[ T O B A C C O B U S I N E S S . C O M ]
TOBACCO BUSINESS
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While there is innovation in the works, Young says the
industry will simply have to wait and see what Davidoff
unveils in the future. Like most cigar makers, Davidoff
raced to get new products onto store shelves ahead of
the August 8 “lockdown” date last year and, during the
first few months of 2017, has also made some introduc-
tions, including the January release of its Golden Leaf
Limited Edition Mini Cigarillos and the Davidoff 702
series, a line of cigars that uses a popular wrapper from
some of the company’s incredibly successful limited edi-
tions. Also, Camacho has just released new box-pressed
line extensions that Young says have been very well re-
ceived by consumers.
To help retailers sell its products, Davidoff will be
offering breakthrough merchandising materials, includ-
ing eye-catching temporary promotional displays for its
product launches. It will also continue to host brand-
themed events that offer consumers memorable experi-
ences and unique opportunities to interact and engage
with the brands they love. Coupling core brands with
tacquired cigars like Cusano and The Griffin’s, Davidoff
currently has plenty of products on the market for retail-
ers and consumers to enjoy, as well as a few surprises in
store, says Young.
The Davidoff Experience
The final component in Davidoff’s marketing plan
doesn’t involve an actual product but instead focuses
on crafting an experience for its retail partners and its
consumers. “Viewing our brands and consumer interac-
tion with our brands as an experience rather than just as
smoking [a product] has been at the core of our think-
ing and is expressed in our brand positioning and brand
building activities, and will continue to be so,” asserts
Young, who points out that since the early days of Zino
Davidoff the company has evolved from a single retail
store to a robust brand to an overall experience.
As a result, unlike many of its contemporaries, the
company has some differentiators that may help it with-
stand the challenge of the FDA regulations. For example,
Davidoff has five company-owned retail stores—three in
New York City, one in Atlanta and one in Houston. It
also has licensed “Davidoff of Geneva Since 1911” bou-
tiques, including high-end bars in Tampa and Las Vegas.
Davidoff also has a number of Davidoff cigar lounges
with some of its appointed merchants and and a licens-
ing agreement with Blend Bar that gives the company a
presence in the cigar bar markets in Indianapolis, Nash-
ville and Pittsburgh. These retail spaces and cigar loung-
es act as an extension of the Davidoff brand, offering
cigar enthusiasts not only a place to buy its products but
a place to fulfill the company’s overall mission statement,
“time beautifully filled.”
“We are very open to discussing opportunities with part-
ners like these for lounges and licensed boutiques,” says
Young. “The key is the partner and his or her commitment
to excellence, quality, and protecting the Davidoff brand.”
This philosophy extends to working with other brands
as well, such as the recent partnership with S.T. Dupont,
a French luxury manufacturer of lighters, pens, cufflinks,
and leather goods. This matchup between premium ci-
gar brand and luxury goods maker fits in with Davidoff’s
overall branding because both brands are committed to
being exceptional and offering consumers something
memorable in terms of a product. More partnerships
like this are possible, according to Young, as long as there
is a complementary portfolio of products and strong
commitment to quality.
The Road Ahead
While many companies in the premium cigar industry
are trying to figure out their place in today’s marketplace,
Davidoff and Jim Young seem to know exactly where
they must focus their attention now–the future. “The
U.S. market is the number one premium cigar market
in the world and we do not see that changing—FDA or
no FDA,” said Young. Abroad, Davidoff’s primary com-
petitors are Cuban cigars, while in the U.S. it competes
primarily with cigar brands based in the Dominican Re-
public, Honduras and Nicaragua.
With the number of products on the market after the
rush last year to beat the FDA deadline, Davidoff faces
a bigger challenge getting its products into retail stores
and into the hands of eager cigar aficionados around
the U.S. However, Young is confident that Davidoff will
find innovative ways to continue to develop and grow its
brands, navigate through the FDA regulations and fulfill
its mission to provide incredible consumer experiences.
“Davidoff will come out the other side stronger than
ever,” Young proclaims. “My vision for our business in
the U.S. is to continue to engage with our partners to
delight our consumers and to provide an exciting and
fulfilling professional environment for our employees so
that they can take the baton and keep it going for some
time down the road. And, of course, we plan to have a
lot of fun along the way.”
TB