May 14, 2008
Is It Justified - R.J. Reynolds Tobacco Adding Test Cities for Camel SNUS
Samuel Garten, Ph.D., M.S., M.S. and R. Victor Falkner, M.A., M.S., M.A.L.S.
TobaccoWatch.org
Can we believe that RJR Reynolds is really gaining traction with their smokeless, spitless, little pouches of tobacco called Camel SNUS??
As a result of this so-called gain in traction, Reynolds is planning to expand the test markets for Camel SNUS from eight to 17 metropolitan areas. (The new markets: Atlanta, Baltimore/Washington, Chicago, Los Angeles, Miami, Minneapolis/St. Paul, New York City, Oakland/San Francisco and Seattle.)
We did a spot check on the sales of Camel SNUS in the eight cities (Austin, Texas; Columbus, Ohio; Dallas/Fort Worth, Texas; Indianapolis; Kansas City, Mo.; Orlando, Fla.; Portland, Ore.; and Raleigh.) where it is now available. The original two test sites were predominantly convenience stores (c-stores) in Austin, TX and Portland, OR. Sales in these stores and the other six sites have been slow, it seems--only if a store is near a school do sales pickup; e.g., a store in Austin, TX near two schools. We know first-hand that in Raleigh, NC sales have not been good. In one of the Sheetz stores in North Raleigh the special cooler needed for Camel SNUS has been placed under the counter. At least one c-store's advertisements promoting Camel SNUS have been moved to less visible locations.
Tobacco companies including R.J. Reynolds are in agreement that for SNUS to catch on and be a strong seller, it's going to require more public awareness and education. These companies are limited on how this can be accomplished. They have tried reducing prices, giving away free coupons at c-stores and in various bars, printing brochures about SNUS and creating websites identifying the glories of sucking on tea-bag like pouches with very little continued success. It is very likely that Reynolds has given away more cans of Camel SNUS then have been purchased.
Recently, even more dismal information has surfaced from Murray S. Kessler, Chairman and CEO of UST, Inc and Dan Butler, President of United States Smokeless Tobacco Company (the principal subsidiary of UST) in their first quarter 2008 earnings report. UST is the dominant player in the smokeless tobacco segment with a 62% market share. Mr. Kessler has told us that nine of ten smokers who try smokeless tobacco reject the product. Both men are very disappointed with the progress of the SNUS segment in total and agree this segment has gained very little traction. They wonder whether the American consumer is really interested in this form of tobacco or not.
When asked about the Reynolds approach they are not sure but admit this is a different kind of approach. All of the additional nine metropolitan areas that Reynolds is adding in May 2008 have some form of public smoking ban in place. Maybe they're trying to convince smokers that Camel SNUS can satisfy their nicotine addiction when they can't smoke.
SNUS is promoted as being spitless. But in order to be spitless these little tea-bag like pouches have to be placed in one of a very limited number of locations in the mouth for approximately 20-30 minutes. If the bag is moved during this time additional saliva is released in the mouth and the urge to spit increases. Most smokers don't want to be bothered with learning the proper technique of SNUSing. We are worried that those who will learn the proper technique are young adults and kids who want to be young adults.
Here are comments of one kid who managed to get a hold of some Camel SNUS pouches. "It doesn't take a genius to see what a boon SNUS would be to underage users. Heck, you could sit in class with some in your mouth and no one would be the wiser. You could probably hide this stuff from teachers and parents pretty easily." ("You SNUS, You Lose" posted by PAgent at 1:50pm on January 8, 2007).SNUS use is prohibited in all countries belonging to the European Union (EU) except for Sweden. The Swedish people have been using SNUS for over 200 years; it's a tradition--part of their culture. SNUS use has tripled in Norway (a non-EU country) among teens and young adults. The marketer provided fancy starter kits filled with SNUS seasoned with different kinds of fruit flavors. (NCI Cancer Bulletin, Feb 20, 2007 vol 4 number 8)
We seriously doubt that Camel SNUS has gained any "traction."
Comments
Judge it!
Please note by clicking on "Post Comment" you acknowledge that you have read the Terms of Service and the comment you are posting is in compliance with such terms. Be polite. Inappropriate posts may be removed by the moderator. Send us your feedback.
| Topic | Updated | Last By | Comments |
|---|---|---|---|
| How to use dipping/chewing tobacco... (from Nov '06) | 4 hr | ryan | 112 |
| Marlboro cigarettes don't stay lit (from Jan '07) | 9 hr | JoiesMom | 534 |
| how many brands of cigarettes in the world? | Thu | aulu | 9 |
| Corrections July 12 | Jul 16 | smt | 1 |
| Smokers have rights to- are there any non-fsc C... (from Nov '07) | Jul 15 | AndyW | 42 |
| Camel no. 9s? (from Feb '07) | Jul 15 | Barry | 18 |
| Springville to ban tobacco in parks, playgrounds | Jul 13 | arclightzero | 11 |
Most Popular
