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LIQUOR LICENCE BOARD OF ONTARIO
ADVERTISING GUIDELINES

November 1994

TABLE OF CONTENTS

Preamble
Definitions
Guidelines for all licensees, permit holders and manufacturers
Who can advertise / strict liability
Prior approval requirements
Approval Procedures
Disclaimers required
Appeal procedures
Names of licensed establishments as advertising
Sampling in licensed establishments by manufacturers
Product sampling by manufacturers
Prohibition against inducements for manufacturers
Contact Information

Preamble

The purpose of these guidelines is to outline potential interpretations of the regulations. By no means is this an exhaustive list of all interpretations. The regulation of advertising focuses on specific concerns as reflected in the interpretations. As a result the Board will strictly enforce these guidelines as stated. Manufacturers should remember at all times that advertising will be evaluated on the basis of the message which is conveyed, both express and implied. The standards apply to all aspects of the advertisement such as the more obvious copy, graphics, lyrics, script and video, as well as the less obvious but influential aspects such as background music, voice inflection, etc. The Board may publish interpretive guidelines, from time to time, to clarify the regulations as the need arises.

Definitions

"Advertising" means any public notice, representation, or activity, including promotional and marketing activities, that is intended to attract attention to liquor, the brand name of liquor, the name of the premises where liquor is available, or the name under which the holder of the licence carries on business and "advertise" and "advertisement" have corresponding meanings.

"Public Service Advertising" means any advertising carrying a strong message against irresponsible use of liquor where the message does not contain any direct or indirect endorsement of a liquor, the brand name of a liquor, or of the consumption of liquor.

  • For the purpose of these guidelines "advertising" refers to the act of making the company, brand, or product generally or publicly known. This will include categories previously known as public service advertising, corporate advertising, brand advertising, promotional activities, media buys, and general marketing practices.
  • References to products, manufacturers, licensed establishments, etc. in editorial material will not be viewed as advertising.
  • "Liquor" means beer, wine and/or sp
Guidelines for all licensees, permit holders and manufacturers

1(1) Advertising must be consistent with the principle of responsibility in depicting use or service of liquor,

i) An advertisement cannot promote excessive consumption or depict excessive or prolonged consumption, or excessive quantity of product, or occasions of use or drinking situations which are likely to involve risk to those present.

ii) An example of excessive consumption which cannot be implied is consumption of more than three drinks on an occasion.

(2) Any advertisement may promote a particular brand or type of liquor and must not promote the consumption of liquor in general,

i) Advertisements may not promote the merits of consumption.

ii) Advertising, produced by individual manufacturers or organizations representative of a group of manufacturers, pertaining to generic categories of liquor may be permitted provided the advertising is consistent with all other advertising regulations.

iii) Advertisements may not make claims direct or implied, of healthful, nutritive, curative, dietetic, stimulative or sedative benefits to the product. However, factual attributes of the product which are commonly accepted by recognized authorities (such as Addiction Research Foundation, Health & Welfare Canada, or national or provincial medical associations) may be stated in the advertisement provided the attributes relate to the particular brand or type of liquor and does not promote the consumption of liquor in general.

(3) An advertisement must not imply that consumption of liquor is required for:

a) social or professional achievement;

b) personal success;

c) athletic prowess;

d) sexuality or sexual opportunity;

e) enjoyment of any activity or fulfilment of any goal;

f) resolution of social, physical or personal problems,

i) Product endorsement by well-known personalities shall not directly or indirectly suggest that the consumption of any liquor has contributed to the success of their particular endeavours.

