Blog: Chris MercerDiageo is in denial on pricing

Chris Mercer | 31 August 2010

I am not a supporter of a Scotland-style minimum price on alcoholic drinks, but I find it hard to fathom why significant players in the industry continue to deny any link between price and consumption.

Diageo reiterated at the weekend that it sees no need for "price intervention". It said "there is no evidence globally that it is an effective measure in reducing alcohol-related harm". The World Health Organisation, backed by senior doctors everywhere, begs to differ.   

Diageo's denial is in danger of making the drinks industry look seriously out-dated. Surely, everyone in the drinks industry should be prepared to accept that pricing can play some part in reducing harmful consumption?

Diageo's position - and the same goes for those who share it - is a long way out of sync with mainstream thinking on alcohol policy. Of course, education and social factors play a huge role in drinking habits - and are much more difficult to address than price - but to deny any role for pricing is difficult.

The debate has moved on and price is going to be part of the solution to excess drinking, in the UK at least. The drinks industry should not let itself get left behind, but should play its part in finding a sensible way forward.


BLOG

Make way craft, here come the indie brewers

Could it happen? According to this report, a section of the beer community wants to ditch the word craft. They prefer instead the term “Indie” for brewers they believe follow the enlightened path of t...

BLOG

Kent's dire warning puts Coca-Cola woes in the shade

The global elite were in Switzerland last week for the World Economic Forum in Davos, the annual corporate huddle for the rich and powerful. The CEO of The Coca-Cola Co, Muhtar Kent, was there too, de...

BLOG

PepsiCo wakes up and smells the latte

With The Coca-Cola Co stealing yesterday's limelight with its new united marketing strategy for brand Coke yesterday, a Forbes interview with PepsiCo North America Beverages' new CMO, Seth Kaufman, sl...

BLOG

Coke Life threatens Coca-Cola's united front

It is a bold attempt to regain a measure of control in the ever-spiraling debate about sugar. But will The Coca-Cola Co's new marketing strategy - which for the first time ties all of the Coke family ...

just-drinks homepage



Forgot your password?