BROWN A YI1UMOH TOBACCO CORPORATION IMTERNaL CORRESPOHOEIICE TO: R, A, Blott CC: T, E, Whftehafr, Jr, E, E~ohnhor~t~,,_.~. __ A, J, Mellsan ~f~;(s~P~jo;th;a~t~JP J, D, Woods FROM; B, R, Pellett BATE: Decaber 23, 1985 SUBJECT: FAVOR SMOKE-FREE CIGARETTES' -· RESEARCH OUTLINE BACKGROUND Advanced Cigarette Products, Inc, has introduced a new product: favor, This unique entry into the cigarette marketplace is shaped like an ordinary cigarette, but contains no tobacco leaf, Each stick contains nicotine and "tobacco flavors", and the user simply inhales through the 'filter" without ii ghtf ng the cf garette, Packed six to a box, this smokeless product Is positioned as providing the satlsfactf on of smoking without the social, 1 egal, and physical (matches and ashtrays i restrf ctions of cigarettes, Advertising Is via TV, outdoor, and newspaper in the Dallas, Houston, and Austin areas of Texas, MRD has been requested to monitor favor's performance, RESEARCH OBJECTIVES There are two major questions to be addressed by marketing research: 1, consumer reaction to the offering 2, Method and extent of distribution in the trade RESEARCH OUTLINE MRO proposes that a prelfminaary Awareness and Usage Study be conducted with a total of 500 smokers to measure the impact this new product has had on smokers in the test area, Ouestioning would concern: Awareness of favor (product) Awareness of Favor advertising Media Favor advertising seen In Attitudes towards smokeless cigarettes Purchase Interest Trial Usage (oceasional and regular) Clil;PDF --r!r:!r:!:f3stl·cr;:o~lil ·2· If the results of the preliminary A~U Study show sufficient consumer Impact, then a two·pFonged approach I111 be used to address the above questions, 1, Continue monitoring consumer behavior via additional waves of AIU or a purchase panel study, 2! Oetermine distribution pencil via sales force information, If Favor is being distributed through tobacco wholesalers then ICC data can be utlllted for measuring wholesale activity, Ii Favor Is being handled through food and drug dlstrfbutorr perhaps a short-term measurement through syndicated distribution services such SPNI or Nielsen could be utitlted, Alternatively, In·store Interviews with fore personnel andlor purchasers of Favor may be necessary 1f awareness and distribution are Inordinately low, NEXT STEPS A schedule and final bids for the preliminary ~U will be available by January 2, 19861 Inquiries are being made to BW sales force regarding distribution channels of Favor, A format proposal will be Issued no later than January 6, 1986, IR~ /BRP00006:fnf Clil;PDF - i:!!::!!;:!.j3stlCT;:13'111~" aAJI(Ulland~part) limited RCStAAen a OMLO#EHI CENTnE IWl~~w~Oll llU110 TD MR A L HEARD FROM OR C C GREIG ii~F ttWP GATE 20 January 1986 Re - FAVOR AS A "NICOfINE·ADDING FILTER" · FURTHER IJ6RK A previous note for you showed that FAVOR (Lights) elsents acted as a relatively low efficiency filter for TPM but added nicotine to nndte, The amount of nicotine added to smoke was higher than the amount that would have been derived from passage of the same amount of air, leading to the sunise that the many chenlcal species In smoke caused increased nicotine transfer, However, the author was concerned that the data did not Indicate where, in the whole process of smoking the cigarette, such Increased transfer occurred, On purely chemical grounds It appeared likely that, with the hotter, more humid smoke of the last two or three puffs, the bulk of the transfer might be occurring there, If true, this implied that the apparent benefit of a increased nicotine delivery would not apply where most needed, In the earlier puffs, An experflAent to clarify this has been perfaned using the cigarette construe· tions in the original note, Deliveries were measured on a per puff, ie puff- by·puff, basis from 15 cigarettes and, as is now established, these data do not necessarily agree