THIS WEEK’S BIG QUESTION: Where should tobacco companies put their money now? - Legislation to ban tobacco advertising, including sponsorship was passed last week

TERESA CASH

TERESA CASH



Michael Humphries and Partners



’The ban will open up a number of opportunities for others, but I’m not

sure where the tobacco companies can go. It may be the case that they

will take the Alfred Dunhill route and go into clothes, aftershave or

other products to get round the ban. I would be surprised if all

existing sponsorship deals were affected once legislation is

introduced.’



MICHAEL PRIDEAUX



BAT



’A ban here could lead to a number of other countries in Europe

following suit, which would prevent promotional cash being moved around

But I expect if a ban does come in, most of the promotional spend will

stay in the UK, and could be used by manufacturers in a price war

campaign as an alternative attempt to win market share from each

other.’



CLIVE TURNER



Tobacco Manufacturers Assoc.



’I simply don’t know, our members will first wait for the opportunity to

put a magnifying glass over the proposed legislation. The whole process

is fraught with difficulties, we simply don’t know how stringent the

rules will be - our members will be waiting to see if there is any room

for manoeuvre. I can’t see the Government being able to prevent the

logos of tobacco companies being shown from the Grand Prix circuit on

ITV.’



PAUL BROWN



Association for Business Sponsorship of the Arts



’Sponsors will need to be more creative. Direct marketing and sampling,

tied in to tailor made events at pubs, clubs or festivals is one

potential route, but a thorough Government ban could restrict many of

these activities.



Many tobacco companies also undertake community sponsorships with more

subtle PR benefits and the Government’s position on this is not yet

clear.’



ROY MANTLE



Guiness Brewing



’I think the manufacturers will have to switch to below-the-line

activity. Rothmans spends something like pounds 28 - pounds 30 million

sponsoring a motor racing team so there is clearly finance there to

offer money-off vouchers and other brand loyalty schemes. Some of the

cash may also be diverted to the emerging third world markets. I

wouldn’t be surprised if the Government took the straightforward stance

of banning all tobacco cash from advertising, so subliminal campaigns

may be a no-no.’



Have you registered with us yet?

Register now to enjoy more articles and free email bulletins

Register
Already registered?
Sign in

Would you like to post a comment?

Please Sign in or register.