Marketing of sugar-sweetened beverages unveiled. Suzie Pellerin, Director February 2013

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1 Marketing of sugar-sweetened beverages unveiled Suzie Pellerin, Director February 2013

2 Quebec Coalition on Weight-Related Problems Created in 2006 Sponsored since 2008 by A solid partnership (organisations and individuals) Close to 250 partners from : Municipalities Health professionals Researchers School districts Environment professionals Physical activity profesionnals Etc. 2

3 Quebec Coalition on Weight-Related Problems Mandate : Obtain the required support To make demands for changing legislation and regulations and public policy in three strategic areas: Agri-food industry Sociocultural Built environment In order to encourage the development of environments that help in making healthy choices and will contribute to preventing weight related issues. 3

4 Investments in Marketing Aggressive marketing The intensity of marketing foods that have high caloric values and low nutritional values is recognized by the World Health Organization (WHO) as an important factor in the obesity epidemic In 2006, big business spent $4 billion in soft drink advertising. Coca Cola s annual advertising budget: In 2007, Coca-Cola spent 9.6% of its revenue = $2.8 billion 4

5 Why target young people? Because of their direct (pocket money) and indirect (influence on parent purchases) buying power It seems that, each year, 4 million Canadian children, 2 to 12 years old, spend $1.5 billion of their own pocket money and influence the purchase of household items to the tune of $20 billion. Young engaged consumer = faithful consumer "From cradle to grave" Targeting youths ensures the future of the brand. Coca-Cola Marketing Director, 1996 Viral capacity +++ 5

6 7 categories of SSBs analyzed 6

7 Marketing mix or the 4 Ps media.photobucket.com 7

8 Product 8

9 Multiplication and diversification of products 9

10 Packaging attractiveness Suggestive names E.g. Red Bull, Monster, Guru, Hype, Pussy, Rockstar and Full Throttle. Vibrant colours Formats for every "thirst" 10

11 Recommendations Regulate all sugary drinks consistently and uniformly On-going Ensure that packaging focuses on informing before persuading Simplify the nutritional information Display clear and unambiguous warnings Reducing the health risk of sugary drinks Create a working group on sugar Limit caffeine content On-going 11

12 Price 12

13 Price: an unbeatable argument for seducing young people Price second most influential factor in young people's food choices (after taste) 13

14 Variation in prices of selected items on a global inflation basis 14

15 Recommendation Tax on Sugar-sweetened beverages with the revenue invested in prevention Promising and cost-effective measure according to: The Institute of Medicine of the National Academies The Organization of Economic Cooperation and Development (OECD) The United Nations The Yale Rudd Center for Food Policy and Obesity Etc. 15

16 Placement 16

17 Convenience stores Restaurants Parks Cafeterias Placement Supermarkets Internet Vending machines Television Movie theatres Arenas Grocery stores Bars 17

18 Sugary drinks : always at your fingertips youtube.com/watch?v=ajsd1ujauyc 18

19 Strategic placement! 19

20 Recommendations 1/2 Encourage : retailers to review their display policy On-going Restaurants (especially fast food chains) to offer and promote systematically healthier drinks In municipalities : Prohibit the sale of energy drinks in sports establishments and places frequented by youth On-going Limit the distribution of SSBs in municipal establishments and offer nutritious alternatives 20

21 Recommendations 2/2 Prohibit the sale of SSBs in provincial and federal buildings frequented by young people Ex : hospitals, schools, national parks, On-going Prohibit the sale of energy drinks to those under the age of 18 y.o. 87% of Quebecers in favour 21

22 Promotion 22

23 Promotion Advertising Web sites Sponsorships Advergame Contests Philantropy More 23

24 Broadcast on all media platforms! Marketing of sugar-sweetened beverages 24

25 Sponsorships (sports, music, arts ) 25

26 Association with celebrities It is a great honor for me to be ambassador of Pepsi Refresh Project, says Rochette. I look forward to helping Quebecers make positive changes - it's a passion of mine. 26

27 Product placement In 2010, Coca-Cola invested nearly $12 million in placements and advertisements for the first American Idol in the winter and nearly $60 million for the full season Impact on food choice 27

28 Branded products 28

29 Advergame : Promote the brand through a game 29

30 In-game advertising : product placement in video games Possibility of targeted advertising Different ads during parts Advertisements occur naturally Results of neuromarketing 30

31 Young people at the heart of communication Viral marketing: Use of social media Specificity: consumers are becoming the main drivers of brand communications Lower costs Enormous potential benefits (Ex: more than 58 million fans of Coca-Cola on Facebook) Rapid dissemination The message has a positive connotation associated with its prescription through knowledge 31

32 Social media & viral marketing 32

33 Philantropy 33

34 Creative and successful initiatives! 34

35 Recommendations Prohibit marketing to children At a federal or provincial level In Quebec, modernize the enforcement rules of the articles 248 and 249 of the Consumer Protection Act Ensure sufficient financial resources and adequate structure Create a committee to analyse ways of reducing the impact of SSBs promotion 35

36 Coca-Cola s obesity prevention campaign Misleads the public into error stating that their products are like all other foods Focusses on the role of physical activity in obesity in order to divert attention from sugary drinks Tries to win public and political favors to counteract the increasing pressure for regulation ch?v=zybnapqzj6s 36

37 Part of the solution? Really? The Honest Coca-Cola Obesity Commercial Coming together Translated (CSPI) The Real Bears (CSPI) 37

38 And for further information

39 Thank you! Questions? Contact : Web site : cqpp.qc.ca info@cqpp.qc.ca Youtube.com/CoalitionPoids Merci! Développer les compétences culinaires à l'école - Suzie Pellerin 20 février

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