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Rothmans Gold & Silver: Leveraging latent equity through mainstream pricing

  • December 2015
  • -
  • MarketLine
  • -
  • 16 pages

Summary

Table of Contents

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Introduction

In 2012, Rothmans introduced new low-cost variants to the UK market, revitalizing its quality and heritage reputation. Strong growth, albeit from a low base, was furthered by its entry into British American Tobacco’s (BAT’s) Global Drive Brands list in 2014.

Features and benefits

- Learn about the Rothmans brand and its heritage

- Understand how British American Tobacco is leveraged the brand's heritage to appeal to price-conscious consumers

- Analyze Rothmans tailored marketing and product strategy.

- Assess the success of Rothmans low-cost variants.

Highlights

- Tailored launches revitalized the brand’s presence in new and lapsed markets globally, expanding its share further.
Positioning Rothmans as a "contemporary value for money brand" appealed to smokers who had downtraded due to financial concerns. Maintaining a sophisticated positioning lifts the "feel good" factor that is a driver for many regular smokers. Meeting the varying needs of consumers in new markets ensured that the product was compelling to all.

- Bridging the gap between quality and pricing has proven crucial to Rothmans’ growth. A two-pronged approach of promoting brand history as a mark of quality to build sentiment, and maintaining an acceptable price point can see share growth, even in a declining market.

Your key questions answered

- What is Rothmans?

- Why were low-cost Rothmans variants launched?

- How does BAT tailor its product offering to satisfy differing consumer needs in different markets?

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