JTI is launching Benson & Hedges (B&H) White, a new brand that will provide retailers with a valuable profit opportunity in the sub-premium cigarette sector. The arrival of B&H White from July 2011 represents JTI’s biggest launch of the year and is designed to take advantage of the growth of the lower tar segment, which is worth £4.4bn to the retail trade.
Available at an RRP of £6.42, B&H White will only be available in a 20s slide pack and will form a unique slide sub-sector alongside B&H Silver Slide. B&H first introduced the slide pack format to the UK market in 2006 and it has proved popular with existing adult smokers ever since. Where Silver Slide and Flip Top are priced at parity, slide out-performs Flip Top .
Jeremy Blackburn, JTI’s Head of Communications, says, “B&H White has been launched to provide adult smokers with a sub-premium offering in the lower tar segment. Should smokers choose to down-trade out of premium, it is important that the sub-premium category continues to evolve to offer premium smokers brands that they are familiar with.
“The move has been designed to protect the margins of retailers, and retailers should position the new B&H White on their tobacco gantry next to B&H Silver.”
B&H White will join one of the UK’s most profitable and well-known cigarette houses; currently sales of Benson & Hedges represent 7.7% of the total cigarette market, with B&H Silver growing its share of the sub-premium sector.
Gallaher Limited is the registered trading company for JTI in the UK.
Source: B&H
