Case Studies and Management Resources
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Case Studies and Management Resources
Asia's Most Popular Collection of Management Case Studies |
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With pressure increasing from public interest groups to ban liquor advertisements, the government had to make amendments to the Cable TV Act 1995 (Refer Exhibit III). While the Indian government could not take action on most of the channels for violating the codes, as they did not uplink from India, the cable operators were punishable under Indian law. The I&B Ministry also took steps to monitor the advertisements broadcast by these companies.
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Due to the ban, liquor companies focused more on promotions for brand building. They started sponsoring events that projected the 'glamour' of the brands, like track racing, car rallies etc. for instance Shaw Wallace Co. (SWC), one of the leading liquor companies in India, conducted the Royal Challenge Invitation Golf tournament, which became an annual event. |
Even after the ban, liquor companies continued to advertise their drinks in the form of surrogate advertisements. In this type of advertisement, a product other than the banned one is promoted using an already established brand name. Such advertisements or sponsorships help in brand building and contribute to brand recall.
The product shown in the advertisement is called the 'surrogate.' The surrogate could either resemble the original product or could be a different product altogether, but using the established brand of the original product.
The sponsoring of sports/cultural/leisure events and activities using a liquor brand name also falls in the category of surrogate advertising. In late 2000, a group of broadcasters, who were members of the Indian Broadcasting Foundation (IBF),5 submitted their recommendations on surrogate advertising to the I&B Ministry.
5] The IBF is a non-profit national organization of television broadcasters, airtime sellers and other entities in the field
of television broadcasting, set up to promote the television industry. It has about 27 members including Sony, Zee, Star,
Sahara, Discovery, MTV etc. In October 2001, the IBF also included radio companies as its members.
Case Code : MKTG024
Themes: Advertising and Promotion
Case Length : 13 Pages
Period : 1999-2002
Organization : Archies Greetings
Pub Date : 2002
Teaching Note : Available
Countries : India
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