Can you give away a free bottle of wine with a subscription agreement? (advertising law)


Questioner

I have a business where I offer a subscription agreement for a period of 12 months with a price of €39.95 per month to consumers. Every month we deliver 1-3 bottles of wine. May I mention an advertisement as follows; Receive your first bottle of wine FREE with the subscription In the Advertising Code for Alcoholic Beverages I read the following; -------------------- Article 20 – Free provision Except for tastings in liquor stores or sampling during catering promotions, advertising in which alcoholic beverages are offered free of charge to private individuals by a member of the industry or with the active cooperation of a member of the industry is not permitted. Explanation of Article 20 In communication, it is not permitted to use the word 'free' or its synonyms (such as 'gift' or 'treat'). Also for grocery packages and prizes in competitions and/or campaigns, no alcoholic beverages may be given away, even if the word 'free' or a synonym is not used in the expression. Please note: this article has been amended. Since 1 July 2021, Article 2a of the Alcohol Act has stipulated that it is prohibited to offer alcoholic beverages at a price lower than 75% of the price normally charged. That is why the 50% discount percentage has been removed. --------------- So I'm not giving more than a 25% discount. The free bottle is worth €7.99 and is less than 2% based on the value of the subscription (12 x €39.95). Even based on €39.95, a €7.99 discount would only be 20%. But there is also something mentioned about not allowing free alcohol. Does my offer then conflict with the RVA?

Lawyer

You can find more information on the NVWA website and in the explanatory memorandum. https://www.nvwa.nl/onderwerpen/rules-voor-koop-alcohol/verbod-hoge-kortingen-op-drank-in-retail, https://zoek.officielekennismakingen.nl/kst-35337-3.html The bill prohibits price promotions on alcoholic beverages that provide or suggest an advantage of more than 25%. So if you supply 1-3 bottles pm it is a kind of 3 for the price of 2 situation. The word 'free' may not be used. The 25% refers to the price for which you normally sell a specific bottle. Based on the above, the statement therefore seems not permitted. You could possibly think of something like: The first month for 30 euros (instead of 39.95). That is 24.9%. Also note that if you send three bottles that normally cost 18 euros each, at a price of 39.95 you already get a 26% discount.

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