Preview

A Global Alcohol Industry

Satisfactory Essays
Open Document
Open Document
5107 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
A Global Alcohol Industry
REVIEW

doi:10.1111/j.1360-0443.2008.02430.x

The global alcohol industry: an overview
David H. Jernigan
Department of Health, Behavior and Society, Johns Hopkins Bloomberg School of Public Health, Baltimore, MD, USA

ABSTRACT Aims To describe the globalized sector of the alcoholic beverage industry, including its size, principal actors and activities. Methods Market research firms and business journalism are the primary sources for information about the global alcohol industry, and are used to profile the size and membership of the three main industry sectors of beer, distilled spirits and wine. Findings Branded alcoholic beverages are approximately 38% of recorded alcohol consumption world-wide. Producers of these beverages tend to be large multi-national corporations reliant on marketing for their survival. Marketing activities include traditional advertising as well as numerous other activities, such as new product development, product placement and the creation and promotion of social responsibility programs, messages and organizations. Conclusions The global alcohol industry is highly concentrated and innovative. There is relatively little public health research evaluating the impact of its many marketing activities. Keywords alcohol, advertising, marketing, globalization, multi-nationals, responsibility.

Correspondence to: David H. Jernigan, Department of Health, Behavior and Society, Johns Hopkins Bloomberg School of Public Health, 624 N. Broadway, 2nd Floor, Baltimore, MD 21205-1996, USA. E-mail: djerniga@jhsph.edu Submitted 5 December 2007; initial review completed 25 January 2008; final version accepted 20 October 2008

INTRODUCTION Alcohol can be made from a wide variety of agricultural inputs, and is produced both formally and informally throughout the world. The ‘industry’ producing alcoholic beverages may take many forms, including a single woman or a group of women brewing traditional beer in an African village; a network of industrial



