No person may offer a gift or the opportunity to receive a gift, which requires the purchase of liquor, except for a gift of a nominal value in relation to the regular purchase price of the product.
Within this section, a value added item may have a nominal value not exceeding 20% of the retail value price of the beverage alcohol with which it is included. The value of a gift will be assessed by its ordinary retail value rather than the actual cost to the manufacturer.
- Items may be provided with the purchase of liquor, provided the item is of nominal value in comparison with the regular price of the product.
- Items worth more than a nominal value in comparison with the regular price of the liquor product may be provided with the purchase of liquor provided the item is not a gift to the purchaser. A charge (which is not less than cost) for the item being received by the customer must be added to the regular price of the liquor product. The item must be clearly visible to the purchaser.
- An offer for an item worth more than a nominal value in comparison with the regular price of the liquor product, which is linked to a proof of purchase of the liquor is not permitted. For example, an offer cannot be made which indicates that, through the presentation of six proofs of purchase, the consumer is entitled to receive six glasses.
- Ballots for contests cannot be included on the liquor product or within the packaging unless the ballots are made readily available through other means without the purchase of liquor product. Items or ballot forms included with the purchase of liquor product are not considered otherwise readily available unless the alternative method of obtaining the item is apparent at the point of purchase and the procedure is simple, timely and does not require additional expenses.
- Advertising material placed on liquor product or within packaging may be permitted provided no other advertising regulations are violated. For example, advertising flyers describing the liquor product or brochures describing merchandise which may be purchased through the manufacturer may be inserted into the packaging.
- An individual shall not be required to have at any time purchased or consumed the liquor product in order to participate in or qualify for a contest or draw (e.g., a qualifying question cannot be about the taste qualities of the liquor product but may be about the packaging if this information could be gained easily without the purchase of the liquor product).
- Any benefit permitted by this section must be provided at the time of purchase, or directly related to a single purchase. A frequent buyer’s club concept would not be acceptable.
- Coupons redeemable on the purchase of items other than liquor (e.g., snack foods, soft drinks, juices, etc.) are permitted provided they are of a nominal value. Coupons redeemable on the purchase of liquor product are not permitted.
- Single servings of liquor may be provided as a nominal on-pack promotion. For example, this permits miniatures to be attached to spirits and single bottles or cans of beer or coolers to be included with cases of those products.
Prohibition Against Inducements by Manufacturers
- A manufacturer of liquor or an agent or employee of a manufacturer shall not directly or indirectly offer or give a financial or material inducement to a person who holds a licence or permit under the Act or to an agent or employee of the person for the purpose of increasing the sale or distribution of a brand of liquor.
- It is prohibited for a manufacturer to provide a licensee or permit holder with cash, cash rebates, liquor, product rebates, price discounts, or abuse the refunding for leaking kegs, etc.
- Items essential to the operation of the licensed establishment or permit function which benefit the Licensee or permit holder and are not targeted to the consumer for the purpose of raising the profile of the company or product name within the establishment may not be provided by a manufacturer. Examples of these items are:
furniture
carpet
draft equipment
renovations to premises
staff uniforms
dishwashers
food processing/ handling equipment
washroom supplies
principal or special function lighting
refrigeration equipment
menus/menu printing
services (cable TV cleaning painting decorating etc.)
- A manufacturer may provide items which could be viewed as beneficial to the operation of the business provided the volume is insignificant in relation to the overall annual requirements of the Licensee and the purpose is to raise the profile of the manufacturer or manufacturer’s product with the consumer and not for the benefit of the Licensee. This would allow a manufacturer to provide a small quantity of branded glassware, a portion of the menu printing, licensee signage, etc., provided it identifies the manufacturer or brands.
- A liquor sales licensee may mention a manufacturer’s name or brand names in advertising; however, a manufacturer may not pay for a sales licensee’s advertising.
- A manufacturer may provide or assist licensees and their staff with educational programs in the responsible sale and service of beverage alcohol.