with standard anoking conditions, but are internally consistent and are presented in Table I, The graphic form (Figure 1) shows that the author's fears were unjustified and that transfer is almost equally enhanced during the whole smoking process, This finding confirms that . FAVOR is t~nd~ed a viable candidate "filter" far adding nicotine to smoke, Howeveli, the amounts added by this FAVOR Regular element are far greater than is likely to be required for product amelioration, Thus, taking 15Z as a just noticeable difference (JND), the kind of increases measured here can amount to 5 JNOs and would probably utterly unbalance the smoke even If, as in the present instance, transfer of navaufants from the FAVOR element were not concurrent and confusing, The results do the following: (1) They confirm the earlier rmall·scale investigations'Pf: increased nnal~e nicotine; (2) they suggest a preferential Increase in the earlier puffs; (3) They suggest that use of the FAVOR element in a market place product would require (a) either a lower content of nicotine per FAVOR element or (b) a shorter length of element at the sane loading, For mechanical reasons, (a) is likely to be preferred, (4) They confin that, for behavfoural studies where it is desf nble to al tar O nicotine in Isolation, the FAVOR element offers only the possibility of nicotine fortlfication, Thus if a set of nfcotine:tar ratios of low, 0\ medilrm and high are~re~uired from a given blend, this blend will have to ~D be the low nicotine:tar ratio blend plus FAVOR In two increments to give O medium and then high, Unflavoured but nicotine-containing elements would be required for these products, IV C: I i I; P D F-r! rl r:!:f 3 St I'CTi:D'II1 ·2· TABLE 1 Puff Number 1 2 3 4 5 6 7 Sum (a) Standard SEFK, TPM 0,89 1,14 1,45 1,75 1.80 2,00 2,59 11,9 20111R CA filter Nic 0,053 0,090 0,110 0,133 0,148 0,160 0,180 0,87 PMWNF 0,83 1,04 1,29 1,53 1,55 1,69 2,16 10,4 (b) SEFK with Ihnn tPM 1,09 1,49 1,84 2,15 2,51 2,69 4,16 15,9 CA filter Nfc 0,070 0,120 0,147 0,163 0,180 0,193 0,220 1,09 (10nm removed) PMWNF 0,99 1,31 1,59 1,83 2,12 2,22 3,55 13,6 (c) SEfK with Ilhrm 'fPM 1,13 1,35 1,58 (1.82) 1.99 2.36 (2,85) 13,1 CA filter and Nfc 0,170 0,213 0,230 0,240 0,251 0,272 0,293 1,67 9mn of FAVOR PMWM 0,92 1,06 1,27 (1,47) 1,59 1,89 (2,27) 10,5 Regular et ement ( ) - Val ues Interpol ated/extf apal ated Note · Data far (aJ may seem at variance with standard molting. Thi a is because under puff·by-puf~ conditions integer puff numbers only are measured and, since deliveries in the later puffs are high, the loss of one or one plus of these later puffs has a pronounced effect, TABLE 2 · Derived data from Table i Nicotine increase of FAVOR cigarette, in X, relative to: Puff Number 1 2 3 4 6 7 Sum (a) SEFK with 20mn CA filter 220 136 109 80 69 70 63 92 (b) SEFK with lOnn CA filter 143 · 77 56 47 39 42 33 53 ~ Swnnary FAVOR source elements appear to be an attractive proposition for increasing nicotine deliveries to smoke, This work demonstrates an aeross·the~board Increase with a preferential increase in the first few puffs, However, before enthusiasm becwnes rampant, It Is going to be necessary to obtain FAVOR elements without added fiavours andvlth much lower nicotine contents, before product testing with conslaners Is attempted, Further, there are patent cooslderat~ons,4nd cost implications if a dual or triple filter configuration is involved, O Olstrlbution: O\ Mr A L Heard (2 eo~les) Q Or T Hlrjf/Or R R Baker V1 TV \0. Clit; PB F~I' ~: ~· ·~ ·- -- ~L~' --- -· ------ ---L-· ---,I ~s ~=====l-"c*lc-"5cc~-"ll~~:~(i;;i ~~!;1~~-~ ~L - I------~~ n* ~i~slC O =.