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Resources on Tobacco Control



The effectiveness of banning advertising for tobacco products
(October 1997)

Luk Joossens, Consultant to the UICC
UICC / ECL EU Liaison Office
33 Rue De Pascale - 1040 Brussels (Belgium)
Tel (32) 2 230.20.27 - Fax (32) 2 231.18.58.
e-mail : joossens@globalink.org
  • Introduction
  • The effect of advertising bans in: Norway - Finland - New Zealand and France
  • Discussion
  • References


    Summary

    According to the tobacco industry, advertising bans do not work and may have an opposite effect : sales may increase after a ban is introduced. According to the industry also, cigarette advertisements are aimed at adults who already smoke and are designed to encourage brandswitching, not the initiation of smoking or an overall increase of sales. In this review, we present the most recent data on tobacco consumption in four countries, where a ban was introduced as a part of comprehensive policy. In the four countries per capita consumption of cigarettes ( 15 years + ) dropped between 14 and 37 % after the implementation of the ban.  

    Country Date of ban Drop in consumption until 1996
    Norway 1st July 1975 - 26 %
    Finland 1st March 1978 - 37 %
    New Zealand 17th December 1990 - 21 %
    France 1stJanuary 1993 - 14 %

    In three out of the four described countries, smoking prevalence among young people decreased, while in one it remained stable. Our conclusion is that advertising bans do work if they are properly implemented as part of a comprehensive tobacco control policy.


    1. Introduction

    Why do firms advertise? The obvious and most general answer is that firms advertise because it is profitable for them to do so. Firms spend money on promotional efforts if, and only if, they believe that the benefits (long term benefits) from that spending outweigh the costs.

    The ABC of advertising is to persuade in order to sell more. So why should advertising for tobacco products be an exception to this rule ? (1)

    According to the US Surgeon General‘s Report of 1989 (2) the direct mechanisms by which advertising and promotion might increase tobacco consumption are the following :

    • by inducing children and young people to begin experimenting with tobacco products and in this way to initiate regular smoking
    • by encouraging adults to take up smoking
    • by encouraging existing smokers to smoke more
    • by undermining existing smokers’ motivation to give up
    • by encouraging former smokers to resume the habit
    Even though the tobacco industry asserts that the sole purpose of advertising and promotional activities is brand-switching among adult consumers, it appears , according to the US Surgeon General’s Report of 1994 (3), that some young people are recruited to smoking by brand advertising. Two sources of epidemiological data support this assertion. Adolescents consistently smoke the most advertised brands of cigarettes, both in the United States and elsewhere. Moreover, following the introduction of advertisements that appeal to young people, the prevalence of use of those brands - or even the prevalence of smoking altogether - increases (3).

    In a recent article in one of the best known marketing journals (4), Pollay and colleagues argue that there are some reasons to doubt the so-called mature market classification of the tobacco industry, which would have us believe that it is not the intent, nor the effect, of cigarette advertising to influence young people, to reassure and retain existing current smokers who might otherwise quit, or to induce current smokers to smoke more - several of the ways that advertising might conceivably influence primary demand.

    According to Pollay and colleagues, no isolation or immunity protects children and adolescents. Teenagers and younger children are in no way isolated from cigarette advertising’s attractiveness and inducements. There is no magic curtain around children and teenagers who seek to learn how to fit into an adult world , nor is there any convincing defence of a view that would make young non-smokers immune (4).

    The main conclusion of this article in the Journal of Marketing is that young people operate as trend-setters to define the degree of success of brands which are " in ", with tobacco advertising sensitivity being three times larger among teenagers than among adults. The most advertised cigarette brand in the world is Marlboro. Marlboro has a market share in the U.S. of 59 % among adolescents and of 22 % among adults. The authors argue that cigarette competition between firms is dominated by the battle for market share among the young, and that assertions to the contrary, without supporting evidence, should be treated with scholarly scepticism (4). 

