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TOBACCO BUSINESS
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Davidoff
Continued
different aspect of its namesake’s legacy and personality,
and this new one will be no different, honoring the time of
day Churchill was most inspired.
“Sir Winston Churchill was not a man to follow conven-
tion,” notes Krutick. “When most people were thinking
of their beds, he was thinking how best to run a country
or to command an allied advance. He was a man that saw
the night as a source of inspiration. The dark is where he
found his spark. The Late Hour cigar has its own unique
story. It is blended with tobacco aged in fine scotch single
malt whiskey casks. This gives the cigar a unique complex-
ity, depth and flavor, creating its own atmosphere [and]
stimulating the palate and conversation at the same time.”
For Davidoff, the IPCPR show is an important sales
and marketing platform, but it’s also just one part of its
overall marketing plan. Krutick and others at Davidoff
view the FDA ruling as disappointing as it stifles innova-
tion and makes doing business far more complicated, but
it’s a new reality they know they must accept in order to
move forward. Davidoff is working with other industry
associations and companies to get legislation passed that
would exempt premium cigars from FDA regulation and
change the predicate date. Krutick points out that while
new products are one way a company like Davidoff can
be innovative, it’s not the only way.
“There is more to the business than just new prod-
uct. Innovation can come from all functional areas, be
it operations, finance, marketing programs or commer-
cial tactics,” Krutick explains. “Davidoff will continue to
push a strong, innovative agenda based on improving in
all areas of the business and in keeping retailer and con-
sumer needs at the forefront.”
Another part of Davidoff that will remain unchanged
is the company’s commitment to its key retail partners.
Even with the increased costs associated with getting
products to market, Davidoff has shown its commit-
ment to their retail partners by continuing to invest in
marketing, merchandising, events, training and educa-
tion programs, and tools for brick-and-mortar stores.
They have also continued to recognize key retailers
with the annual Golden Band Awards, which are typ-
ically held each year during the IPCPR show. Krutick
asserts that Davidoff will continue to invest in proven
growth drivers, engage consumers in a meaningful and
impactful way, and will strive for excellence as it serves
both its retail and consumer audience.
“All of these activities take a sell-out mindset,” Krutick
explains. “Seventy-five percent of Davidoff of Geneva
USA’s business is comprised of the brick-and-mortar
channel through both retailers and wholesalers that
service them. That mix is well above the industry average
amongst other manufacturers. Our investment in the
brick-and-mortar channel is unparalleled by any of our
competitors in terms of quality and value—and will
remain so.”
Davidoff’s recent investments in new products, in-
store events, merchandising, education and training
will not only benefit their overall company but will
also have a positive impact on retailers by driving more
traffic into their stores. These investments and activities
are also meant to increase transaction values that will
lead to more products being sold. Krutick describes Da-
vidoff as an indispensable business partner to retailers,
highlighting the data the company gathers and ana-
lyzes and ultimately uses in its marketing initiatives. As
an indispensable business partner, Davidoff is dedicat-
ed and committed to serving retailers and their needs
at the IPCPR show and beyond.
TB
Our investment
in the brick-and-
mortar channel
is unparalleled
by any of our
competitors in
terms of quality
and value—and
will remain so.