Like other major retailers, the LCBO has an integrated marketing strategy that includes advertising. We advertise because, while we have a monopoly in spirits, we compete in a shared provincial market for beverage alcohol. LCBO's share of this market is approximately 50 per cent and we operate fewer than half of the retail outlets selling beverage alcohol in Ontario. In addition to the 600 government-operated LCBO stores, there are more privately-operated stores, such as The Beer Store and Ontario Winery retail stores. There is also competition from U-brew and U-vin operators and from the illegal market in beverage alcohol.
The LCBO has a responsibility to its suppliers to promote the products they display in our stores and advertising is a key element that helps bring our Discover the World brand vision to life. Through research, customers have told us they are eager to know what is available and to learn more about product features. Such information assists them in making informed buying decisions and helps them gain a better understanding of our diverse product portfolio.
Radio commercials and newspaper inserts, known as "Free-standing inserts" (FSIs), are cost-effective ways of accomplishing these important business and communication goals. Largely paid for by featured suppliers, the newspaper inserts provide customers with product recommendations and information about wines, spirits and beer, recipes and food and beverage matches. LCBO's advertising is designed to promote the use of beverage alcohol as part of a balanced lifestyle and our free consumer publication FOOD&DRINK, for example, emphasizes the responsible matching of food and drink. We have consciously avoided advertising, promotions and marketing that promote consumption through price or volume discounts, as is the norm in privatized marketplaces.
LCBO's approach to integrated marketing has contributed to years of record dividends . These dividends help support hospitals, schools, social services and the public infrastructure that benefit all Ontarians.
From here: https://hellolcbo.com/app/answers/detail/a_id/579/~/lcbo-advertising---marketing