    Some reasons to expect greater advertisement sensitivity among adolescents than among adults are, according to the same article (4) :

    • First , identity formation and advertising attentiveness- adolescence is a time of identity formation, which makes teenagers especially attentive to both advertising and peer influences for cues concerning symbols of adulthood and acceptance .
    • Second, adolescents are novices when it comes to coping with persuasion. As consumers, the young tend to be more brand conscious, less price conscious, and less experienced in counter-arguing against advertising and selling tactics.
    • Third, previous research must be considered. Young people know advertising better, appreciate brand-stretching advertising more and possess an ideal self-image that is a better match to images created for cigarette brands than do adults.
    • Fourth, consider addiction and brand loyalty. Teens are a strategically important target audience, because brand loyalty is often developed during this time and this creates a barrier-to-entry for other brands not chosen during these crucial years.
    • Fifth, segments have differential strategic attractiveness. Strategic analysis indicates that cigarette firms should be far from indifferent to the dynamic phenomena of starting and quitting. The high rate of people quitting smoking and dying means that sales for this industry would drop precipitously were it not for a continuing influx of new starters (4). 


    2. The effect of advertising bans in Norway, Finland, New Zealand and France

    A report of the UK Department of Health of October 1992 (5) reviewed various forms of evidence to assess whether tobacco advertising affects the aggregate demand for tobacco products. Four countries (Norway, Finland, Canada and New Zealand) were chosen, as these countries introduced a advertising ban and enforced it effectively. In all four counties enough data were available to evaluate the ban scientifically.

    The main conclusion of this report was that current evidence available on these four countries indicates a significant effect. In each case the banning of advertising was followed by a fall in smoking on a scale which cannot reasonably be attributed to other factors (5).

    Five years later we looked at the available data in the same four countries. Canada was, however, replaced by France (advertising ban 1/1/1993), as in Canada a legal vacuum was created by the Supreme Court of Canada’s decision of 21st September 1995 to abolish the 1988 Tobacco Products Control Act, which was replaced by the Tobacco Act of 25th April 1997.

    In all four countries we shall examine the data for per capita cigarette consumption and smoking prevalence among youngsters.

    2.1. NORWAY

    The ban on tobacco advertising came into force on 1st May 1975 in Norway.  

    Registered sales of tobacco per adult (aged 15 and above) showed an increase during the 1950’s and 1960’s. From 1970 this increase levelled off and decreased from 2,100 g in 1975 to 1,553 g in 1996 (-26 %).

    Per capita sales of cigarettes and smoking tobacco in Norway
    (15 years +) 1969/70 - 1996/97
     

    Year
    (July - June)

    Manufactured cigarettes (1)

    RYO
    (in grammes) (2)

    Total cigarettes (1+2)

    1969/70 634 1442 2076
    1970/71 627 1352 1979
    1971/72 640 1396 2036
    1972/73 600 1474 2074
    1973/74 587 1460 2047
    1974/75 (***) 561 1539 2100
    1975/76 583 1468 2050
    1976/77 588 1408 1995
    1977/78 621 1391 2013
    1978/79 628 1367 1995
    1979/80 664 1379 2044
    1980/81 640 1339 1980
    1981/82 602 1341 1943
    1982/83 550 1285 1835
    1983/84 566 1267 1832
    1984/85 633 1208 1842
    1985/86 735 1155 1890
    1986/87 793 1083 1876
    1987/88 835 1042 1876
    1988/89 841 1009 1850
    1989/90 853 998 1851
    1990/91 853 1001 1854
    1991/92 875 1003 1878
    1992/93 761 909 1671
    1993/94 796 955 1751
    1994/95 732 825 1557
    1995/96 739 830 1569
    1996/97 757 796 1553

    Source : Directorate for Customs and Excise / National Council on Tobacco and Health

    (***) : start of the advertising ban is 1st July 1975 - Reference year for the evaluation of the impact of the ad ban is 1974/75

    Note : the weight of a cigarette is estimated at 1 g.

    From the year that advertising was banned (1975), prevalence of smoking by children and teenagers has declined steadily. Smoking prevalence among 16-19 years old decreased from 37,6 % in 1975 to 22,3 % in 1996.