(4) Except for public service advertising, advertising must not appeal, either directly or indirectly, to persons under the legal drinking age, or be placed in media that are targeted specifically at people under the legal drinking age,

i) No well-known personality may be used in liquor advertising who may reasonably be expected to appeal, either directly or indirectly, to persons under the legal drinking age if the advertisement contains any direct or indirect endorsement of liquor or the consumption of liquor. This may include historical, political, religious and cultural figures as well as celebrities and sports figures. (This would not apply to public service advertisements provided there is no direct or indirect endorsement of product or consumption of liquor by the well-known personality.) If required, the onus will be on the manufacturer to establish that an advertisement does not contravene this regulation prior to approval being granted. Approval will be revoked where a personality subsequently appeals to persons under the legal drinking age. Withdrawal of approval will only result following review by two Board members and the manufacturer will be entitled to a hearing in accordance with the Act.

ii) The use of children's songs, fictional characters etc., or the imitation thereof, will not be approved.

iii) A manufacturer may donate corporate or brand identified scholarships, bursaries and scholastic prizes to be awarded to post secondary school students.

iv) Media that are targeted at persons under the legal drinking age are not permitted. For example advertisements may not appear in magazines targeted specifically at people under the legal drinking age. Advertisements may run in conjunction with movies in movie theatres or on videos which have a Restricted (R) rating and may not run in conjunction with movies which have a Family (F) rating. Subject to the Ontario Film Review Board guidelines, movies with Parental Guidance (PG) and Adult Accompaniment (AA) ratings will have to be dealt with cautiously to ensure the movie itself is not targeted specifically at persons under the legal drinking age. Stationary outdoor advertising may not be placed within 200 metres of a primary or secondary school.

v) Advertisements may not be placed within areas which are specifically targeted at persons under the legal drinking age if the advertisement directly or indirectly endorses product or the consumption of liquor. Statistics indicating that 51% of the audience are above the legal drinking age may not in itself preclude the targeting restriction since a medium or venue may be targeted at persons under the legal drinking age and still have an audience which is predominantly above the legal drinking age. An example of this would be a children's concert which is attended by a large number of parents.

vi) The use of songs (which have not been composed specifically for the advertisement) which have a specific appeal to persons under the legal drinking age will not be permitted. Where the Board finds that music previously approved by the Board has a specific appeal to persons under the legal drinking age, the approval will be withdrawn (this includes original music composed specifically for the advertisement). Withdrawal of approval will only result following review by two Board members and the manufacturer will be entitled to a hearing.

vii) A contest run by an organization other than the manufacturer, which the manufacturer is sponsoring, is not required to be limited to persons of legal drinking age provided the contest is not specifically targeted to persons under the legal drinking age. However, if the manufacturer is presenting a contest, participation is limited to persons of legal drinking age.

viii) Well-known personalities that would generally be prohibited due to their appeal to minors may be used provided the use of the personality is incidental to the advertisement and the use of the personality does not make the advertisement appealing to minors. The onus is on the manufacturer to provide information to support that there is no such appeal.

(5) Except for public service advertising, advertising must not associate consumption in relation to any activity which requires care and skill or elements of physical danger,

i) Persons may not be depicted with product prior to, in anticipation of, or while engaging in any activities which involve care and skill or elements of physical danger. (An activity includes work, sports, recreation, crafts, and hobbies.) Some examples of activities which are considered to be activities which involve care and skill or elements of physical danger are:

skiing swimming golfing hockey child care
hunting football baseball working volleyball
racing studying boating carving surfing
etc.

 

 

 

ii) Consumption may not be associated with the performance of any aspect of any activity which calls for a high degree of skill if imitation by the unskilled or underage could be considered dangerous.

iii) The depiction of an activity which involves care and skill or elements of physical danger must clearly establish that the individuals shown with product are merely spectators or have completed that activity for the day and are then depicted with the product.

iv) Vehicles involved in races, competitions, contests, exhibitions, or public displays may be used as a medium for liquor advertising, however, graphics of the product (i.e. bottles, cans, glasses, etc.) and specific references to alcohol content (% alcohol / volume) are not permitted.

