product prefer-ences. Those Indians who admired the West also viewed West-ern brands as prestigious and cosmopolitan, which can enhancea buyer’s identity (Batra et al. 2000). In a similar vein, Zhouand Belk (2004) noted that some consumers in China, anotheremerging economy, preferred foreign models, global advertis-ing appeals, and foreign brands as they aspired to a “globalcosmopolitanism.” Similarly, we suspect that an admiration forWestern lifestyle may be positively related to attitudes towardforeign brands placed in Bollywood films. If films are a wayto learn about foreign brands, lifestyles, and identities, then In-dian audiences who are favorably disposed to Western lifestylesshould also favor foreign brands in Bollywood films.

H5: Admiration for Western lifestyles will be positively related toattitudes toward foreign brands in Bollywood films.

Related to admiration for Western lifestyle is the degree ofwesternization or influence of Western values and practices onconsumers’ own preferences and consumption behaviors (i.e.,Western acculturation). For instance, Khairullah and Khairullah(2005) showed how Western acculturation of urban consumersin India influenced their perceptions toward American-originprint advertisements versus print advertisements of India. Theauthors conclude that for this particular audience of consumersacculturated to both Western and Indian lifestyles, both adswere favorable. Given these findings, we predict that those withWestern consumer acculturation practices (i.e., showing prefer-ence for Western shopping, clothing, food, music, and movies)will be favorable to foreign product placement in Bollywoodfilms.

H6: Western consumer acculturation will be positively related toattitudes toward foreign product placement.

Conversely, studies have shown that consumer ethnocentrism(defined as tendency for people to embrace objects from one’sown culture and to avoid buying foreign products; Shimp andSharma 1987) may impact attitudes and behavior toward for-eign brands. The underlying reasons for consumer ethnocen-trism may be for moral reasons or because of a belief in thequality of the goods of one’s own country (Klein, Ettenson, andMorris 1998), or because consumers want to support the local

economy (Shimp and Sharma 1987). In their study of Chineseconsumers’ response to advertising global and local advertis-ing appeals, Zhou and Belk (2004) noted that some informantspreferred local models and goods because they appeared to bet-ter reflect Chinese values and demonstrated a sense of nationalpride. As a whole, this body of literature has shown that COOcan influence attitudes toward foreign goods but not always ina positive way (e.g., Akram, Merunka, and Akram 2011), evenamong consumers in emerging economies (e.g., in China; Zhouand Belk 2004). We suggest those that score high on consumerethnocentrism will be less/more favorable toward foreign/localbrands in Bollywood films.

H7: Consumer ethnocentrism will be negatively/positively relatedto attitudes toward foreign brands/preference for domestic brands inBollywood films.

Method

SampleTo measure attitudes toward product placement in Bollywood

cinema, a questionnaire was distributed with the aid of a marketresearch firm in India. Although a probability-based nationalsample would be ideal, the practical problems associated withdoing so mean that sampling in urban locations is the alternativecommon practice (see Batra et al. 2000). The firm used a randomhousehold sample in the Western Indian city of Pune. With apopulation of around 3.12 million people, according to the 2011census, Pune is the ninth largest city in the country (Office ofRegistrar General and Census Commissioner 2011). This city isthe historical and cultural center for Marathi-speaking individu-als. Its economy is vibrant due to the growing manufacturing andservice sectors including vehicle production and the IT industry,among others. It is also known for its excellent educational andresearch institutions.

A traditional random household, random contact method wasused, which used random, probabilistic sampling techniques toensure representativeness. The city was divided into blocks; ineach selected area, starting points were identified. From eachstarting point, the interviewer contacted every second house.If there were individuals who fulfilled the selection criteria,the interviewer would administer the questionnaire. The crite-ria were that the interviewee had to be a resident of Pune andhad watched Bollywood movies regularly (at least one a month;rental or theater viewing was not distinguished). In addition, wewanted to ensure equal representation of socioeconomic classi-fication (SEC) and gender because past research has indicatedthat these variables may influence product placement attitudes(e.g., Sung, de Gregorio, and Jung 2009); therefore, a quota sam-pling method was used for those factors. For SEC, in addition toincome and consumer classification, Indian households can alsobe segmented according to the occupation and education levelsof the chief earner of the household (i.e., the person who con-tributes most to the household expenses). SEC is determined tounderstand the purchase behavior and the consumption pattern

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of the households. The urban area is segregated into A1, A2, B1,B2, C, D, E1, and E2 (“Indian Readership Survey” 2009). Here,“high” socioeconomic classes refers to SEC A and B, “mid”socioeconomic class refers to SEC C, and “low” socioeconomicclasses refers to SEC D and E. The questionnaire was completedin person (face-to-face) in the interviewee’s home. It took around20 minutes for the respondent to complete the survey.

