Little evidence advertising and merchandise bans would cut drinking

Earlier this year, the BPMA joined ranks with the alcohol and advertising industry to oppose the proposed Scottish ban on alcohol advertising and sale of branded merchandise in a cross-industry consultation. In a massive U-turn, the Scottish First Minister Humza Yosef vowed to go back to the drawing board.

Evidence lacking

The Scottish Government had previously been consulting on plans which would have barred drinks firms from sponsoring sport and live events, and which would have prevented distillery and brewery shops from selling branded merchandise to visitors and giveaways at events.

With a threat to the promotional merchandise industry in Scotland, the BPMA consulted its Scottish members to present case studies to show the economic impact of the proposal, citing significant job and revenue loss which threated Scottish companies. Coming hot on the heels of pandemic recovery, the position presented was a ‘no go’ for members.

IEA report

The new report issued by the Institute of Economic Affairs (IEA) to look at the economic impact of the consultation, proves there is “remarkably little” evidence to show that banning alcohol advertising would lower consumption or reduce harm on society, Scottish ministers have been told.

A consultation on removing alcohol marketing from areas such as billboards and retail premises as well as sports and hospitality locations was launched last year. It was welcomed by health campaigners but faced fierce criticism from the industry.

Anti-business fears

The document sparked fears that Scotch whisky distilleries and tourist attractions, such as the Johnnie Walker Experience in Edinburgh, would have to be covered up, although Nicola Sturgeon, then the first minister, denied that would happen.

It was among the policies shelved by Humza Yousaf shortly after he became the SNP leader and he said in April that the plan should go back to the “drawing board” as it needed more input from businesses.

When he took over as First Minister, Mr Yousaf said he backed the aim of the measures “to reduce the harm caused by alcohol to children” but accepted that they had caused “real concern”.

‘Advertising has no effect’

The IEA report claims “the weight of evidence leans towards alcohol advertising having no important effect on the aggregate demand for alcohol”.

The think tank looked at academic papers assessing the impact in countries and regions where some form of alcohol marketing restriction has been in place. Canada, Scandinavia, France and Russia were among the places analysed.

It concluded there was no “robust” evidence showing that a ban had a significant effect on demand for alcohol. It suggested that advertising spending had little impact on overall drinking levels.

What now?

It is likely the issue will be raised again as the topic of alcohol in Scotland does cause concern and there is no doubt merchandise will be targeted again. The BPMA is standing by to step up and defend our industry with the backing of the wider alcohol and advertising industry.

Box – Background

Advertising bodies and media organisations had reacted strongly to the Scottish Government’s proposals to ban alcohol advertising and marketing in their responses to the Government’s consultation.

The Advertising Association, ISBA and the IPA, which represent their members in Scotland, took the unprecedented step of issuing a joint public statement, alongside the Marketing Society Scotland, the BPMA, the Cinema Advertising Association and the UK Cinema Association, the Scottish Newspaper Society, and Outsmart.

The statement said: “We stand together and publicly reject the Scottish Government’s proposals to introduce swingeing alcohol advertising and marketing bans. Whilst we understand the Government’s desire to reduce alcohol consumption harms in Scotland, there is no evidence that advertising bans will achieve that aim. The proposals set out by the Scottish Government will fail to address the problem. Such measures will be harmful to the Scottish economy – including local communities – to Scotland’s advertising and creative industries, and to the Scottish media including publishers, broadcasters and cinemas, as well as the outdoor advertising sector. At the end of the day, we are talking about an impact on Scottish businesses, Scottish jobs and Scottish communities for no discernible benefit.”

At the end of the day, it seems like the Scottish Government has listened.