(6) Except for public service advertising, advertising must not associate the consumption of liquor in relation to driving a motor vehicle, and motorized vehicles in motion may not be depicted in advertisements that include consumption scenarios unless the vehicle is a form of public transportation.

i) Persons may not be depicted with product prior to, in anticipation of, or while operating a motorized vehicle. There cannot be any indication direct or implied that an individual who has been depicted with product will then be operating a motorized vehicle.

ii) Motorized vehicles may not be shown in motion in an advertisement which includes a consumption scenario unless the vehicle is a form of public transportation. Parked vehicles, or vehicles such as buses, trains, planes, taxi cabs, licensed boats, etc., in motion, may appear in advertisements with consumption scenarios.

iii) Motorized vehicles involved in races, competitions, contests, exhibitions, or public displays may be used as a medium for liquor advertising, however, graphics of the product (i.e. bottles, cans, glasses, etc.) and specific references to alcohol content (% alcohol / volume) are not permitted.

(7) Advertising must not suggest any illegal sale, illegal purchase, illegal gift, illegal handling or illegal consumption of liquor,

i) An advertisement may not depict a licensee gifting any patron with product, or an individual gifting a minor with product.

ii) The illegal handling of product may not be depicted. For example smuggling product across a border may not be depicted.

iii) The consumption of product may not be depicted or implied in an illegal setting such as, public beaches, public parks, private boats without sleeping accommodations, etc

iv) Product may be depicted in a setting where consumption is not permitted provided it is clearly a beauty shot with no evidence of people or of previous or imminent consumption.

(8) No person may offer a gift or the opportunity to receive a gift which requires the purchase of liquor, except for a gift of a nominal value in relation to the regular purchase price of the product.

i) Items may be provided with the purchase of liquor provided the item is of nominal value in comparison with the regular price of the product.

ii) Items worth more than a nominal value in comparison with the regular price of the product may be provided with the purchase of liquor provided the item is not a gift to the purchaser. A charge (which is not less than cost) for the item being received by the customer must be added to the regular price of the product. The item must be clearly visible to the purchaser.

iii) An offer for an item worth more than a nominal value in comparison with the regular price of the product which is linked to a proof of purchase of product is not permitted. For example an offer cannot be made which indicates that through the presentation of six proofs of purchase the consumer is entitled to receive six glasses.

iv) Ballots for contests cannot be included on the product or within the packaging unless the ballots are made readily available through other means without the purchase of product. Items or ballot forms included with the purchase of product are not considered otherwise readily available unless the alternative method of obtaining the item is apparent at the point of purchase and the procedure is simple, timely and does not require additional expense.

Advertising material placed on product or within packaging may be permitted provided no other advertising regulations are violated. For example advertising flyers describing the product or brochures describing merchandise which may be purchased through the manufacturer may be inserted into the packaging.

An individual shall not be required to have at any time consumed the product in order to participate in or qualify for a contest or draw (eg. a qualifying question cannot be about the taste qualities of the product but may be about the packaging if this information could be gained easily without the purchase of the product).

Any benefit permitted by this section must be provided at the time of purchase, or directly related to a single purchase. A frequent buyer's club concept would not be acceptable.

Coupons redeemable on the purchase of items other than beverage alcohol (i.e., snack foods, soft drinks, juices, etc.) are permitted provided they are of a nominal value. Coupons redeemable on the purchase of beverage alcohol are not permitted.

Single servings of product may be provided as a nominal on-pack promotion. This permits miniatures to be attached to spirits and single bottles or cans of beer or coolers to be included with cases of those products.

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Who Can Advertise/Strict Liability

2 A government store, a manufacturer, or the holder of a licence or permit may advertise and shall ensure that all advertising by him/her, or his/her agent complies with the guidelines.

i) Manufacturers assume strict liability for all advertising (including merchandise) bearing corporate or brand identification that is displayed or distributed by any person. Strict liability holds the manufacturer liable for all authorized advertising done on its behalf. The manufacturer is not responsible where it has exercised due diligence in complying with the regulations. The manufacturer must show it has exercised reasonable care and precautions for compliance.