The survey instrument was pretested with three respondentsin Mumbai to check whether the respondents understood allquestions and were able to answer them appropriately. The ques-tionnaire, originally written in English, was translated into thetwo local languages of Hindi and Marathi. The second author iswell versed in all three languages.

MeasuresThe questionnaire was developed based on Gupta and

Gould’s (1997) and Gould, Gupta, and Grabner-Krauter’s (2000)instrument with additional items of interest to our study. A totalof 158 responses were used for the final analysis. Although thismay be considered a small sample, care was taken to ensure thesample represented fairly equal socioeconomic (SEC) classifi-cations and gender. The descriptive statistics are presented inTable 1. The sample had near equal gender representation (51%male), similar representation from each SEC, was older than39 years, less educated (78% had education up to high schoolor less), and watched 4.78 movies in a month. Because we sam-pled equally from each SEC classification, our sample is slightly

TABLE 1Study 2 Sample Characteristics and Descriptive Statistics (N = 158)

1.1 Independent variables (categorical) Frequency Valid %

Gender 50.63% maleSocioeconomic classification

A1 18 11.39A2 11 6.96B1 21 13.29B2 11 6.96C 29 18.35D 33 20.89E1 21 13.29E2 14 8.86

EducationIlliterate 8 5.06Literate but no formal schooling 7 4.43School up to four years 30 18.99School five to nine years 32 20.25Up to grade 10 through 12 46 29.11Some college/diploma but not graduate 4 2.53Graduate (general) 23 14.56Postgraduate (general) 5 3.16Graduate/postgraduate (professional) 3 1.90

1.2 Independent and control variables (continuous) Mean (SD)

Age 39.73 (7.73)Number of Bollywood movies viewed in a month 4.78 (3.55)Ethical acceptability of product placement 3.76 (1.10)Brands offer realism 5.70 (.97)Consumer ethnocentrism 3.69 (1.05)Admiration for Western lifestyle 2.82 (1.18)Western consumer acculturation 1.95 (.79)

1.3 Dependent variables (continuous) Mean (SD)

Attitude toward product placement in general 4.96 (.83)Perceived influence of celebrity product placement 3.04 (1.36)Preference for domestic brands in movies 4.89 (1.15)Attitude toward foreign brands in movies 4.79 (.92)

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PREVALENCE OF AND RESPONSE TO BRAND PLACEMENT IN BOLLYWOOD MOVIES 9

more literate and provides relatively fewer responses from thelower SEC distributions in comparison to the Pune populationoverall. Other than demographics, most of the items were mea-sured using a 1 to 7 scale with 1 as Disagree very strongly and 7as Agree very strongly, unless otherwise indicated. Movie view-ing was asked with the question, “About how many Bollywoodmovies do you rent/watch a month?”

In addition to demographic and lifestyle variables (gender,age, education, and movie-viewing habits), we measured vari-ables related to product placement. Ethical acceptability of prod-uct placement was made up of the following two items (Guptaand Gould 1997): “It is highly unethical to influence the cap-tive audience by using brand name products in movies” and “Iwould consider product placements as ‘commercials (ads) indisguise”’ (r = .47, p < .01, M = 3.76, SD = 1.10). Brandsoffer realism was comprised of the following two items (Guptaand Gould 1997): “Movies should use fictitious brands ratherthan using existing brands,” which was reverse-coded, and “Iprefer to see real brands in movies rather than fake/fictitiousbrands” (r = .65, p < .01, M = 5.70, SD = .97). Consumerethnocentrism was measured with the same four items from theCETSCALE (Shimp and Sharma 1987) used by Batra et al.(2000). The items were “Purchasing foreign-made products isun-Indian”; “Indians should not buy foreign products becausethis hurts Indian business and causes unemployment”; “A realIndian should always buy Indian-made products”; and “It is notright to purchase foreign-made products” (Cronbach’s alpha =.82; M = 3.69, SD = 1.05).

