Why are Brands Making Movies?

Nike’s, Air, Mattel’s Barbie and House of Gucci are the most famous (and best) recent examples of long-form ads wrapped up as entertainment.

But it feels like every brand is getting in on the act. Did you see these?

An ‘under-seasoned Cheetos biopic’.

A half-true story about pop-tarts.

An ‘awfully dull to watch’ story of Christian Dior and his contemporaries.

And now, AB InBev (Budweiser, Stella Artois etc.) is shifting into Hollywood-level productions (paywall).

Let’s dig into the trend and why it matters…

Less TV, More Ads

We know that people are watching less linear TV, but there is plenty of data to suggest that people would rather watch adverts than pay directly for products or services.

The more important point is that increasingly, if you want to reach the wealthier customer - who can afford to pay to avoid advertising - there needs to be an alternative approach: Brands as entertainment.

See here how Airbnb has taken this to the next level by fully immersing itself in pop culture.

Choose Wisely

Some brand stories - like the origins of the Air brand - are obvious. They are already partly told in the minds of consumers and stitching together the existing narratives into a movie makes perfect sense.

It's different if, like with LVMH, there are countless potential stories to tell and most of them don’t currently have strong memory structures for their target audience. In addition to the standard Hollywood pre-testing, it might make sense for brands to tell elements of the longer story through short-form video on social before launching into full production.

Risk vs. Reward

To quote Business Insider (paywall), ‘chief marketing officers often don’t last in their roles very long, so there’s a disincentive to champion projects that take a long time to develop’.

The broader organisation needs to be fully invested in being an entertainment brand, otherwise you could end up with another under-seasoned two-hour advertorial.

Why does this matter for marketers?

In a world where brands are making more effort than ever to be deeply embedded in culture, a movie feels like the ultimate goal; the Everest for any marketing climber.

But it will be hard - and probably foolish - to try and measure the direct, short-term impact of these ventures.

As Business of Fashion says (paywall):

‘The challenge… is to create engaging stories that don’t feel like an ad but bring the benefits of one.’