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CONTENTS
Executive Summary Part I
Introduction page 2
How Advertising Works...
Competition in i'Mature' Market page 4
International Experience with
CiWette Advertising Bans page
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Executive Summary
A cig3r-r-re adver-cisiat imn %vote no! affect cociacco product consumption by either adults
or --oung peopic,
- Azzording to go% ernmcnc hear.% oiiictais' the most forceful determinants of smoking by
,ALE-12 peop;c are parrn:s. ptt- ar! older i,@,hngs.
- Ann-imukin- advocz-:s until ec C ackri
owledged that advertising is nor a significant
dere:-7.-.;nar:r or smoi@:ng b%- young -cople o, invone eise.
Scrinkirz -ene-altv ar=ears to be hignesi: in chose Counties where advertising is forbidden
an@' lo%kcs@ in rhose ;auncr:es 3dverrisin; is allowed. Tobacco product consumption
b% vounz vejple :s Je:!jouirz :n mariv coun-ries %where advertising is -permitted and
in marn, al-, erasing :s prohibited.
a :Topaz.:: iik.- z:;,2rer-.-s or laundy dere.-gent does nor operate to
overall demanj -or :1-e producc. A--'-ver-.tsing instead operates ;o maintain or
@o-npanv NFL: share the xndL:szrv.
T ne su,::!siI-'ul bran:i azvernse- mus: break --:r)ugh the commercial clur!r -,hat exists in
ffit ad-.:@%sin-z T'-,i be done -nost effecrtivety by employing eve-carching
set-inas and bv Crta[Lng a dist:nz- pe:3onalitv zor the advertised brand.
S-iokt:-. iike consumers or o-ier Produces. art nor an undifferentiated Imass. Rather.
-aniurne-i :end :o in diizinctive 'rasze cultures'. Cigarette manu-
razzu:e:i, like manuiic-urers in other hizh:v competitive markets. tailor their brand
mcisazci to those wlhn consume -he!- products.
A,;% ert.imiz bans and concern-.: :oqr:ois are oremLsed on an assumption arittractical co
values - -,@,ar ordmav- c-tizens should nor be informed about the roducts thev
p
u,e or. in rormej, cannot be ::-usced to make their own decisions.
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Introduction
-.No one really pretends that ad%crtising is a major determinant of smoking in this country
or an%- other-.
Michael Partschult
I e,
Fede,if Tjje
In manv countries around the wor'll. hate been under pressure ;ram anti-
.muKinv icri%ihr@ to inrroc_,;,- !c_,i,;a,;,)n :0 zan -jarcr-c ad%ernbing or to impoic control,
or, -.ne @anrenc or zigaret:e acve:7isin; vouia @rt ian:z-nount ro, a total advertising ban.
T.@c prernise oi :rn, !S h.3: ::C-_7f!TC -,,:- erni:.nz is a itgniticanT de@-.:rnina= ot
i-okmg '61 %()Ung ?Cape Ldu.-i anz -.-..it @.;.-.ning z:zarerze advertising woulc reduce
Aniri-imoknz ad.. %a,:s a n.::7Itier -nanites-zoes arrmrnnz m iusrt,,v
banninz c;zarez% "'- Lrn,inz an :-is bz@_,
This paper cons@dtrs -ane,".: banning ::prerre advertising in fact would advance
crie goal or reducing irnoktrz. Rt@%inz )n data -eporred by go%ernment agencites
and b% anv-smoKin)@ az---)ca:ti :hem@c,, s. rn: pa7,er zratonizraces that i cigarezre
aJ%erzii;nv. @an %%Oil rocaczo prol-'_@r cctn@amption. X(oreciter. the pact-
ciernonscraces r@ar an adve::isinz ban wou.d ruz zonr:av- to all concepts or ireedcirn or
comr-ic.-cal socech. reduce me in;ormazicin availac!:e to consumers. scifle competition among
role zmarerre r,.anu-.ac-,ur-.--. and tne= 'zealot z_-"lack-z' in a&e:risine. pub;ismn- and
other industries.'
