Market effects of a comprehensive alcohol advertising ban: analysis of Lithuania’s alcohol market

Abstract

In 2018, Lithuania introduced a comprehensive ban on alcohol advertising. This reform significantly reduced the legal possibilities for commercial alcohol promotion and changed the conditions under which different beverage categories competed in the market. This study examines whether the ban affected alcohol categories differently and how these effects developed during 2017–2020, covering the period before the ban, the implementation year, and the early stage of market adjustment. A multi-criteria decision-making approach was used to assess category-level differences and responses to the new regulatory environment. The results suggest that the effects of the ban were not uniform across categories. Beer and wine showed a stronger short-term decline after the reform, while spirits remained relatively more stable. The findings also suggest that category responses were shaped not only by communication restrictions but also by pre-existing regulatory conditions, consumption patterns, and price-related factors. Overall, the study shows that a comprehensive advertising ban may lead to different outcomes across product categories even within the same national market.