    Smoking prevalence among 16-19 years old in Norway
    between 1975 and 1996

    Daily smoking in %
     

    Year Total Boys Girls
    1975 37,6 38,0 37,3
    1976 35,5 36,0 35,1
    1977 32,6 33,4 31,6
    1978 29,3 29,5 29,0
    1979 27,1 27,1 27,2
    1980 27,4 26,7 28,2
    1981 26,9 26,2 27,7
    1982 26,0 25,2 27,0
    1983 23,5 23,3 23,7
    1984 23,6 24,6 22,5
    1985 22,6 24,0 21,3
    1986 25,3 25,6 25,2
    1987 22,9 21,9 24,4
    1988 24,2 21,4 27,4
    1989 21,3 17,5 25,1
    1990 22,3 18,4 26,1
    1991 22,1 19,2 24,8
    1992 22,8 20,7 24,7
    1993 21,8 23,2 20,6
    1994 23,1 24,7 20,9
    1995 21,6 22,6 20,8
    1996 22,3 22,2 22,3

    Source: Norwegian Council on Tobacco and Health

    2.2 FINLAND

    In Finland, legislation to ban tobacco advertising was introduced in 1975 and came into effect in 1st March 1978. Registered sales of tobacco per adult decreased from 2129 g in 1977 to 1350 g in 1996 (-37 %).

    Per capita sales of cigarettes and smoking tobacco in Finland (15 years +)

    Year

    Cigarettes

     

    Pipe and cigarette tobacco (in grammes)

    Total cigarettes

    1970

    1866

    318

    2184

    1975

    2215

    221

    2436

    1976

    1741

    324

    2065

    1977 (***)

    1782

    347

    2129

    1978

    1784

    314

    2098

    1979

    1853

    319

    2172

    1980

    1869

    238

    2107

    1981

    1732

    242

    1974

    1982

    1789

    240

    2029

    1983

    1829

    232

    2061

    1984

    1913

    232

    2145

    1985

    1729

    215

    1944

    1986

    1822

    198

    2020

    1987

    1936

    192

    2128

    1988

    1867

    172

    2039

    1989

    1900

    168

    2068

    1990

    1780

    154

    1934

    1991

    1722

    176

    1898

    1992

    1693

    218

    1911

    1993

    1422

    262

    1684

    1994

    1349

    258

    1607

    1995

    1255

    225

    1480

    1996

    1090

    260

    1350


    Source : Statistics Finland, Tobacco Statistics 1996

    (***) : start of the advertising ban is 1st March 1978 - Reference year for the evaluation of the impact of the ad ban is 1977.

    Note: the weight of a cigarette is estimated at 1 g.

    From the year that advertising was banned in 1978, prevalence of smoking among 16-25 years old men decreased from 35 % in 1978 to 23 % in 1997 and among women of the same age group from 25 % in 1978 to 21 % in 1997.

    Daily smokers among 16-25 years in Finland between 1978/79 and 1997

    Year

    Males

    Females

    1978/79

    35 %

    25 %

    1980/82

    28 %

    27 %

    1983/85

    26 %

    19 %

    1986/88

    29 %

    24 %

    1989/90

    29 %

    24 %

    1991/92

    28 %

    25 %

    1993/94

    26 %

    22 %

    1995/96

    23 %

    23 %

    1997

    23 %

    21 %


    Source : National Public Health Institute

    2.3. NEW ZEALAND

    Part II of the New Zealand Smoke-Free Environment Act 1990, banning advertising, came into force on 17th December 1990.

    Cigarette equivalent (incl. Handrolling tobacco) per adult (aged 16+) decreased from 1957 in 1990 to 1553 in 1996 (-21 %).

    Cigarette equivalents (incl. Handrolling tobacco) per adult
    (aged 16+) in New Zealand between 1970-1996

    Year

    Cigarette equivalents

    1970

    3114

    1975

    3233

    1980

    2856

    1985

    2493

    1986

    2304

    1987

    2327

    1988

    2190

    1989

    2024

    1990 (***)

    1957

    1991

    1796

    1992

    1613

    1993

    1579

    1994

    1520

    1995

    1535

    1996

    1553


    Source: Statistics New Zealand

    (***): start of advertising ban is 17th December 1990 - Reference year for the evaluation of the impact of the ad ban is 1990.

    Note: the weight of a cigarette is estimated at 1 g.

    From the year that advertising was banned (1990), prevalence of smoking by 15-19 years old decreased from 26,8 % in the fourth quarter of 1990 to 24,7 % in the fourth quarter of 1995.

    Prevalence of smoking by 15-19 years old in New Zealand (1990-1995)

    4th quarter of 1990

    26,8 %

    4th quarter of 1991

    25,7 %

    4th quarter of 1992

    23,7 %

    4th quarter of 1993

    24,0%

    4th quarter of 1994

    24,7 %

    4th quarter of 1995

    24,7 %

    Source : Health New Zealand

    2.4. FRANCE

    The ban on tobacco advertising came into force on 1st January 1993 in France.