Admiration for Western lifestyle was comprised of two items:“I admire the lifestyle of people who live in more economicallydeveloped countries, such as the U.S. and Europe” and “I feelthat I sometimes try to imitate the lifestyle of economically de-veloped countries such as the U.S. and Europe,” similar to theone item used in the Batra et al. (2000) study. Interitem correla-tion was .41, p <.01, M = 2.82, SD = 1.18. Western consumeracculturation was measured using items from the Khairullahand Khairullah (2005) study with urban Indian consumers. Re-spondents were asked to respond to the query and the followingitems on a scale of 1 to 7, where 1 = Indian all the time and 7 =Western (non-Indian) all the time: “Please state the frequencyof your shopping behaviors. What kind of products do you buy?My preference for listening to music; my preference for eat-ing food; my clothing preferences; my preference for watchingmovies” (Cronbach’s alpha = .60; M = 1.95, SD = .79).

Four dependent variables were measured. Attitude towardproduct placement in general was comprised of the followingthree items: “I won’t go to a movie if I know beforehand thatbrands are placed prominently in it for commercial purposes,”which was reverse-coded; “I hate seeing brand-name products inmovies if they are placed for commercial purposes,” which wasreverse-coded; and “I generally prefer movies that do not haveproduct placements in them to those that do,” which was alsoreverse-coded (Cronbach’s alpha = .74, M = 4.96, SD = .83).These items are similar to those used by Gupta and Gould (1997)and Gould, Gupta, and Grabner-Krauter (2000) to measure “atti-

tude toward product placement in general.” Perceived influenceof celebrity product placement (behavior) was measured with asingle item: “I buy brands that I see movie stars using or hold-ing in movies” (M = 3.04, SD = 1.36). This item is the sameone used to represent purchase behavior (Gould, Gupta, andGrabner-Krauter 2000) and is also similar to the one used by deGregorio and Sung (2010) that assesses perceived behavior afterviewing product placements. Preference for domestic brands inmovies was measured with a single item: “Movies should use In-dian brands rather than foreign brands” (M = 4.89, SD = 1.15).Attitudes toward foreign brands in movies was measured withtwo items: “It feels good to see foreign brands in Bollywoodmovies” and “It feels odd to see foreign brands in Bollywoodmovies,” the second of which was reverse-coded, r = .45, p <

.01, M = 4.79, SD = .92).

Results

Attitudes Toward Product PlacementTo address research question 2, to determine which factors

influenced attitudes toward product placement in general, hier-archical regression analysis was conducted (refer to Table 2).Ethical acceptability of product placement (std. B = −.44, p <

.01) negatively influenced attitudes. Consumers reported prod-uct placement to be slightly unethical (M = 3.76), and thisresulted in a negative attitude toward product placement. Sim-ilarly, consumer ethnocentrism had a negative influence on at-titude toward product placement (std. B = −.22, p < .01). Thestronger the feelings that consumers had for Indian products,the more negative were their attitudes toward product place-ment. For our respondents, product placement may be per-ceived as a marketing activity of foreign brands. On the otherhand, the realism offered by brands positively influenced atti-tudes toward product placement (std. B = .27, p < .01). SEC,education, gender, age, movie-viewing habits, admiration forWestern lifestyle, and Western consumer acculturation did notsignificantly influence attitudes toward product placement. Re-gression results revealed that the model contributed 32.86%(p < .01) variance in attitudes toward product placement.

Next, out of interest, we compared our study with recent find-ings reporting U.S. nonstudent audience attitudes toward prod-uct placement (Sung, de Gregorio, and Jung 2009). Althoughour full survey used similar items, because they collected dataon a 5-point scale and we did so on a 7-point scale, we calculatedthe mean difference using means and standard deviations witht-statistics using statistical software MedCalc version 11.2.1.0.Refer to Table 3 for means reported by each study. In general, theIndian sample showed more positive attitudes across questionsthan did the U.S. sample. Given the newness of the marketingactivity, Indians may be less skeptical about product placement.

Perceived Influence of Celebrity Product PlacementResearch question 3 explored the factors that influenced

the degree to which respondents felt that celebrity productplacement influenced their own consumption behaviors. To

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TABLE 2Factors That Influence Product Placement Attitudes and Perceptions

Attitude toward Perceived influence Preference for Attitude towardproduct placement of celebrity product domestic brands foreign brands

Variable in general placement in movies in movies

Socioeconomic classification $ .00ˆ .18 .03 −.02Education % −.05 −.05 0.29∗ −.12Gender .03 −.03 .01 .02Age −.09 −.11 −.02 −.07Movie viewing .00 .05 −.11 .06Ethical acceptability of product placement −0.44∗∗

