From: To:
__M
R. W. JONES MR. JOSE LIM
P
VrLI
MR. LEE KOK KONG
KOK K~01G.
MS. JOCELYN NG .rA ~,(V
12 th May 1999
1 now attach the third part of the trilogy
received from Canada -
Marketing Strategic and Development Plans 1989 -
for you to study
in turn and then pass back to me for retention,
having taken photo-
copies if you so wish.
Notice as usual the clear-thinking of the
Canadians, based as always
on understanding of the consumer and foresight in
how the market
and the brands are likely to shift
In the introductory Development Priorities
statement it is
openly acknowledged that on unbiased forecast will
lead to
a loss of 1.9 share points over 3 years. Proactive
activity
on price is seen as the major short term ploy to
close the
gap. The mid-term ploys are clearly stated as the
up-dating
of Players, a low delivery project for Players,
and a Matinee
rationalisationlunification. The tong-term ploys
take into
account the 1992 ban on conventional launches and
the fact
that introductions will need to be tightly
targetted on small
niches in an undynamic market. The volume gap they
have
to close is well quantified 3 years ahead. The
contribution
effect is clearly estimated. Signs of
clear-headedness over
a considerable term.
Each project has a one-sentence introduction
saying whv it
exists. The brief write-up following is based on
market
knowledge rather than an optimistic aim at a
phantom image
gap-
Notice how Project Apollo is aimed at Export Ultra
Lights'
Achilles heel, not straight at the competitive
brand.
Notice how Project Cruise is aimed at a tiny niche
on the
basis of eventuality. Parallels with B&HSM ?
- Notice that Project Day is written up at this
early stage
even though it will be 2 years until they will be
ready to
launch.
- Notice how Project Monty is aimed solely at the
price!
discounting niche and at no other. A trade price
war will
not force the Canadians to debase existing brands,
beC3use
Monty will be ready.
(-,4
2/-
BATCO CONFIDENTIAL- CATEGORY 1: MINNEsoTA TOBACCO
Lrr1GATiON
BATCO document for Province of BritiSh Columbia 2
November 1999


Page 2.
Notice how Projects Spur and Trident acknowledge
develop-
ing weaknesses in Players very early in the day.
Above all, please note (as with the Trademark and
-Brand
Strategies document circulated earlier) how a
brief, well
written and early statement of development
priorities by
Marketing department becomes the Company's working
document and not just the department's.
In parallel with the Trademark/Brand Strategies
1990 document
which JL is taking to readiness by the end of
November 1989, 1
should like LKK to produce a simultaneous
Development Plans
1990 document. JL and JN will have inputs to make,
and the
brand mapping exercise will be vital to our
project list. I envi-
sage us having only about 5 projects to write up
at that time,
but I do warn that they must not all be based on
image and
price gaps; sensory considerations will also play
a part.
IQL
R. W. JONES
Enc.
R WJ/abr
Lr.
Cr
BATCO CONFIDENTIAL- CATEGORY 1: MINNEsoTA TOBACCO
LITIGATION
BATCo document for Province of BritiSh Columbia 2
November 1999