Distilled Spirits Council Code Review Board Issues Guidance for Suppliers and Retailers of New Crossover Alcohol Products

Features Recommended Practices for Responsible Advertising, Marketing & Merchandizing

WASHINGTON — The Distilled Spirits Council Code Review Board today issued a set of guidance for the responsible advertising, marketing and merchandizing of new alcohol crossover products entering the marketplace.

The booming consumer interest in ready-to-drink alcohol beverages has resulted in a number of new products, including some alcohol crossover products launched by traditional soft drink producers and beverage alcohol companies.  These crossover brand products often retain many of the same branding elements and consumer recognition as their non-alcohol beverage counterparts.

While the provisions of the Distilled Spirits Council’s Code for Responsible Practices already apply to these new products, this additional guidance addresses concerns by some that alcohol crossover products may potentially be confused with their non-alcohol counterparts.

“The spirits industry has a longstanding track record of effective self-regulation and distillers are fully committed to bringing these new products to market in a responsible manner,” said Courtney Armour, Distilled Spirits Council Chief Legal Office and Code Review Board Liaison. “Our objective in developing this new guidance is to assist both suppliers and retailers in the responsible marketing and merchandizing of these products.”

The guidance includes recommendations for suppliers to ensure that crossover brand products abide by the Code provisions, including advertisements directed to legal drinking age adults and the use of packaging and branding that is clearly and easily distinguishable from their non-alcohol beverage counterparts.  The document also includes recommendations for retailers for responsibly merchandising and selling these products.

“While spirits suppliers have the responsibility and control over how these products are advertised and marketed, our retail tier partners have the responsibility and control over how products are presented to consumers for sale,” said Armour.  “To avoid any consumer confusion, we encourage retailers to train their employees on these crossover products and take measures to ensure they are merchandised in a manner that makes it clear that they contain alcohol and are only marketed and sold to legal drinking age adults.”

Supplier Guidance for Responsible Advertising and Marketing

The following are suggested responsible marketing practices to ensure crossover brand products are marketed responsibly to legal drinking age adults:

  • Develop product packaging and branding that is clearly and easily distinguishable from non-alcohol beverage counterparts.
  • Include information on product labels, packaging, and promotional materials that makes it clear that it contains alcohol, such as prominently displaying the type of alcohol contained in the product, the percentage of alcohol by volume present, general notices that the product contains alcohol, and/or inclusion in the statement of composition.
  • Review packaging and advertising campaigns to ensure that they primarily appeal to legal drinking age adults, and not to individuals under the age of 21.
  • Review packaging and advertising campaigns to ensure that they comply with all other Code provisions, including the Responsible Placement and Content provisions.

Retailer Guidance for Responsible Merchandising

The following are suggested responsible merchandising practices:

  • Do not display or promote crossover brand products in a manner that could create confusion with the non-alcohol beverage counterpart. If necessary, identify to consumers that the crossover brand product contains alcohol.
  • Crossover brand products should not be displayed or promoted in areas that may primarily appeal to children, such as a toy aisle.
  • Ensure retail outlet employees can differentiate crossover brand products from their non-alcohol beverage counterparts.
  • If feasible, program crossover brand product barcodes to indicate that they contain alcohol when they are scanned at checkout so that the retail outlet employee confirms that the consumer is of legal drinking age.

For more than 87 years, Distilled Spirits Council members have voluntarily abided by the Code of Responsible Practices for Beverage Alcohol Advertising and Marketing —pledging to advertise and market their products to adults of legal purchase age in a responsible and appropriate manner.  Through the voluntary provisions of the Code, DISCUS members have held themselves to a standard higher than mandated by any law or regulation. Over the decades, there has been 100 percent compliance by DISCUS members with Code Review Board decisions and overwhelming compliance by non-DISCUS members.

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