    Registered sales of manufactured cigarettes (aged 15 and above) increased from 1790 in 1970 to 2128 in 1991 (+16 %). In the period 1992-1996, per capita sales of manufactured cigarettes decreased from 2097 to 1834 (-14 %).

    Per capita (15 years +) sales of manufactured cigarettes
    in France (1970-1996) (*)

    Year

    Cigarettes

    1970

    1790

    1975

    2090

    1980

    2100

    1985 (**)

    2220

    1990

    2113

    1991

    2128

    1992 (***)

    2097

    1993

    2025

    1994

    1938

    1995

    1893

    1996

    1834

    Source : Centre de Documentation et d'Information sur le Tabac, Eurostat

    (*) Handrolling tobacco is not included in this table as there is some border trade of handrolling tobacco between the UK and France.

    (**) Sales in 1985 were artificially high due to a distribution strike at the end of 1984.

    (***) start of the advertising ban is 1st January 1993 - Reference year for the evaluation of the impact of the ad ban is 1992.

    In the period 1992-1996 prevalence of smoking by 12-18 years olds remained stable at 34 %.

    Smoking prevalence by 12-18 years old in France (1992-1996)

    1992

    34 %

    1994

    30,5 %

    1995

    35 %

    1996

    34 %

    Source : Comité Français pour l'Education à la Santé


    3. Discussion 

    Many factors may influence tobacco consumption. Tobacco advertising is only one factor influencing the decision to smoke; others include social, religious, parental, sibling and peer smoking behaviour and attitudes, price and disposable income, age limit proscriptions, education and social class. To isolate the effect of one factor would mean holding the others constant. These factors are different from country to country, continually changing (6). 

    It is possible that an advertising ban alone will not lead to a drop of consumption as the net effect on consumption can be overridden or neutralised by falls in relative tobacco prices or income growth. In an editorial of the British Journal of Addiction (1992), Murray Laugesen pointed out that " for Finns, real per capita incomes after the ban (1978-1996) rose 36 %, Norwegian incomes (1975-1986) rose 50 %, while Icelandic incomes (1971-1986), rose 56 %. Tobacco taxation was raised more than once, but not often enough to keep up with both inflation and income " (7).

    Norway, Finland, New Zealand and France enforced an ad ban which was part of a comprehensive tobacco control strategy, such as price increases and the promotion of smoke-free places. The increase of prices alone can not explain the drop of consumption. Countries like Finland and Norway had great increases in income, which encouraged consumption. In New Zealand the reduction in tobacco consumption per adult was the same in the five years before and after the advertising ban of 1990, but during 1990-1995 the real price of tobacco products increased by only one third as much as in 1985-1990 (Personal Communication : Murray Laugesen). Already in 1992 the UK. Department of Health concluded that the banning of advertising in Norway, Finland, Canada and New Zealand was followed by a fall in smoking on a scale which cannot reasonably be attributed to other factors.  

    In order to maintain a downward trend, an ad ban must be part of a comprehensive tobacco control policy. The experience of Norway, Finland, New Zealand and France has proved that this policy is efficient and led to a decrease in sales between 14 and 37 % from the year that advertising was totally was banned to the year 1996. 


    References : 

    1. Pollay, R.W. , The function and management of cigarette advertising, March 1990 quoted in : ‘Report on Tobacco Advertising : Give children a chance’ by the European Bureau for Action on Smoking Prevention (BASP), March 1991.
    2. US Department of Health and Human Services, Reducing the Health Consequences of Smoking : 25 years of progress, a Report of the Surgeon General, Rockville, 1989.
    3. US Department of Health and Human Services, Preventing Tobacco Use among Young People, a Report of the Surgeon General, Rockville, 1994.
    4. Pollay, R.W., et al., The Last Straw ? Cigarette advertising and realised market shares among youth and adults 1979-1993, Journal of Marketing,
    5. 60 : April 1996,pp. 1-16.

    6. Department of Health, Effect of tobacco advertising on tobacco consumption, London, 1992.
    7. Chapman,S., Pushing Smoke. Tobacco advertising and promotion, Smoke-Free Europe 8, WHO Regional Office or Europe, Copenhagen, 1988.
    8. Laugesen, M., Editorial : Tobacco advertising ban cuts smoking, British Journal of Addiction, 87 : 1992, pp. 965-966.