Scotland’s government is considering banning alcohol brands from using branded merchandise in the country of 5.4 million people, a move that’s drawn the ire of drink makers and triggered concern among promotional products companies in the United Kingdom and North American-based industry firms that do international business there.  

A consultation paper from the Scottish government raises the prospect of the prohibition on alcohol branded merch along with other advertising restrictions, including a ban on billboard advertisements and sports and music festival sponsorships.

Proponents of the prohibitions see them as a way to help curb what they describe as problematic alcohol consumption patterns in Scotland, where the government says 24 people died each week in 2021 from illnesses related to alcohol. Some 700 are hospitalized weekly due to drink, the government says.

“By restricting alcohol marketing in Scotland, we hope to reduce the appeal of alcohol to our young people,” says Maree Todd, minister for public health, women’s health and sport. “This will support a reduction in consumption of alcohol and subsequently improve their health and health prospects as adults.”

To be clear, the Scottish government is essentially in a review phase on the merch/advertising ban idea. No legislation has yet been introduced.

Still, the British Promotional Merchandise Association (BPMA), an industry trade group in the United Kingdom (of which Scotland is part), is keeping a close eye on the situation, participating in a consultative process to provide evidence of the important role that branded merchandise plays in all marketing communications, says CEO Carey Trevill.

As merchandise is not the only communication tool under scrutiny in the proposed legislation, the wider marketing and advertising industry in the U.K. is also reviewing the overall impact via the Advertising Association, Trevill shares. The BPMA, as a member of the Advertising Association, is part of the working group breaking down the proposed changes as part of the wider industry response.

“The relationship in Scotland between promotions and alcohol has undergone significant reform in recent years, meaning promotion of alcohol in Scotland already has more restrictions than the rest of the U.K.,” Trevill explains. The Scottish government’s consultation on the potential ban, which opened in November 2022, will not close until March 2023, she says, adding: “Until this time and all consultation processes have been concluded, it is impossible to say what the outcome will be.”

BPMA plans to continue to stay involved with proceedings and keep promo industry companies in the U.K. informed of developments. “Branded merchandise is already under ‘bans’ in several industries and environments yet business still keeps buying,” Trevill notes. 

Several Scotland-based distributors ASI Media spoke with say the possible ban is a concern, as it could affect more than just business with drink brands. Cross/dual branding initiatives could also be impacted and other clients that rely on business with alcohol brands could be indirectly negatively affected, they worry. The distributors asked to remain anonymous.

Professionals in the adult beverage market have criticized the proposal. Blair Bowman, a Scotland-based whisky consultant and broker, says the potential ban has left drink makers “absolutely shocked” and could hurt the Scottish economy.

“The proposals for alcohol-branded merchandise could make visitor centers at whisky distillers, as well as gin distilleries and breweries, unviable,” Bowman tells Harper’s UK. “These are typically in rural communities providing great jobs and tourism experiences. Whisky tourism is increasingly popular and a real draw for visitors to Scotland, but these new proposals would make the already challenging trading situation even harder.”

Bowman notes that Scotch whisky has a particularly special status. “Scotch whisky has GI (Geographical Indication) protected status which shows how unique and special Scotch whisky is,” Bowman asserts. “However, in their proposals, the Scottish government has said that by removing marketing and branding, all sub-categories of alcohol are essentially the same thing. This is a very odd thing for the government to say about a national product with GI status and seems to disregard the diverse range of flavor profiles and craftsmanship that makes Scotch whisky so popular.”

Some Scottish journalists have panned the potential prohibitions. Scott Begbie, entertainment editor with The Press & Journal and Evening Express, writes:

“Every single brewer in this country has merchandise that boasts their product. It’s a vital revenue stream, and a way to promote their business. Then there is the whisky industry – that wee, multimillion pound, world-renowned platform that does so much of the heavy lifting for our vital tourism industry. People come to Scotland from across the globe so they can make a pilgrimage to distilleries, to see how whisky is made, and come away with a memento. So, no more Glencairn glass souvenirs, not a branded T-shirt, hoodie or keyring to be had, suggests this paper. All you would leave with is a lingering feeling that Scotland is ashamed of an iconic product that is the absolute envy of the world. And that’s just daft.”