Brands offer realism 0.27∗∗

Consumer ethnocentrism −0.22∗ −0.27∗∗ 0.43∗∗ −0.22∗

Admiration for Western lifestyle −.01 0.34∗∗ −.15+ 0.21∗

Western consumer acculturation −.00 −.05 .04 .14Total R2 32.86∗∗ 20.74∗∗ 25.88∗∗ 14.90∗∗

ˆDenotes standardized beta values from hierarchical regression.$ = Although the variable is categorical, it was treated as an interval scale in the regression equation, with ‘SEC A1’ assigned a code of 1,

‘SEC A2’ assigned a code of 2, and so on.% = Although the variable is categorical, it was treated as an interval scale in the regression equation, with ‘Illiterate’ assigned a code of 1,

‘Literate but no formal schooling’ assigned a code of 2, and so on.Blank cells indicate variables that were not entered into the regression equation.+p < .10; ∗p < .05; ∗∗p < .01.

address this question, hierarchical regression analysis was againconducted. Two variables significantly influenced the perceivedinfluence of celebrity product placement. Ethnocentrism had anegative influence (std. B = −.27, p < .01); the more respon-dents believed in Indian products, the less likely they perceivedthat these Indian actors’ product placement influenced theirown consumption choices. Conversely, admiration for Westernlifestyle had a positive influence on the perceptions of celebrityinfluence (std. B = .34, p < .01). SEC, education, gender,age, movie-viewing habits, and degree of Western acculturationfailed to affect celebrity product placement influence percep-tions. Regression results revealed that the model contributed20.74% (p < .01) variance in perceived influence of celebrityproduct placement.

Preference for Domestic Brands or Attitudes Toward ForeignBrands in Movies

Research question 4 addressed Indian audiences’ feelingsabout domestic or foreign product placement and examinedwhich factors were related to such attitudes. For domestic brandattitudes, two variables influenced respondents’ preference fordomestic brands in movies, while one variable had a marginalinfluence. Education positively influenced the preference (std.B = .29, p < .05). One-way ANOVA results revealed marginalresults. More highly educated respondents reported marginallyhigher preferences for domestic brands in movies (F = 1.78,p < .10). As might be expected, ethnocentrism had a positiveinfluence (std. B = .43, p < .01); those who preferred buying

Indian products in real life also preferred seeing them (versusforeign brands) in fictionalized life. Hypothesis 7 was thus sup-ported. Admiration for Western lifestyle had a marginal negativeinfluence (std. B = −.15, p < .10). SEC, gender, age, movie-viewing habits, and degree of Western acculturation failed toinfluence preference for domestic brands in Bollywood movies.Regression results revealed that the model contributed 25.88%(p < .01) variance in preference for domestic brands in movies.

The hierarchical regression for attitudes toward foreignbrands in movies revealed two significant variables. Again,as expected, ethnocentrism had a negative influence on atti-tudes toward foreign brands (std. B = −.22, p < .01), thusoffering support for hypothesis 7. Conversely, admiration forWestern lifestyle had a positive influence on attitudes towardforeign brands in movies (std. B = .21, p < .01), thus offeringsupport for hypothesis 5. SEC, education, gender, age, movie-viewing habits, and degree of Western acculturation failed toinfluence perceptions; thus, hypothesis 6 (Western acculturationwill be positively related to attitudes toward foreign brands) wasnot supported. Regression results revealed that the model con-tributed 14.90% (p < .01) variance in preference for foreignbrands in movies.

DiscussionResults of the survey revealed fairly positive attitudes to-

ward product placement; the mean score of 4.96 was above themidpoint of 4 on the 7-point scale. This positivity appearedto be true irrespective of demographics. In fact, when com-pared with U.S. audiences, Indians demonstrated more favorable

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PREVALENCE OF AND RESPONSE TO BRAND PLACEMENT IN BOLLYWOOD MOVIES 11

TABLE 3Comparison of Attitudes Toward Product Placement in India and the United States

Sung, de ComparisonGregorio, and of the

Product placement attitude item Our study Jung (2009) two studies

Nature of sample Indian nonstudent U.S. nonstudentNature of scale 7 points 5 pointsN 158 3,340Df 3,496

Mean (SD) Mean (SD) t-value, sig.I don’t mind if movie producers receive money or other

compensation from advertisers for placing their brandsin the movies.

5.61 (.97) 3.45 (1.10) 24.24∗∗

Movies should use fictitious brands rather than existingbrands.

