On the storyboard/timeline, select the video clip or picture to which you want to add the video effect.
On the Tools menu, click Video Effects.
In the Movie Tasks pane, under Edit Movie, click View video effects.
In the Contents pane, click the video effect you want to add.
On the Clip menu, click Add to Timeline or Add to Storyboard.
You can also add an effect by dragging the effect and dropping it on the picture or video clip on the Video track of the timeline or to the video effect cell of the video clip or picture on the storyboard.