-By Shahnaz Mahmud

NEW YORK M3 Television, a video and online production company, has launched a branded interstitial programming unit to create on-air branded entertainment campaigns. M3's aim is to produce Hollywood-esque campaigns for Madison Avenue, said Andy Meyers, president.

The unit, which crafts both long- and short-form fare, is seeking more subtle ways to integrate products into entertaining content. "It's programming that sells but is not an infomercial," said Meyers.

Advertisers are getting more involved in various sponsored interstitials and are now fairly familiar with the concept, he said. As some brands are buying larger blocks of ad time, "This is a more effective way of promoting their product, especially in this TiVo world," said Meyers.

M3 is in talks with advertisers spanning all categories. But, ones that have expressed the greatest interest include: autos, financial services, alcoholic beverages and soft drink companies.  

Meyers is a former Entertainment Tonight producer, as are the other M3 partners, Roman Perez and Brad Baruh. "By remaining true to the essence of the films, television shows, music, books and individual stars we promote, viewers are drawn to -- rather than away from -- the content we produce," said Meyers.

While M3 focuses on on-air interstitial programming, Meyers said the changing dynamics in the marketplace might yield a change in direction to include online media. The programs M3 will create can live online, said, "it all just depends on who the buyer is."