References: 1. Jernigan D. H. Applying commodity chain analysis to changing modes of alcohol supply in a developing country. Addiction 2000; 95: 465–75. 2. Barry K. Global wine report: new world order: premiumization, megadeals reshape business. Impact 2007; 37: 1,6–10. 3. Rehm J., Rehn N., Room R., Monteiro M., Gmel G., Jernigan D. et al. The global distribution and average volume of alcohol consumption and patterns of drinking. Eur Addict Res 2003; 9: 147–56. 4. International Center for Alcohol Policies. The Structure of the Beverage Alcohol Industry. Report no. 9. Washington, DC: International Center for Alcohol Policies; 2006. 5. Jernigan D. H. Cultural vessels: alcohol and the evolution of the marketing-driven commodity chain. Diss Abstr Int 2001; 62: 349–50A. 6. Impact Databank. The Global Drinks Market: Impact Databank Review and Forecast, 2006 edn. New York: M. Shanken Communications; 2007. 7. Lopes T. D. S. The growth and survival of multinationals in the global alcoholic beverages industry. Enterprise Society 2003; 4: 592–8. 8. Fortune. Fortune Global 500. Fortune 2007; http://money. cnn.com/magazines/fortune/global500/2007/full_list/ index.html, accessed 27 September 2007. 9. Advertising Age. Advertising age’s 20th annual global marketers. Advert Age 2006; 77: 2–53. 10. Room R., Jernigan D. The ambiguous role of alcohol in economic and social development. Addiction 2000; 95: S523– 35. 11. Mosher J. F., Johnsson D. Flavored alcoholic beverages: an international marketing campaign that targets youth. J Public Health Policy 2005; 26: 326–42. 12. Jernigan D. H. Implications of structural changes in the global alcohol supply. Contemp Drug Probl 2000; 27: 163– 87. 13. Aaker D. A. Building Strong Brands. New York: The Free Press; 1996. 14. Graubert J. D. Federal trade commission: agency information collection activities; proposed collection; comment request. Fed Regist 2006; 71: 62261–6. Addiction, 104 (Suppl. 1), 6–12 © 2009 The Author. Journal compilation © 2009 Society for the Study of Addiction 12 David H. Jernigan 15. Snyder L., Milici F., Slater M., Sun H., Strizhakova Y. Effects of alcohol exposure on youth drinking. Arch Pediatr Adolesc Med 2006; 160: 18–24. 16. Stacy A. W., Zogg J. B., Unger J. B., Dent C. W. Exposure to televised alcohol ads and subsequent adolescent alcohol use. Am J Health Behav 2004; 28: 498–509. 17. Collins R. L., Ellickson P. L., McCaffrey D., Hambarsoomians K. Early adolescent exposure to alcohol advertising and its relationship to underage drinking. J Adolesc Health 2007; 40: 527–34. 18. Sargent J. D., Wills T. A., Stoolmiller M., Gibson J., Gibbons F. X. Alcohol use in motion pictures and its relation with early-onset teen drinking. J Stud Alcohol 2006; 67: 54–65. 19. McClure A. C., Dal Cin S., Gibson J., Sargent J. D. Ownership of alcohol-branded merchandise and initiation of teen drinking. Am J Prev Med 2006; 30: 277–83. 20. Hollingsworth W., Ebel B. E., McCarty C. A., Garrison M. M., Christakis D. A., Rivara F. P. Prevention of deaths from harmful drinking in the United States: the potential effects of tax increases and advertising bans on young drinkers. J Stud Alcohol 2006; 67: 300–8. 21. Saffer H., Dave D. Alcohol advertising and alcohol consumption by adolescents. Health Econ 2006; 15: 617–37. 22. Roberts C., Blakey V., Tudor-Smith C. Impact of ‘alcopops’ on regular drinking by young people in Wales. Drugs Educ Prev Policy 1999; 6: 7–15. 23. Johnston L. D., O’Malley P. M., Bachman J. G., Schulenberg J. E. Monitoring the Future National Survey Results on Drug Use, 1975–2006. Vol. I. Secondary School Students. Bethesda, MD: National Institute on Drug Abuse; 2007. 24. Center on Alcohol Marketing and Youth. Still Growing After All These Years: Youth Exposure to Alcohol Advertising on Television, 2001–2005. Washington, DC: Center on Alcohol Marketing and Youth; 2006. 25. Ferreira S. E., de Mello M. T., Pompéia S., de SouzaFormigoni M. L. Effects of energy drink ingestion on alcohol intoxication. Alcohol Clin Exp Res 2006; 30: 598–605. 26. Oteri A., Salvo F., Caputi A. P., Calapai G. Intake of energy drinks in association with alcoholic beverages in a cohort of students of the School of Medicine of the University of Messina. Alcohol Clin Exp Res 2007; 31: 1677–80. 27. Mullman J. Big brewers gut ad spend, sell more beer. Advert Age 2007; http://adage.com/article?article_id=120644, accessed 17 November 2008. 28. Donohue B., Allen D., Maurer A., Ozols J., DeStefano G. A controlled evaluation of two prevention programs in reducing alcohol use among college students and low and high risk for alcohol related problems. J Alcohol Drug Educ 2004; 48: 13–33. 29. Sharmer L. Evaluation of alcohol education programs on attitude, knowledge and self-reported behavior of college students. Eval Health Prof 2001; 24: 336–57. 30. Barnett N. P., Murphy J. G., Colby S. M., Monti P. M. Efficacy of counselor vs. computer-delivered intervention with mandated college students. Addict Behav 2007; 32: 2529– 48. 31. Reis J., Riley W., Lokman L., Baer J. Interactive multimedia preventive alcohol education: a technology application in higher education. J Drug Educ 2000; 30: 399–421. 32. Bowers S. Bars and brewers unite against bingeing. Guardian, 2006, http://www.guardian.co.uk/society/2006/mar/ 13/drugsandalcohol.business, accessed 28 September 2007. 33. Anderson P. The beverage alcohol industry’s social aspects organisations: a public health warning. Globe 2002; 2002: 5–30. 34. Babor T. F., Caetano R., Casswell S., Edwards G., Giesbrecht N., Graham K. et al. Alcohol: No Ordinary Commodity. Oxford: Oxford University Press; 2003. 35. Cavanagh J., Clairmonte F. Alcoholic Beverages: Dimensions of Corporate Power. New York: St Martin’s Press; 1985. 36. Impact Databank. The U.S. Beer Market: Impact Databank Review and Forecast, 2006 edn. New York: M. Shanken Communications; 2007. 37. Impact Databank. The U.S. Spirits Market: Impact Databank Review and Forecast, 2007 edn. New York: M. Shanken Communications; 2007. 38. Impact Databank. The U.S. Wine Market: Impact Databank Review and Forecast, 1998 edn. New York: M. Shanken Communications; 1999. 39. Stuparyk M. South American shakeup. Impact 2005; 35: 26. © 2009 The Author. Journal compilation © 2009 Society for the Study of Addiction Addiction, 104 (Suppl. 1), 6–12