An-i-smokLng an:-.- "te ;.,-=un to proclaim char cp-rerre
a&.-erriunz :s a major tnC.-.:,-rce or. dc.::s;on @-- your7 people to start smo'.--.ng. Berore
banning ci-arert.- advertii,-.z became ont oi Ehe:.- prin,:-.=.ii political goals. anti-smaking
a_'%ocares in aerecraenr J
io%ernrnenr aa` ot@-r: expcrrs@ emohaiist mii% and
influences as -he ke-, imok::@z, w.-;'c advcr:@sinz plaved little or no
demonstrable role.
The conte-inon char tobacco 2dN'tr1iSLnz influences people to smoke overlooks the
function ot ad%ertising in a 'mature' product mark.-t iu,"@ as the marker for ciz:irertes. In a
mature product market. %%:here the product zaregorv is iong-tstabiiined and awareness ot the
product category is universal, advertising general!%. does not operate to increase tzi%eratl
demand. Advertising insead operazes to -nainza:n, or expand market share withm the
product category - to mair.:Ain the lovairv of consumers who already use the brand being
advertised and co switch consumers who use ocher brands. In a marker such as rnc United
Ez--, G-r, 1%Ar ---C@ -. a :0 . Th@
C-11,4 fol S.W.., 1-d-11- W
C-z--t k-ha-- --dho@w-pi -D" :-%S.
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Stares. for c-@amplt. where a single maa:ket-share pr,= mav @e worth as much as S400
milhor. :n ;:es @andd xiiere the mjr-@L- :rscif and one our of everv iou-
C1.1scomers MjV SUItch among brands in any given %:car-. it should come as no suronse that
e la@
are prepare'l cc, ip n co ma.,irain that rnark.': share or
.n ex=and rr!t-.r market share bv even a small Lncrvrren:,
To -e succe@s;ul. howe%er. brand advernsiin-, -nuhr overcorne two hurdles. it must
attract the %icwer's attention and ;r must dis-,;rzI.;.ih the adve-ised brand from -zhe
.nulc;-.u@4e oi orh,:rs on he narLe,. To break -,h.- %du-,zer' chat exists in the
adve7ziitns: markcrp!az-:. adve-risers miis: irequen-;%- :=@c@ vivd settings and emplov bold
zraomc zicsien, and memorable brans' loans. To sr-:zrate the advertised brand trom its
zompentors. an ad,6ernier mu@r create a djjtLncr 'verse-mal:tv' ;or the brand. %lanuiacturers
zvpi@aily curnmiz, iigniricanr rewurces :o sustain branc, iJerinticacion and lo%j[cy to the
nrand ersonalitv.
pr---dnrln@z the -.1se of :@-ernes 2nd 5:c,,zans m. as some
o ?,)s e .
wells do. wc@::_4 @e to na a@---errisinz i:!. Such
ad%ernsements would nor arrract the an.-rition of smo.@,-rs or distinguish one brand from
,nocne:.
I. :.,pret-,c adverrising were a ii;nificant c-.@7 in smaking. one woui@ e.-,?eCr tc
end more smokinc it. those couricnes -n-,c ailow "z- aaver:-smg than in those zountr:es
-haz do nor. fn gener3i. however. one imas -usr me occosite, Whether conside-ed from the
irandpomr or per capita consumption e)r MC propcir%on of simokers. the few,-: of smoking
3ppears to ',-e highest in those countries wnere adver-:i,nit is @Orbidden and [owes-, .n those
zountnes wait advernsing is allowed. E.--tri more sizz..%canc. :Obac@;o produl;: consumption
inaudin2 coniurrinnon bv vouna reovie - is clt_@inkr-g it. mariv zountries wher! advertising
permitted. and increasing where aivernsin; is proh.,@nrzed.
Advernsina bans or content controls would not reduce smoking arnong young
-eople or adults. Thev are premised - as are ail government attempts to suppress
on the dangerous assurnpr-...)n that or&n.L.-.- CIELUni cannot be trustee to make
.ier own de:-.sions. Such a premise is anrithencat co -,h.- prnz,.ples oe both a fitt market
:conornv and an open. democratic soc-c-.
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BATCo document for Province of British Columbia 19 April 1999