Bollywood Industry in the Wake of Cost Cutting Measures: Role of Quality Cues on Brand Placements

Abstract

This study examines the significance and the favorability of brand placements in Indian film industry (Bollywood) movies that would generate revenues and reduce the risk of production costs for the decision makers (film production houses). A theoretical model built on Cue utilization theory is used to assess the number of brand placements in movies with respect to intrinsic and extrinsic cues. The model is empirically tested on a sample of top 100 Bollywood movies that were box-office successes during two decades (1995-2015). The findings suggest that genre of a movie (intrinsic cue) and star power (extrinsic cue) serve as important indicators in placing brands in Bollywood movies. In particular, specific genre-comedy, drama and romance-attract more number of brand placements, as does the starring role of superstars in movies.