Prior Approval Requirements

- MANUFACTURERS -

3

(1) A manufacturer is required to obtain the approval of the Board for advertisements intended to attract public attention to the manufacturer's liquor products,

(2) Prior approval of the Board is not required where the advertisement is limited to the following,

a) a manufacturer's corporate advertising provided no information more specific to liquor is included,

b) a manufacturer's advertisement appearing within licensed premises in a form prescribed by the Board,

i)Prior approval will not be required for tent cards, coasters, posters and/or banners displayed in licensed premises.

c) an advertisement displayed within government stores,

i)Prior approval will not be required for advertising within LCBO, Brewers Retail, Ontario Winery Retail stores, and agency stores.

ii)Labels on products and product packaging will not require prior approval from the LLBO.

d) advertising on behalf of government stores,

i)LCBO, Brewers Retail, Winery Retail stores, and agency stores will not require pre-approval for their own advertising.

e) advertising in the form of press conferences or press releases.

f) the giving of liquor as permitted by the regulations, sections 9 and 10 of these guidelines.

i)The manufacturer is not required to receive prior approval for the giving of liquor; under the authority of a special occasion permit as permitted by subsection 3(1) of the regulations, to carry out market research as permitted by subsection 3(2) of the regulations, to the manufacturer's employee as permitted by subsection 3(3) of the regulations, to a person in a private place at the manufacturer's head office or manufacturing site as permitted by subsection 3(4) of the regulations, for the sampling of patrons within licensed establishments as permitted under section 9 of these guidelines, and the giving of new product as permitted under section 10 of these guidelines.

i) While prior approval is not required in certain circumstances, advertising must still comply with all the guidelines. Where an advertisement has been submitted and approval has been denied by the Board, this section does not permit the use of the advertisement.

(3) Notwithstanding subsection (2), a manufacturer must submit advertisements to the Board for prior approval upon request by the Board.
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- LICENSEES -

4

(1) The holder of a licence to sell liquor shall not advertise liquor or the availability of liquor without the prior approval of the Board,

(2) In an advertisement, a licence holder may, without the prior approval of the Board,

(a) state that the licence holder has a licence;

(b) state the name of the establishment where liquor is available or the name under which the licence holder is carrying on business; and

(c) refer in general terms to the types of liquor available on the premises to which the licence applies.

i) The use of terms such as beer, light beer, wine, imported wine, liquor, spirits, cocktail, etc., are permitted.

i) While prior approval is not required in certain circumstances, advertising must still comply with all the guidelines. Where an advertisement has been submitted and approval has been denied by the Board, this section does not permit the use of the advertisement.

(3) When premises to which a licence applies are used as a setting for a film or television production other than a news broadcast, the licence holder shall ensure that the name of the establishment is not shown.

- PERMIT HOLDERS -

5(1) A permit holder shall not advertise liquor or the availability of liquor without prior approval of the Board.

(2) In an advertisement, a permit holder may, without the prior approval of the Board,  

(a) state that the permit holder has a permit;

(b) state the name of the establishment where liquor is available or the name under which the permit holder is conducting the event; and

(c) refer in general terms to the types of liquor available on the premises to which the permit applies.

i) The use of terms such as beer, light beer, wine, imported wine, liquor, spirits, cocktail, etc., are permitted.

ii) While prior approval is not required in certain circumstances, advertising must still comply with all the guidelines. Where an advertisement has been submitted and approval has been denied by the Board, this section does not permit the use of the advertisement.

(3) In an advertisement for an auction, the holder of the auction permit may, without the prior approval of the Board, also include the name of the brands of liquor and the source of the liquor that will be offered for sale by auction.

(4) Subsection (2) and (3) do not apply to a permit holder for an event that is a reception.

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Approval Procedures

6. Any advertising submitted for approval shall be submitted on a form supplied by the Board at least 14 days prior to the date a response is required.

i)To apply for Board approval the following procedures must be adhered to:

1. Applications for approval must be submitted with a completed "Request for Approval of Advertising" form. (See Appendix A for sample.)

