1. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Self Regulation An Advertisers View - The Alcohol Industry - Helmut B. Wagner Vienna, 16 May 2003

2. The European Forum for Responsible Drinking The European Forum for Responsible Drinking TAG Members ALLIED DOMECQ BACARDI-MARTINI COORS DIAGEO PERNOD-RICARD HEINEKEN INTERBREW MOET HENNESSY REMY COINTREAU SCOTTISH & NEWCASTLE GERMAN BREWERS (Affiliated Member) Moët Hennessy

3. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Board of Directors (CEOs) Executive Committee Self-Regulation Chair: P. Mouton Pernod Ricard TAG Support: H. B. Wagner Young People Chair: J. Blood S & N TAG Support C. Brigaudeau Drink & Driving Chair: G. de Guitaut Moët Hennessy TAG Support C. Brigaudeau Scientific Chair: J. Buckingham Allied Domecq TAG Support M. Manciu TAG Structure Task Forces

4. The European Forum for Responsible Drinking The European Forum for Responsible Drinking

9. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment (The Drinks) Industry’s ‘license to operate’ is under threat from different players and from several directions

10. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l Increasing appreciation of and data on the social and financial cost of abuse l The Nordic influence in EU decision-making l EU consumer sensitisation to consumption/ health problems l Commission makes public health/consumer protection a political priority-especially regarding “consumables” l Increased visibility of negative consequences (e.g. violence at sporting events)

11. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l “Children have the right to grow up in an environment which is protected against promotion of alcoholic beverages” l “Promotion should not target young people, e.g. through the combination of sports and alcohol” l WHO, The European Charter on Alcohol

12. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l “Until 2005 … in all EU states measures to be put in place to protect children and young people against promotion for alcohol ” l “Promotion of alcohol should be limited to product information and to adult (print) media” l Restrictions for sponsoring l WHO, The European Alcohol Action Plan, 2000 - 2005

13. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l “Restrictions on advertising are reducing alcohol consumption … young people are a key target audience for promotional activities from industry” l Objective until 2006: reduction of the pressure on young people to drink, especially through promotions, sampling, sponsoring accessibility especially at events l WHO Conference Stockholm, February 2001

14. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l “Increasing advertising pressure on young people” l “Industry self regulation has failed” l “Legislation and regulation are needed to better protect young people” l WHO experts meeting on “Marketing & Promotion of Alcohol to Young People”, May 2002, Valencia (where industry was not invited)

15. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l Recommendation on Alcohol and Young People adopted by the EU Council in June 2001, calling for l … better self regulation of advertising, marketing and promotions l … more efficient mechanisms for self regulation l Progress Report 2005, Interim Report 2003 l Other EU legislation influencing the issue: amendment of TV without frontiers-Directive, draft legislation on Sales Promotion

16. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l Commissioner Byrne asking drinks industry for evidence of effective self regulation l Increasing single-handed initiatives from EU Member States l France: Loi Evin l Spain: Action Plan against Alcohol l Netherlands:proposal from the Health Ministry l Greece: draft legislation l Ireland: high pressure to introduce restrictions l Next Meeting to review industry progress with DG SANCO on June 11, 2003

17. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks industry’s environment l “Self regulation has to be seen to work otherwise other solutions have to be looked at. I am still interested in Self Regulation but it has to work” l Commissioner Byrne, 16 October, 2002

18. The European Forum for Responsible Drinking The European Forum for Responsible Drinking To summarize l Threats are coming from different sources and from different – partially high profile - drivers l Threat directions l Restricting the consumer base l Restricting drinking opportunities l Restricting promotional possibilities l Increased regulation instead of self regulation

19. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Industry Challenge l Self Regulation has to become a more effective mechanism, i.e. legislation or regulation is not needed l Higher level of responsibility in marketing and promotion of drinks to young people

20. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Reality check l Self Regulation is a well established system in the drinks industry ….

21. The European Forum for Responsible Drinking The European Forum for Responsible Drinking COUNTRY SELFREGULATION COVERED IMPLICITYSPECIFIC CODESPECIFIC LEGISLATION SYSTEMBY GENERAL CODEOR HEADING RULEON ALCOHOL EU MEMBER STATES AUSTRIAYES/ YES (ban on advertising on TV and radio) BELGIUMYES/YES (code in Wallonia)YES DENMARKYES FINLANDYES FRANCEYES/ YES (very restrictive) GERMANYYES/ GREECENOYES/ IRELANDYES/ / ITALYYES/ / LUXEMBOURGYES/ / NETHERLANDSYES/ PORTUGALYES // SPAINYES/ SWEDENYES/ EU ACCESSION COUNTRIES CZECH REPUBLICYES/ BULGARIA CYPRUS ESTONIA HUNGARYYES // LATVIA LITHUANIA///YES MALTA POLAND/YES/YES (ban on alcohol advertising) ROMANIA///YES (ban on alcohol advertising) SLOVAKIAYES/ YES (very restrictive) Self Regulation in the drinks industry

22. The European Forum for Responsible Drinking The European Forum for Responsible Drinking *Austria, Belgium, Germany, Ireland, Italy, Netherlands, Spain, UK Alcohol related complaints vs. total number

23. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Codes of conduct Self-regulatory framework Launch consumers competitorscivil society Feeding into Company Media Pre-Launch Advice Agency Complaint not upheldComplaint upheld Voluntary withdrawal or modification No Voluntary action Withdrawal through media & retailers co-operation Advertising Standards Body & Drinks Industry Organisation Complaints Mechanism

24. The European Forum for Responsible Drinking The European Forum for Responsible Drinking rejected accepted Example : a modified campaign to ensure compliance with codes

25. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Drinks Industry Program 2001-2005 l Refine and resource the network of national complaints mechanisms, covering the whole EU l Ensure availability of alcohol-specific, pre-launch advice system and encourage industry to take advantage of it l Systematic monitoring system for drinks industry commercial communications & sharing l Regular reports by National SRO assessing the overall quality of drinks industry advertising l Awareness-raising program targeting the industry supply chain l Awareness-raising media campaigns targeted at consumers

26. The European Forum for Responsible Drinking The European Forum for Responsible Drinking Conclusions l The storm clouds have gathered, and these coulds lead to specific restrictions l Threats are industry-wide. No sector escapes the condemnation of the “alcohol industry” l Industry needs to show better compliance with codes l Supply chain for commercial communications needs to be better involved

27. The European Forum for Responsible Drinking The European Forum for Responsible Drinking THANK YOU FOR YOUR INTEREST AND ATTENTION