5.80 (.94) 2.24 (1.06) 41.45∗∗

I don’t mind if brand-name products appear in movies. 5.36 (1.05) 3.76 (1.02) 19.24∗∗

It is highly unethical to influence the captive audience byusing brand-name products in movies.

3.72 (1.11) 2.59 (1.15) 12.09∗∗

Manufacturers are misleading the audience by disguisingprops in movies.

3.53 (1.03) 2.62 (1.13) 9.93∗∗

Movie viewers are subconsciously influenced by thebrands they see I movies.

5.26 (.95) 3.20 (1.11) 22.93∗∗

I consider product placements as “commercials indisguise.”

3.80 (1.45) 3.18 (1.18) 6.38∗∗

The government should regulate the use of brand-nameproducts in movies.

4.65 (1.22) 2.16 (1.17) 26.09∗∗

The presence of brand-name products in a movie makesit more realistic.

4.63 (1.29) 3.41 (1.14) 13.06∗∗

I buy brands I see movie stars using or holding in movies. 3.04 (1.36) n/aI hate seeing brand name products in movies if they are

placed for advertising purposes.5.00 (1.06) 2.95 (1.27) 19.96∗∗

∗∗p < .01; ∗p < .05; n/a = data not available (not reported or collected).

attitudes on many items. This finding rather contradicts researchfrom other cultural contexts, which has shown that audiences inother markets are more negatively predisposed to product place-ment as compared with U.S. audiences (e.g., France, Austria:Gould, Gupta, and Grabner-Krauter 2000; Singapore: Karrh,Frith, and Callison 2001; China: McKechnie and Zhou 2003).It could be the case that due to newness of product placementin Bollywood movies, Indians did not have much knowledgeabout product placement or that the Indians found the practiceto be interesting and even beneficial to the media experience. Insupport of the latter point, the scores for the “realism” aspectof product placement were high (mean of 5.70) and correlatedstrongly with general attitudes toward product placement. Itseems that the Indians surveyed here, like the Indian gamers inanother study (Kureshi and Sood 2009), believed that the in-clusion of real brands in fictionalized spaces helps enhance themedia experience.

Perhaps the most interesting finding was the emergence ofconsumer ethnocentrism as a strong explanatory variable acrossall of the regression analyses. It appears that those people whoprefer Indian products generally also feel more negative aboutproduct placement and believe that celebrity product placementhas little influence on them personally. It is likely that productplacement is perceived as a Western marketing practice; how-ever, because our study did not measure this construct, futureresearch might explore this idea further. It could also be thecase that third-person perception (3PP: the belief that othersare affected more by a persuasive message than oneself; Davi-son 1983) is operating in this context. Such 3PP effects werefound in a previous study when U.S. adolescents believed thatothers were affected more by product placement than they ortheir friends were (Nelson and McLeod 2005). In India, Varmanand Belk (2008) noted that participants believed that imagined“others” were more affected by television than they were.

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As expected, those who scored high on consumer ethnocen-trism also preferred domestic product placement and were lesslikely to show favorable attitudes toward foreign product place-ment. Consumer ethnocentrism develops out of a long historyin India, back to the struggle for Independence from Britainin the Swadeshi movement. Swadeshi, one of the 11 Gandhianvirtues, means belonging to or being made in one’s own coun-try (Trivedi 2007). The virtue, movement, and policy relatesto self-reliance and economic autonomy as a way to free thecountry. Although the movement started in the early 1900s, itis still widely practiced in Indian society (Brister 2007); ap-parently, the idea of “buying Indian” resonates and influenceshow Indians feel about foreign or domestic brands in domesticmedia. Our findings here seem to contradict the strong prefer-ence for foreign brands noted among respondents in the studyby Batra et al. (2000). Conversely, those people who indicatedthat they admired Western lifestyles also were more favorableto foreign product placements and perceived that the celebrityproduct placement may have some influence on self (indicativeof first-person perception or the belief that persuasive messageshave a greater effect on self than on others—also called reverse3PP; Golan and Day 2008). Thus, although consumer ethno-centrism emerged as a strong factor, its contrast (an opennessand admiration for Western lifestyles) also influences the ex-tent to which Indians accept foreign placements and celebrityinfluence.