2. All material submitted for approval must be submitted in duplicate.

3.Submissions of radio commercials in script form or television commercials in script and storyboard form may be given approval in principle. Approval and the issuance of an LLBO approval number will not be assigned until the produced commercial has been submitted. However, when possible, the Board will assign the LLBO approval number within five days following the submission of the produced message if the script and storyboard have already received prior approval in principle. (Tapes will be retained by the Board.)

4.The Board may, subject to the Act and Regulations, refuse to approve any advertisement submitted to it or may require changes or other information prior to granting approval. The Board may grant conditional approval, allowing the manufacturer to display the advertisement to the public provided the conditions, as stated, are met.

5.Any activity held on the campus of a university or community college will require the approval of the Chief Administrator of such facility before the promotion is forwarded to the Board for consideration.

6.The Board may review and recall any approval from time to time as it may deem appropriate, based on the Liquor Licence Act and Regulations. Withdrawal of approval will only result following review by two Board members and the manufacturer will be entitled to a hearing. The Board will take into consideration a manufacturer's commitments to placement of the advertisement and will attempt to provide the manufacturer with as much advance notice as possible.

NOTE: If an application is received less than fourteen (14) days prior to the date of the intended display of the advertisement or promotional activity the Board may not be able to review the material or grant approval prior to the date required. It is the responsibility of the liquor manufacturer to ensure that all advertising complies with any existing federal, provincial, or municipal laws.

ii) Approval of advertising by the LLBO does not guarantee acceptance by the LCBO for use in government stores. The LCBO retains the right to reject the use of any advertising material in any government store in the province of Ontario, including Ontario Winery Retail stores and Brewers Retail stores which operate under its authority.

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Disclaimers Required

(1) The advertiser must include a disclaimer to the effect that "the price is subject to change without prior notice" in an advertisement where the retail price of the product available through a government store is advertised.

i) The selling price of product, savings in the form of an amount or a percentage, and general references to price, may be advertised.

(2) The advertiser must include a disclaimer to the effect that "this product is not available under general distribution through government stores" in an advertisement for a product which is not listed with the LCBO.

Appeal Procedures

7(1) The Board, or an officer of the Board, designated by the Board for such purpose, may:

(i) approve an advertisement that complies with the regulations and guidelines,

(ii) attach conditions to an approval to give effect to the purposes of the regulations and guidelines,

(iii) refuse to approve an advertisement submitted that does not comply with the regulations and guidelines.

(2) Where an advertisement is refused or conditionally approved by an officer of the Board and the applicant objects and files written reasons therefore within 15 days, a member of the Board will review the matter and may approve, conditionally approve, or refuse to approve the advertisement or may refer the matter to the full Board.

(i) The initial review of a submission for approval of advertising is processed by the staff of the Board. If a manufacturer is dissatisfied with the decision of the staff the manufacturer may appeal the decision.

(ii) An appeal is presented to a committee comprised of the Chair or a Board Member, a representative from Senior Management at the Board, and a representative from the Advertising Department staff. Prior to the meeting the manufacturer shall provide written submissions succinctly outlining the basis for their appeal and, upon request, may attend the meeting. The committee reviews the submission together with the appropriate regulations and policies. The decision of the committee is communicated to the manufacturer following the meeting. The committee may, at its discretion, refer the matter to the Full Board.Appeals may require more than 10 working days.

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Names of Licensed Establishments as Advertising

8(1) Notwithstanding subsection 1(4) any advertising of an establishment which does not refer to the availability of liquor, may appeal to persons under the legal drinking age and may be placed in media targeted specifically at people under the legal drinking age.

(i) A family restaurant may wish to sponsor an event targeted at people under the legal drinking age. This may be done provided the references to the licensed establishment do not include any references to the availability of liquor.


Sampling in Licensed Establishments by Manufacturers

9(1) A holder of a manufacturer's licence may give an individual serving of liquor to a patron in a licensed premises for the purpose of sampling its product on the premises provided it is purchased from the licensee.

i) The licensee or licensee's staff are responsible for serving the product to the consumer and must still ensure that the consumer is of legal drinking age and is not being served to the point of intoxication.

ii) The manufacturer must purchase servings from the licensee at the full menu price.

iii) The manufacturer may purchase samples from the licensee which are one half the size of servings listed on the menu, or less. In such situations the price must be reduced by at least one half the menu price for the full serving and may not be reduced to less than the licensee's cost for the product.