You May Also Find These Documents Helpful

  • Powerful Essays

    How Six Beverages changed the Face of the EarthThroughout history certain drinks have marked a trend that has changed the face of the earth. Each drinks including beer, wine, spirits (distilled alcohol), coffee, tea, and coca-cola have been a catalyst for the development of our society. As a result, the alcohol and the caffeine in the drinks have not only quenched our thirst through history, but have done much more than that; they have helped different cultures intertwine. Each one of them set humankind on a path towards modernity. Six beverages precisely, three alcoholic, and three caffeine marked the tendency; the first beverage to mark a trend was beer that both served as a currency and for political purposes. Later came the Greeks with a fermented grape juice, named "wine" that with the help of formal drinking parties helped diffuse ideas and thoughts. With the coming of the age of exploration and the discovery of America, raw goods and the distillation process arrived and helped the development of distilled drinks such as brandy, rum, and whiskey which were used as currency to buy slaves and became popular in North America. As alcoholism spread, other people especially professionals looked for that drink that instead of confusing the mind rather promoted clarity. Coffee, the black gift from the Arabs promoted clarity that was what professionals were looking for such a long time. However the emergence of the British Empire as a world dominion helped China's flagship drink, tea helped to open lucrative trade routes with the east. Perhaps, the most affluent of all, or at least the one single drink that reached every corner of earth is the carbonated soft beverage called Coca-Cola; Coca-Cola marked the start of the globalization period. Six drinks, six different stories that mark our world today.…

    • 3123 Words
    • 9 Pages
    Powerful Essays
  • Powerful Essays

    This research was made possible through the Emerging Researcher Award provided by the Population Health Improvement Research Network (PHIRN), with funding from the Ontario Ministry of Health and Long-term Care.…

    • 12784 Words
    • 52 Pages
    Powerful Essays
  • Good Essays

    Up until 2002 there was not really any monitoring of the alcohol industry self-regulation. “In that year the Center on Alcohol Marketing and Youth at Georgetown University (CAMY) was created to monitor alcohol company marketing practices in the United States in order to provide an independent review of the industry’s practices and to offer a factual basis to debates over youth exposure to alcohol advertising occurring in that country”. Billions and billions of dollars are spent yearly on advertising in the form of “measured” media. “CAMY has concentrated on these so called forms of “measured” media, although the Federal Trade Commission (FTC) has projected that two to three times the yearly amount is spent on unmeasured advertisings such as sponsorships, giveaways, point-of-purchase promotions, and clothing with alcohol brand logos and special events” .…

    • 843 Words
    • 4 Pages
    Good Essays
  • Best Essays

    Rakib-Dog

    • 8133 Words
    • 33 Pages

    Published 2012 Copyright—Department of Health and Human Services Permission to copy is granted provided the source is acknowledged ISBN 978-0-9872195-2-7…

    • 8133 Words
    • 33 Pages
    Best Essays
  • Powerful Essays

    Annotated Bibliography

    • 10692 Words
    • 43 Pages

    Additional services and information for Journal of Health and Social Behavior can be found at: Email Alerts: http://hsb.sagepub.com/cgi/alerts Subscriptions: http://hsb.sagepub.com/subscriptions Reprints: http://www.sagepub.com/journalsReprints.nav Permissions: http://www.sagepub.com/journalsPermissions.nav Citations: http://hsb.sagepub.com/content/50/1/31.refs.html…

    • 10692 Words
    • 43 Pages
    Powerful Essays
  • Satisfactory Essays

    Amy Wilson-Stronks, M.P.P., Project Director, Health Disparities, Division of Quality Measurement and Research, The Joint Commission. Paul Schyve, M.D., Senior Vice President, The Joint Commission Christina L. Cordero, Ph.D., M.P.H., Associate Project Director, Division of Standards and Survey Methods, The Joint Commission Isa Rodriguez, Project Coordinator, Division of Quality Measurement and Research, The Joint Commission Mara Youdelman, J.D., L.L.M., Senior Attorney, National Health Law Program…