GENERAL DISCUSSIONOur research contributes to the theory and understanding

of product placements in a global context. Although criticsof globalization suggest that Western influences may behomogenizing indigenous media (e.g., Kripalani 2006), rarelyis there empirical, longitudinal research to assess such claims.Our content analysis examining the prevalence of domesticand foreign brands in Bollywood films over time provides ahistorical examination and a benchmark. The results noted hereseem to confirm critics’ claims. Namely, we show that there aresignificantly more brands in films in the current decade than inthe years just after economic liberalization. In fact, it appearsthat the incidence of foreign brands is increasing, with foreignbrands placed in more prominent positions. These latter findingscould be a result of the parallel increase of foreign brands intoreal life in India, the growth of this persuasion tactic in thecountry, or the change in content and growth of internationallocations within Bollywood films. Irrespective of cause, theforeign brands are providing new consumption symbols for theaudiences. As the brands become more familiar in media andon store shelves, it is likely that they will also become moredesired among the audiences (Varman and Belk 2008). Futureresearch might gauge whether the high brand content noted in2010 movies holds in subsequent years and how location orstory influences the nature of branded content. Research couldalso assess Indian audiences’ interpretations of the foreign and

local brands within movie contexts to better understand the rolethat country of origin might play in product placement.

Indeed, the introduction of COO of the brand to the prod-uct placement literature is a contribution. COO has longplayed a role in understanding consumer product choice(Shimp and Sharma 1987) and global advertising strategy (e.g.,Parameswaran and Pisharodi 1994), but now the concept hasbeen extended to understanding of foreign and local brands infilms. This understanding could help managers understand thepromise or pitfalls of placing foreign brands in indigenous me-dia. The inclusion of COO to this literature provides a broaderview of global strategy. For instance, in their seminal workon cross-cultural attitudes toward product placement, Gould,Gupta, and Grabner-Krauter (2000) seem to consider only Hol-lywood films as the medium. They suggested it would not belikely that movies would have different “localized” versionsbased on different product placements, so therefore “the prod-uct placement campaign is one of standardization by default”(p. 42). Yet they did not regard local film industries as an exam-ple of a local medium where some “glocalization” (i.e., placingforeign brands in local contexts) is possible. Some researcherssuggest that there should be a match between the country-of-origin of the film and the type of audience and the products(Redondo and Holbrook 2008). Future research might assessthe optimal conditions for “local or global” product placementstrategies, similar to the body of literature examining globaladvertising (e.g., Ford, Mueller, and Taylor 2011).

Optimal conditions include those where the audiences arereceptive to foreign brands in their local media. Our study ofattitudes toward product placement shows, for this populationand at this point in time, attitudes toward product placementitself are generally favorable. However, as product placementis a relatively new practice to the country, it is important togauge consumers’ evolving beliefs about the practice over time.It may be also that as audiences learn about product placementor find their media saturated with brands, they will becomeless favorable. The results here do not show uniformity withrespect to type of brand preferred. For those Indians who admireWestern lifestyles, foreign brands are viewed favorably. Theselatter results are in line with those reported by Batra et al.(2000) in their survey of Indian housewives in Mumbai andDelhi, in that brands having nonlocal (and Western origins) werepreferred among Indians who held an admiration of the West.However, given our respondents’ high ratings on preference fordomestic brands, marketers should consider whether or not thepractice is beneficial for foreign brands and for which audiences.For those scoring high on consumer ethnocentrism, there isstrong resistance to foreign product placement. Finally, giventhat we used quota sampling based on social class and gender inone city in India, the results here should be assessed with otherpopulations.

Further, we were surprised to see that although attitudes to-ward product placement were favorable, respondents did notnecessarily feel that they personally were influenced when

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celebrities featured brands. Although celebrities are admiredin this vertically collectivist culture, the perception of influencemay not occur due to the high cost of the actual brands appearingin the film. Rather than asking direct questions about percep-tions of influence, future research might ascertain the extentto which a relationship exists between viewers and charactersand discern how that relationship influences brand effects (e.g.,Russell and Stern 2006).

The broader ramifications of product placement on societyshould also be considered. For example, the types of productsplaced most often are those that are “ethically charged” (e.g.,alcohol, unhealthy foods and drinks; Cassady et al. 2006). Inseveral studies, including our own, Coca-Cola was by far thebrand seen the most frequently (United States: Cassady et al.2006; Galician and Bourdeau 2004; South Korea: Sung, Choi,and de Gregorio 2008). Given the world health issue with re-spect to obesity, the use of unhealthy foods in product placementshould be examined more closely. Certainly, alcohol is anotherpopular product category for product placement (e.g., Russelland Russell 2008); future research should investigate the waysthat these products are consumed and by whom to gauge theappropriateness of the placements. Overall, we hope our multi-method study initiates future research on effectiveness and ef-fects of product placement within and beyond this cultural con-text.

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