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Brand Portfolio
Building strong brands is essential to the long-term growth of
R.J. Reynolds Tobacco Company (R.J. Reynolds). R.J. Reynolds' brand-portfolio
strategy divides the company's 17 brands into three categories -- growth
brands, support brands and non-support brands -- to focus the organization and
resources on the company's highest-potential premium brands.
The company's overall objective is to increase growth brand
share-of-market and achieve sustainable profit growth. R.J. Reynolds will do
this, for example, by focusing on a few high-potential brands, by being the
most innovative tobacco company, and by developing superior relationships with
retailers and adult tobacco consumers.
Growth Brands
R.J. Reynolds focuses its investment in Camel and Pall Mall to
accelerate the brands' market-share growth and to drive the brands for
long-term, accelerated growth and profit.

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Camel
Camel has enjoyed nearly a century of outstanding success,
and what was true of the original Camel is just as true today -- it's a
"Pleasure to Burn." Introduced in 1913, Camel became R.J. Reynolds' first major
cigarette brand and the country's first nationally marketed cigarette. Camel's
unique blend of flue-cured, burley and exotic Turkish tobaccos made it the
nation's No. 1 selling brand just four years after its introduction.
An authentic original, Camel is a brand with a rich heritage
and one that also keeps up with the times. Camel's combination of a classic
nature and contemporary flair reinforce the brand's position as a flavorful
cigarette with a rich heritage, a colorful personality and an irreverent sense
of humor.
Camel promotes two different families of flavor -- Classic and
Turkish. The Classic styles, which represent the bulk of the brand's business,
offer rich tobacco taste. Camel's Turkish family offers smooth and mellow
versions of the brand's distinctive flavor.
Camel is a growth brand because it is R.J. Reynolds' largest
and fastest-growing full-price brand and has a track record of consistent share
growth and marketplace momentum. And the brand's relevant and unique
positioning has made it one of the few full-price brands in the industry that
has shown sustained growth.
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Pall Mall
Pall Mall was introduced in 1899 as one of the world's first
premium cigarettes. In 1939, Pall Mall launched the first "king-size"
(85 millimeter) cigarette; in 1966 the brand launched the first 100-millimeter
cigarette -- both giving adult smokers more value for the same amount of money.
In 2001, the brand was re-launched nationally as the "new
filtered" Pall Mall -- a savings cigarette that tastes smooth, burns
slower and lasts longer. The brand is successful because it offers premium
quality combined with smooth smoking satisfaction and a noticeable product
point of difference.
Pall Mall is a growth brand because more and more adult smokers
are realizing it is a great product with premium qualities and an international
heritage. Simply put, it's a less expensive alternative to other premium
cigarette brands that gives as much satisfaction.
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Support Brands
R.J. Reynolds will put limited marketing support behind these
brands and focus on balancing the brands' scale and long-term profit.

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Winston
Winston was introduced in 1954 and became the first
nationally popular filtered cigarette. By 1966, Winston became the best-selling
cigarette in the nation, a position it held for 10 years. Today, Winston
remains one of the country's top-10 cigarette brands. Winston's "Leave the Bull
Behind" attitude is backed by its unique, additive-free product
point-of-difference – smooth tobacco taste.
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Salem
Salem was introduced in 1956 as the first filtered menthol cigarette. Salem
eventually dominated the menthol category -- becoming one of the world's
best-selling brands. Today, Salem remains one of the best-selling menthol
brands in the United States. Salem stands apart from other menthol cigarettes
with its imaginative "Stir the Senses" positioning, innovative
packaging and distinctive product blends.
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Doral
Doral was introduced in 1969 and repositioned in 1984 as a savings brand,
becoming the first branded cigarette to compete in the growing value segment.
Doral quickly became -- and continues to be -- the leading savings brand in the
United States. The brand's "Imagine Getting More" positioning builds
on Doral's core promise -- offering adult smokers more value for their money.
The brand will continue to fulfill this promise through its primary
communication vehicles -- the successful and long-running Doral & Company
relationship-marketing program and its popular Web site.
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Kool
Launched in 1933, Kool was the first menthol brand to gain nationwide
distribution -- and it quickly became one of the world's most famous menthol
cigarettes. Kool is distinctive among menthol cigarettes because it delivers an
intense menthol smoking experience that is bold, yet smooth. Kool achieves the
perfect balance of rich tobacco taste by combining specially blended tobaccos
with the fresh flavor of menthol. The fusion of tobacco and menthol is
symbolized by the interlocking "O's" in the Kool logo, which are
present today in much the same form as on the original packaging.
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Misty
Misty was introduced in 1990 as a value-priced brand in the
slims segment. Misty rapidly grew to become the country's leading value-priced
slims brand, a position it holds today. Its combination of quality and
affordability provides Misty a loyal base of consumers.
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Capri
Launched in 1987 Capri created a new segment in the U.S.
cigarette industry - the "super slim" cigarette. Capri cigarettes are
21mm in circumference versus 23mm for a traditional "slim" cigarette.
Capri's "Luxury Length" 120mm styles soon followed, providing a
unique product for adult smokers wishing to express their own personal style.
With a premium tobacco blend and thin, stylish packaging Capri is the leading
brand in the super slims segment.
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Non-Support Brands
Non support-brands are generally small-share brands, but have very loyal adult
smokers who purchase them. Therefore, even though R.J. Reynolds will not
provide marketing support for these brands, the company will maintain the
brands' distribution where there is consumer demand.
| Lucky Strike |
Private-Label Brands |
Eclipse |
| Monarch |
Tareyton |
Vantage |
| Carlton |
More |
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| GPC |
Now |
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