Alcohol Advertising Has ‘No Effect’ on How Much People Drink, Says New Report

(Photo: Kelsey Chance/Unsplash)

A recently released report shows that alcohol advertising does not appear to affect the amount people drink. The results of this study suggest that government bans on advertising are ineffective and not evidence-driven.

The study was undertaken by the UK-based think tank, the Institute of Economic Affairs (IEA). It highlighted the surprising lack of evidence for bans on alcohol advertising reducing alcohol consumption. 

Among many topics, the report pointed out that, in Britain, the amount of money spent on alcohol advertising decreased by 10.8% between 1991 and 2001. However, the consumption of alcohol increased by 15.8%. Ironically, the increased consumption was linked to wine sales which often have less advertising when compared to beer and spirits. 

“The claim that banning alcohol advertising would reduce the amount of alcohol-related harm in society has remarkably little evidence to support it,” said Christopher Snowdon, report author and head of lifestyle economics at the IEA. “Advertising affects the market share of individual brands, but the amount of money spent on alcohol advertising has no effect on alcohol consumption overall. This is how advertising works in every other mature market, and it would be a surprise if alcohol were any different.”

In a study conducted by Mark Gius, it was concluded that spirit advertising in the US only results in “brand switching and does not increase the size of the spirits market.” 

When considering advertising, one could take dog food as an example. If you don’t have a dog you a very unlikely to make a purchase simply from seeing an ad. Although, brand advertising may convince a dog owner to switch the brand that they feed their dog. Similarly, if someone does not drink alcohol or does not have an interest in alcohol, an advertisement is unlikely to convince them to take up drinking. 

An aspect that does appear to affect consumption is cost. This year Canada decided to increase its taxes on alcohol partially the help curb consumption. The World Health Organization also argues raising alcohol prices can have the strongest impact on reducing the amount people drink.

However, it appears there is little consideration for the economic impact raising prices has on people of different socio-economic backgrounds. When prices rise, low-income individuals and families are the ones who take the biggest hit, especially during times of high inflation. The more money a person makes the less effective the increased costs would be on consumers. One might consider some forms of alcohol regulation an easy bandaid without an in-depth consideration of the policy’s impact. 

“Strident claims from anti-alcohol campaigners about advertising should be taken with a pinch of salt,” continued Snowdon. “This evidence review found that only a few high-quality studies have looked at this issue, and the evidence is, at best, mixed. A ban on alcohol advertising would certainly not be an evidence-based policy.”

Snowdon argued that when the alcohol industry pays for advertising the goal is to convince consumers to switch from rival brands, rather than drink more. The amount people drink is likely connected to various cultural factors and there appears to be a lack of association between advertising spending and consumption. 

At the end of last year, a study on the drinking habits of different generations was published. It found that more than 80% of Americans still consume the same drinks that they first tried. This study could further call into question how effective advertising is when it comes to what and how people drink.

There is no doubt that chronic or overconsumption of alcohol can have severe consequences on people’s lives and health. How people drink, and how much, is certainly at a crossroads with opposing forces attempting to influence the public. Half of celebrities are creating new brands and the other half are flaunting a sober lifestyle. Regardless of the pull of people like Bella Hadid and Bruno Mars have, alcohol has been around for millennia and government regulations or influencers are unlikely to overly change how and what people like to drink. 

Read Next:

In a First, Tennessee Sues Six Online Spirits Retailers for Illegally Shipping Alcohol

‘One of the Most Extraordinary Bottles’: 180 Year Old Rum to Hit Auction, Could Fetch a Hefty Price

8 Must-Try American Craft Rum Brands in 2023

Here at The Daily Pour, we do more than write about current events in spirit. We are the only media property reviewing spirits and aggregating the scores and reviews of other significant voices in the spirit world in one place. If you’re interested in getting a shot of spirit in your morning email, sign up for our Whiskey Deal of the Day Newsletter