    • 53285 Words
    • 214 Pages
    Satisfactory Essays
  • Best Essays

    Frantz, Jeff. "Europeans Learn Responsible Drinking." WWW2 Webserver. N.p., n.d. Web. 24 Nov. 2009. .…

    • 3342 Words
    • 14 Pages
    Best Essays
  • Powerful Essays

    Head Start Parent

    • 16014 Words
    • 65 Pages

    This document was prepared under Grant #90HC0003 for the U.S. Department of Health and Human Services,…

    • 16014 Words
    • 65 Pages
    Powerful Essays
  • Powerful Essays

    Drinking occurs frequently within the college environment. It was reported that 87.3% of college students under the legal minimum drinking age had tried alcohol, when 50% reported heavily drinking in the past year (Clapp, 275). Heavy drinking can cause many consequences, from mild ones as hangovers to severe problems such as suicide attempts and death. Although mild problems like hangovers are most common, “the heavy use of alcohol among college students has been estimated to result in approximately 1,400 deaths and another 500,000 alcohol-related traumas each year”(Clapp, 275). Research done by Miron and Tetelbaum, shows that the minimum legal drinking age has only a minor effect on teen drinking. College students under the age of 21 are drinking in uncontrolled environments, they are left to learn for themselves how to drink at a moderate and safe rate. This learning process cannot be approached in these unsupervised environments, where young adults play drinking games and form ruinous drinking habits. The environment witch you are drinking in can relate to how and how much alcohol you…

    • 1264 Words
    • 6 Pages
    Powerful Essays
  • Powerful Essays

    Under Aged Drinking Today

    • 1339 Words
    • 6 Pages

    From 1979 to 2006, risk of binge drinking declined from 12- to 20-year old males but not females in this age range. NO reduction in binge drinking occurred for college males. In a national study, 13.8% of eighth-graders reported having at least one drink in the past 30 days, and 11.5% had been drunk at least once in the past year. Today, alcohol is widely available and aggressively promoted throughout society. And alcohol use continues to be regarded, by many people, as a normal part of growing up. Yet underage drinking is dangerous, not only for the drinker but also for society, as evident by the number of alcohol-involved motor vehicle crashes, homicides, suicides, and other injuries.…

    • 1339 Words
    • 6 Pages
    Powerful Essays
  • Good Essays

    Health Care Access

    • 1080 Words
    • 4 Pages

    Nevada Division of Public and Behavior Health, (2006). Retrieved on December 11, 2014 from http://nv.health.gov…

    • 1080 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Musonera, E. and Hemley, D. (2013). Analysis of Global Marketing Strategies in Distilled Spirits Industry: Absolut Vodka. [Online]. Available at http://www.jgbm.org/page/9%20Etienne%20Musonera%20.pdf [Accessed 8 February 2014]…

    • 1958 Words
    • 8 Pages
    Better Essays
  • Satisfactory Essays

    GAIN Report(1998), The Saudi Market for NonAcoholic Beer, Prepared by : Us Embassy John H. Wilson.…

    • 383 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    Director

    • 1581 Words
    • 7 Pages

    The alcoholic sector’s market structure is changing. The low-end market is contracting, as rising consumer incomes begin to erode consumer price sensitivity, according to Vietnam’s Beer, Alcohol, and Soft Drinks Association (VBA). Particularly, the high-end segment in Vietnam for brewery products, which currently accounts for 12 percent in terms of volume, and 20 percent in terms of value. Some major brands names are Heineken, Carlsberg, and Tiger. The respective figures for the middle and the low-end segments are 45 percent and 43 percent in terms of volume, and 50 percent and 30 percent in term of value.…

    • 1581 Words
    • 7 Pages
    Powerful Essays
  • Powerful Essays

    In many countries this would instinctively trigger the implementation of higher taxes on alcohol and better public education into the risks. But corporate interference is strong in much of Africa – a relatively new market where many companies are hungry to capitalise on profitable expansion. And complicating the issue further is the prevalence of illegally produced local alcohol. These drinks are usually extremely potent, often dangerous, and occasionally lethal – many worry that increased taxation will simply drive more people to resort to these illicit concoctions.…

    • 1506 Words
    • 7 Pages
    Powerful Essays