Oireachtas Joint and Select Committees

Wednesday, 24 April 2013

Joint Oireachtas Committee on Transport and Communications

Sponsorship of Major Sporting Events by Drinks Industry: Discussion (Resumed)

9:50 am

Mr. Peter O'Brien:

We all operate in global markets so we will spend that money wherever we will get a return on our investment. We will use other ways to reach our customers. The purpose of sponsorship is to talk to our consumers and to promote our brands. That is our business. It is entirely legitimate for any company in any sector to talk to consumers and to promote its brands. The simple fact is that it is not designed to get people to increase their consumption. The beer market in Ireland is declining but we are spending our sponsorship money there. We do not do this for altruistic reasons. I can speak for my company, Diageo. We do it because we want the consumer to drink our brand and we compete against someone else's brands. That is the nature of competition and it is a very healthy way to do business. We will use other means of advertising to legitimately promote our brands to consumers.

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