Tobacco
Where There's No Smoke, There's Fire

By Mike Beirne

The rising cost of commodities may be forcing consumers to buy more private label than brand name in many categories, but not when it comes to cigarettes. Smokers are proving to be brand loyal, sticking to their premium-priced favorites, no matter what the economy does.
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Top Brands by Category:
  Brand/Parent Company Lead Agency/Location Total Sales (units billions) Media Expenditures ($ millions) Quality Familiarity (%) Purchase Intent Equity  
  TOBACCO
  1. Marlboro / Philip Morris Leo Burnett / Chicago, IL 144.4 NA 4.35 70 2.41 28.0  
  2. Newport / Lorillard Avrett, Free, Ginsberg / New York, NY 32.8 8.8 4.26 41 2.31 27.6  
  3. Camel / RJ Reynolds Gyro, Philly, Agent16, NY / New York, NY 25.2 23.5 3.56 57 1.95 21.4  
  4. Doral / RJ Reynolds N/A 15.4 N/A 4.4 32 3.38 32.3  
  5. Basic / Philip Morris Leo Burnett / Chicago, IL 13.2 N/A 3.96 23 3.41 31.8  
  6. Winston / RJ Reynolds N/A 12.3 N/A 4.76 54% 2.12 27.4  
  7. Kool / RJ Reynolds Gyro, Philly, Agent 16, NY / New York, NY 11.1 8.2 4.23 41% 1.89 23.2  
  8. USA Gold / Imperial In-house 8.2 N/A 4.46 15% 2.43 27.7  
  9. Va. Slims / Philip Morris Leo Burnett / Chicago, IL 7 N/A 3.72 41% 1.35 18.1  
  10. Salem / RJ Reynolds N/A 6.4 N/A 3.65 35% 1.87 21.1  
PREV CATEGORY NEXT CATEGORY Sources: Maxwell Report (billions of cigarettes)/Nielsen Monitor-Plus (excludes online)/EquiTrend:QxFxPI=E (see Methodology)

Retail: Best Buy is a leading mobile-phone retailer—isn't that enough? Apparently not. Last month, the big-box retailer acquired 50% of The Carphone Warehouse, which has 2,400 stores in nine European countries. The cost: $2.1 billion.

Travel: Airlines ranked last in customer satisfaction in a recent consumer survey. Combine that with the challenge of rising fuel prices and airline marketers face big challenges in 2008.

Beer, Wine & Liquor: Yellow Tail spent about $13 million on its "Tails you win" campaign. The effort helped grow the brand by yet another million cases in 2007. Having already made wine more approachable, the Australian import has now entered the sparkling wine segment.

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