CCPA directs liquor companies to comply with advertising norms

Central Consumer Protection Authority (CCPA) has now directed alcobev companies operating in India to ensure compliance with the advertising norms and asked for a list of products sold under a given brand (which is known as brand extension) in the last three years. On this, CCPA issued a directive to alcobev companies to comply with.

Additionally, CCPA has directed for revenue and turnover data related to sale of alcobev with on brand extension products like mineral water, etc. over the same period. CCPA also wants expenses incurred in promoting brand extensions for alcobev companies, including sponsorship of events, award ceremonies, music festivals, payments to celebrities and influencers, and TV ads during the last three years.

The agency intends to ascertain the correlation between the actual sales of the brand extension product and the money spent on their promotion. Liquor advertisements are banned in many media platforms in India and this results in alcobev companies using surrogate advertising campaigns to sell their products.