Trade Spending

An industry member can promote their brand by purchasing alcoholic beverages for consumers in on-premises establishments, otherwise known as trade spending.

The industry member’s trade spend must be unannounced and unpublicized beforehand.

The industry member is limited to purchasing only one round of alcoholic or nonalcoholic beverages for patrons.

The industry member must pay the retailer no more than the ordinary retail price for the alcoholic or nonalcoholic beverage.

An industry member must keep and maintain records of all trade spending activity.

Iowa Administrative Code rr. 701—1003.1, 1003.8