The premiere of "And Just Like That" is on HBO Max.
You were surprised by the appearance of the maker of high-end exercise equipment on the new series, "And Just Like That."
At the end of the first episode, Mr. Big, the on-again-off-again love interest of Carrie Bradshaw, clips into his bike for his 1,000th ride. He had a heart attack after he hopped off the bike.
We wondered if companies are usually in the dark about how their products will be used in a movie or TV show. What does a typical product-placement agreement look like? Does a company have legal recourse if it is upset with how its product is portrayed?
There are two types of product placement agreements, one in which a company pays to be featured in a show or movie, and the other in which a production company procures a trademark to be used in a movie.
If a production company wants to use a trademarked product, it must get a special license. In the episode, the logo is visible on Mr. Big's bike and the instructor video resembled a real course.
The principle of nominative fair use allows production companies to use a trademark if the product is used in a way that is consistent with the original trademark.
When you use a protected mark in a way that makes it seem like it's not real, it's not fair use. She said that the good will of the consumers wastarnished by HBO.
The stock price plummeted after the episode was aired, she said, referring to the 11 percent drop in the stock price overnight. The value of the stock fell on Friday.
Ms. Prager believes that if the story line of the product was not disclosed, then the company could consider litigation.
The chief executive and founder of Hollywood Branded, a marketing and branding agency in Los Angeles, said that it was a mistake that Peloton wasn't fully aware of the script.
According to a report, Peloton didn't know how the bike would be used in the show. Ms. Jones and Ms. Prager agree that the details of the show are not public.
Ms. Jones said that the production forgot that product placement is supposed to be mutually beneficial and that they did not put their thinking cap on about the damage that this would cause the brand.
Product placement is an alternative form of advertising, according to David Schweidel, a professor of marketing at the Goizueta Business School.
He said that companies have been looking for product-placement agreements more than ever. The increased use of streaming platforms means viewers are seeing fewer commercials and companies are more likely to use product placement deals to promote themselves.
Professor Schweidel said that if he can't reach his customer base with a traditional television commercial, he takes the product in the program itself. They can not avoid it.
Product-placement advertising is worth over $20 billion in 2021, according to him.
Ms. Jones said that the arrangement can be beneficial for production companies since it makes a show more realistic.
The inclusion of Peloton was important to the advancement of the story line. She said that Peloton provided a solution to their problem.
Usually when a company is so unhappy with how its product is portrayed that the idea of litigation is floated, TV shows claim that it is a parody, that viewers know that this is fiction, according to Beth L. Fossen, an assistant professor of marketing at the Kelley School of Business.
She said that approach works for shows like SNL.
The story line may have hit a little too close to home because of the unfavorable headlines about a child dying in an accident involving one of its treadmills.
At least for the time being, it seems that Peloton is not interested in litigation. Dr. Suzanne Steinbaum said that Mr. Big was at risk because of his previous cardiac problems.
Dr. Steinbaum said that Mr. Big's lifestyle choices were most likely the cause of his death.
She speculated that riding his bike may have helped delay his cardiac event.
