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Tracking a Moving Target An update on Tobacco Industry Marketing and Promotions

Tracking a Moving Target An update on Tobacco Industry Marketing and Promotions. Content. A little background first New and evolving tactics: Bar promotions and event sponsorship Point of sale promotions & Powerwalls Tactics on University / College Campuses

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Tracking a Moving Target An update on Tobacco Industry Marketing and Promotions

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  1. Trackinga Moving TargetAn update on Tobacco Industry Marketing and Promotions

  2. Content • A little background first • New and evolving tactics: • Bar promotions and event sponsorship • Point of sale promotions & Powerwalls • Tactics on University / College Campuses • New products & Regional marketing tactics • Smoking in the movies & video games

  3. Tobacco Marketing Expenditures • From 1987 – 2000 industry spending on marketing and communication significantly • In 2001 & 2002, Canadian tobacco companies spent over $300 million on marcom (NSRA)

  4. Landmark Change to Tobacco Marketing in Canada • 2003: theFederal Tobacco Act bans sponsorship advertising in Canada • Advertising is now tightly regulated

  5. Tobacco Marketing Expenditures today Today’s estimates of actual marketing costs are obscured by new definitions: • Hidden sponsorship • Packaging • Increasing pay-outs to retailers for countertop displays and Powerwalls

  6. Du Maurier “Signature Packs” • “Restrictions on tobacco marketing in Canada limited our options. • “We needed to differentiate ourselves. We needed to give consumers something that provided added-value.” • “This left us with one way to develop and grow our brands – the pack itself”

  7. Bar Promotions

  8. What’s new in Bar Promotions & Sponsorship • Promotions have become more subtle • Sponsorship extends to entire bar • Sponsored club renovations including DSRs, outdoor & patio smoking areas • Similarly subtle event sponsorship

  9. Seven Nightclub and Lounge

  10. Export A’s “silent” event sponsorship • Initiated in 1998 • Expanded in 2001 • Currently sponsor: • Wakestock • Extreme Music Fest • X-team bar visits across Canada

  11. Not so silent, is it …

  12. Point of purchase promotions Redirected towards Point of Purchase Sales Restrictions on tobacco advertising and promotion the Elimination of sponsorship Resource Re-allocation = + http://www.nsra-adnf.ca/cms/file/pdf/Tobacco_Powerwalls.pdf

  13. Power walls • Convenience stores are the Industry’s main channel for marketing and distribution • Arguably the most important advertising medium available to the tobacco industry (NSRA) http://www.nsra-adnf.ca/cms/file/pdf/Tobacco_Powerwalls.pdf

  14. Power Walls • $300M spent on marcom in 2002 • $77M paid to tobacco retailers in same period for stocking tobacco products (NSRA) • The average convenience store receives $1,500 a year from the tobacco industry (ACNeilson)

  15. Preferential pay backs • POP advertising expenditures are higher in convenience stores near schools and malls • More money spent on POP to stores on university campuses • Student Federation @ UOttawa offered $7500 to stock power wall displays at their campus store, • Tobacco Free Ottawa U successfully lobbied against this sponsorship and the SF stopped accepting $’s in 2005

  16. POP … not just for youth Tobacco on campus project • 22 universities surveyed • All had been approached and had participated in a form of tobacco marketing • 76% sold tobacco products on their campuses (stores, bars etc)

  17. Tobacco on Campus Smoke-Free policies • Regulate smoking mainly in residences, or campus bars • Few regulated campus-wide • Only U of T has rules against investing their (OUR) funds in tobacco companies.

  18. Tobacco NOT on campus • Growing list of smoke-free campuses: • Dalhousie, Lethbridge, Lakehead, Carleton • New movements • Alberta’s Tobacco Free Campus advocates for policy changes across the province • E-BUTT • Leave the Pack Behind

  19. Smoking in video games • Similar research to that done on impact of tobacco use in films (Villani, S. MD) • Primary effects of media exposure (video games) are increased violent and aggressive behavior, and increased high-risk behaviors, including alcohol and tobacco use Journal of American Academy of child and adolescent psychiatry (2001)

  20. Smoking in Video Games • Entertainment Software Ratings Board • Ratings more comprehensive and specific than the film industry • 24 content descriptors (on back) • Includes tobacco reference and use

  21. Smoking in Video Games • One search for tobacco reference yielded 7 games • 4 rated “everyone” • 3 rated “Teen” Why must tobacco be referenced in children’s video games ??

  22. In summary We’ve talked about: • Target marketing in bars, campuses • Slient Sponsorship • Point of sale promotions • Smoking in video games

  23. Call to Action • Support youth-driven tobacco industry denorm ! • Expose hidden industry marketing tactics • Document actual marketing costs including listing fees and pay-outs to retailers • Advocate for policy change and a province wide ban on smoking and tobacco sales on Ontario university / college campuses • Denormalize tobacco industry products aimed at youth • Endorse the exclusion of tobacco use in movies and video games

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