Product placement is often confused with sponsoring. However, the European Audiovisual Media Services Directive [1] state that the main difference between sponsorship and product placement is that in product placement the reference to a product is built into the action of a program. Sponsor references may be shown during a program but are not part of the plot.
Reference
[1] Europese Unie (2010). Europese Richtlijn audiovisuele mediadiensten. Retrieved from http://eurlex.europa.eu/LexUriServ/LexUriServ.do?uri=OJ:L:2010:095:0001:0024:NL:PDF
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