TOB_Magazine

[ T O B A C C O B U S I N E S S . C O M ] TOBACCO BUSINESS [ 29 ] Beyond New Cigars Now that FDA regulation has made new cigar launches more diffi- cult, cigar companies are seeking other ways to answer the “What’s new?” question that many consumers first ask when they enter their favorite cigar shop. General Cigar Company, and STG as a whole, are responding to that challenge with creative approaches to engaging with both retailers and consumers, says Frederiksen, activating new strategies to continue to energize the cigar industry. “Regulation has driven the need for increased connectivity with consumers and has made creativity and innovation important pillars of success,” he remarks. “In a category driven by personal interactions, our brand ambassadors are forging long-lasting ties with retailers and consumers, and our brands are growing as a result. Our brand teams are flexing their marketing muscles to deliver innovative packaging formats and exciting merchandising initiatives to support the retail community, all in a manner which complies with applicable regula- tions. We are also focused on evaluating our processes and inventories to drive efficiencies throughout the company, which frees up resources needed to drive excitement in the category.” In other words, STG’s brand ambassadors are visiting more shops and spending more time with the retailers and their staffs to educate them about premium cigars, thus adding value to not only STG’s brands but also to the entire industry by enhancing consum- er experiences. STG’s sales team is also empowered to work with each retailer on an individual basis to maximize his or her bottom line. There is also the company’s Five Star program in which STG provides retailers with margin enhancement on core brands and provides a full calendar of promotional programs, including mer- chandising and point-of-sale materials to increase consumer aware- ness. The company also has a dedicated team of brand ambassadors to host in-store and out-of-store events. “We recently made a significant commitment to increase our con- sumer connectivity by expanding our brand ambassador team to six ambassadors,” Frederiksen says. “Our team traverses the country, and in the case of some brands, the globe, interacting with cigar lovers in-store and at events to deliver tailored and impactful experiences with our brands. This effort is helping to pay dividends for us, as brands across our entire portfolio are enjoying marked growth.” ➤ Niels Frederiksen Continued Driving excitement through innovation is integral because in the absence of innovation, the category runs the risk of losing relevance among consumers. ” ”