(2) The individual serving of liquor must be provided to the patron on a one-to-one basis by the registered representative.

i) The registered representative may not purchase a round for the house.

ii) The registered representative may not pay the licensee or the licensee's staff to purchase drink(s) for patrons.

iii) The registered representative is required to engage in conversation with the patron(s) regarding the manufacturer and/or the product.

 

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Product Sampling by Manufacturers

10(1) A holder of a manufacturer's licence may give liquor to a licensee, where the purpose of the gift is to have the licensee sample a new brand, if the following conditions are met:

a) the sample is provided within a one year period following the introduction of the new brand, or, the licensee has not stocked the brand in the last twelve months,

b) the sample size does not exceed the amount prescribed by the Board,

c) records of the sampling activities are maintained for a minimum of one year and are made available for review by the Board upon request, and prior notice of sampling activities are provided upon request by the Board,

i) A product or brand is not considered "new" if only the packaging and/or labelling have changed.

ii) Sample is for consumption by the licensee or staff and not for sampling or resale to patrons.

iii) The size of samples must not exceed an annual total of:

48 (355 ml) bottles of beer or cooler, or equivalent;

10 (750 ml) bottles of wine, or equivalent;

3 (750 ml) bottles of spirits, or equivalent

(2) A holder of a manufacturer's licence may give liquor to an individual, where the purpose of the gift is to have the individual sample a new brand, if the following conditions are met:

a) the sample is provided within a one year period following the introduction of the new brand,

b) the product is distributed by the manufacturer's licensed agents or registered representatives,

c) the size of samples for any one individual does not exceed:

6 (355 ml) bottles of beer or cooler, or equivalent, 1 (750 ml) bottle of wine, or equivalent, 1 (375 ml) bottle of spirits, or equivalent.

i)   The giving of product where it is not a gift but a replacement due to customer (including licensee) complaint must approximate the amount of product damaged but may be greater if the nature of the packaging warrants a reasonable increase in quantity.

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Prohibition Against Inducements for Manufacturers

11 (1) A manufacturer of liquor or an agent or employee of a manufacturer shall not directly or indirectly offer or give a financial or material inducement to a person who holds a licence or permit under the Act or to an agent or employee of the person for the purpose of increasing the sale or distribution of a brand of liquor.

i) It is prohibited for a manufacturer to provide a licensee or permit holder with cash, cash rebates, product, product rebates, price discounts, or abuse the refunding for leaking kegs, etc.

ii) Items essential to the operation of the licensed establishment or permit function which benefit the licensee or permit holder and are not targeted to the consumer for the purpose of raising the profile of the company or product name within the establishment may not be provided by a manufacturer. Examples of these items are:

furniture, carpet, draft equipment, renovations to premises, staff uniforms, dishwashers, food processing/handling equipment, washroom supplies, principle or special function lighting, refrigeration equipment, menus/menu printing, services (cable TV, cleaning, painting, decorating, etc.).

iii) A manufacturer may provide items which could be viewed as beneficial to the operation of the business provided the volume is insignificant in relation to the overall annual requirements of the licensee and the purpose is to raise the profile of the manufacturer or manufacturer's product with the consumer and not for the benefit of the licensee. This would allow a manufacturer to provide a small quantity of branded glassware, a portion of the menu printing, licensee signage, etc., provided it identifies the manufacturer or brands.

iv) A licensee may mention a manufacturer's name or brand names in advertising, however, a manufacturer may not pay for a licensee's advertising.

(2) A manufacturer may provide or assist licensees and their staff with educational programs in the responsible sale and service of beverage alcohol.

Contact:
Lynda Clayton
Manager, Advertising & Promotions
Liquor Licence Board of Ontario
Phone: (416) 326-0400
Fax: (416) 326-0387

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