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Belch: Advertising and
Promotion, Sixth Edition
VII. Special Topics and
Perspectives
400 local stations and cable channels were permitting
or considering spirits ads, although most had
restrictions that the ads had to air after 9 P.M.
In December 2001 NBC, which is owned by General
Electric Co., made a landmark decision when it
announced that it would become the first broadcast
network to accept hard-liquor advertising in
more than 50 years. NBC decided it was tired of the
double standard by which broadcast networks
accept beer and wine commercials but not spots for
hard liquor and noted that there appeared to be an
arbitrary distinction between the ads for the various
alcoholic beverage categories. As part of its
decision to accept spirits ads, NBC adopted a set of
guidelines under which the makers of distilled spirits
could advertise in a way similar to beer and wine
makers. Under the guidelines, liquor companies
had to run four months of so-called social responsibility
ads on subjects like designated drivers before
general product promotion spots could air. The network
would also limit liquor ads to programs for
which at least 85 percent of viewers are 21 or older.
NBC was not joined by the three other major
broadcast networks—ABC, CBS, and Fox—in its
decision to accept liquor commercials. While executives
from the other networks stated that they did
not think it was the right thing to do, industry
experts noted that the networks were also wary of
alienating beer companies by accepting ads for
hard liquor. While NBC’s lead in accepting liquor
ads did not generate support from the other networks,
it did engender a considerable amount of
controversy and criticism from members of Congress,
federal regulators, the American Medical
Association, and many public advocacy groups.
Critics of NBC’s decision expressed concern that airing
liquor ads on TV would glamorize drinking and
encourage children and teenagers to drink.
Facing a widening backlash over its decision, in
March 2002 NBC announced that it was dropping
its plans to accept liquor advertising. The network’s
president of standards and practices said: “We
promised to do this responsibly and said we would
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21. Regulation of
Advertising and Promotion
© The McGraw−Hill
Companies, 2003
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listen to a variety of voices on this subject and have
concluded that it would not be appropriate to go
forward at this time.” NBC’s reversal was applauded
by groups such as the National Center on Addiction
and Substance Abuse and MADD. However, other
advocacy groups such as the Center for Science in
the Public Interest noted that there still is a need to
look at all alcoholic beverage advertising. The center’s
director expressed concern over the recent
introduction of flavored malt beverages known as
“alco-pops,” which carry the names of liquor
brands like Smirnoff, Bacardi, and Jack Daniel’s but
follow the rules for advertising beer, which are far
less restrictive than those for distilled spirits.
The Distilled Spirits Council categorized NBC’s
reversal as a temporary setback, noting that a few
misguided critics, through their attacks on NBC,
had been successful in undercutting the effort to
bring distilled spirits ads to the major networks.
DISCUS chief executive Peter Cressey stated: “Policies
on alcohol advertising need to be based on
facts, not preconceived notions or misperceptions.
There would have been more social responsibility
messages about drinking on television than ever
before.”
NBC’s retreat is indicative of the sensitivities that
still exist over the issue of airing liquor ads on the
major networks. It appears that there are still some
advertising frontiers that will be extremely hard to
cross, and it may still be some time before hardliquor
commercials appear in TV shows on the
major networks. However, industry experts note
that liquor ads are becoming more prevalent on
broadcast affiliate and independent stations as
well as local cable and now reach over two-thirds
of U.S. households. They predict that it is only a
matter of time before such ads appear on the
major networks as well.
Sources: Kate Fitzgerald, “Cable Wrestles with Liquor Ads,”
Advertising Age, June 10, 2002, p. S-16; Stuart Elliott, “Facing
Outcry, NBC Ends Plan to Run Liquor Ads,” The New York Times,
Mar. 21, 2002, p. C1; Joe Flint and Shelly Branch, “In Face of
Widening Backlash, NBC Gives Up Plan to Run Liquor Ads,” The
Wall Street Journal, Mar. 21, 2002, pp. B1, 3.