~-,tL,-~=~,~t~z'=l_~=~,~=c~=~~~~~i~·~:~:3 O C==~:=f=: =tzrz =i=~=i=I:~~r;~ ~~=~r r:z~ -~:=:~z i~iWI q ClibPDF - v~~fastio.soni C~__C~e DOF Ref: RFF/BCH 92 Jaoorry 1986 Mrl, e, klrfde I~crfll Tobacco ltd, P,O, Box 6500 t,P, Montreal p,p, Canada H3C 316 Daor Oatby, Furthar to olr telephone coPrcrrltlpo raglrdllg conrulsr tart nethodology lof the FAVOR prodref/contcpt, 1 r plelrea to ancloll rcl~ld dstllll and mltcrlalr uled fn the U,K, ~pprolch~ 1, OmIRE OF ~En0001061 P, AGENCY LIAISOI OETAllS 3, pUILIWT~IE SESSt:ON PlOfOCOLS a, PUEStIOIMIRES FOR SfAGES 1·3 5, SUFPlEMEhTARY IIODICT TESTrlG OUESTtONHAfRE 6, TO(EY ALLOCAfIOH EIEIC~SE FORMS t, PIODUa US#E D1RI 8, SET OF 19 1 35m SIlBES USED f0R COI1EPT EnaSUE . There repfelept 111 the matertalr lot ulll need to Flprodlce car letbodolog, However, 1 strolgly recMrmand that r Ifal~e by tcllpkons to corer lrpectr ol Int~rtt#lallqatltla~I~itc ~Cllf~tr~tlol aRd Iterp rrt, ih U,K, nJllrch 11 now Eoapllta ond dlt~ Inlly~ Illnl~rprd~tlon ~~ ha EIPlltCd by 51111~ 3Mh, dur arpcrl~ne~ ol the rtbodolol osd bar brl Vary favoufabla ltd w have lo conrumer attrftfol, 1 rlll, ol courre, bffll Jot or orr detafled fladll(t JcR.fCq blcor Iraltlbta, YltC baJt ngirll, Vours ~lnccFcly, ~c~ O I,P FOHS ~e e,e, Mr, 1,1, Holrd, B~Co, Mlllb~nt Or, R, 81nn~ O CllbPB~~NMfa~tl~~nl - JO~IT\1 MUMFORD ~ ASSOC~ATES LIMITED Viac~ H3Jee 99-101 F~ga~t S~st Lcnbxl Wpl MB Dr, R,P, Ferris TetM·P37·1e24 Group Research a Development Centre 7e~x:89~266 B,A,T, Ltd Regents Park Road Southampton lants 2nd January 1986 Dear Bob, Project Coadbsy Thanks for your recent visit and your briar on the above project, This is to confirm the major points of our discussion and to detail some or the logistics, i, The project design is covered in your Consumer Research Proposal dated 17th December 1985, a copy c~uhich was passed to me, 2, JMA involvement in the project is as follows: a) Printing the puestionnairel bl Booking, briPling and paying Interviewers. EJ General Admi :stration: including planning interviewer .outes, hapdcounts, liaison with yourself, etc, d) Computing results, a) Printing the questionnaire The.questionnaire is divided into three sections: Stage 1 (Admlnistered in Group) Stage 2 (" n Home) Stage 3 (Self-completion collected at second grcup- convention) fou will be writing the questionnaire; we shall code it, lay it out and print it. To ensure ease of administration we will print each sect~lon in a different colour, Could we please have your handwritten questionnaire by 10th January, The questionnalraswill probably be brought to Southampton on 15th January, however, if there is time we will send them in advance of this data, b) Interviewers O I have booked ~ive interviewers tall with cars) to work between O~ 1,30,pm and 7,30.pm on the 15th and Ibth January, ~O cant,,,, Directors: Jch Mumfwd, Sally ~vh~Jmford. RegistercdNa1610668 F~g~rered office: 5 Greystd(e Cwrt~erowehcmcl,Be~cs. Member of Q0000 The ~ssociae~n of British Market Rsaesr;h Comperies Clit; PDF -!::!!::!!::!.f3 StlC.i: 0111 Dr~ R,P, Ferris B,A,T, Ltd -2- Znd january U86 On each of these two days the following time-table would apply: 9,30810,00am RF meet with Sally Cruickshank to discuss research design 10,00:11~00am RF conduct Group I 11800·11415am SC arrange recall times with each respondent, Mark each respondent address on the map, 11,15-12415pm SC plan routes, allocate interviewers, 113042,30pm Interviewer briefing, allocation of interview assignments. 2,00·3,00pm RF conduct Group 2 340043815pm SC arrange recall times with each respondent. Mark each respondent address on map, 2,3094,30pm Each interviewer to visit and interview two respondents. Return to Dolphin Hotel,. ~,30-5,30pm Interviewers re-briefed for second phase of interviews, New addresses issued. 5,3097,30pm Each interviewer to visit and interview two respondents, Return to Dolphin Hotel, 1930·8,30pm Handcounts, Given that you do not want more than about four hours to elapse 'between the end of the group and the re·intervieu, the following apply:· End of Group 11,15lsm 3.15.pm Interviewer leaves hotel 2,30,pm 51301pm Interviesr arrives at first R, 2,50,pm# 5.5o,p,i Interviewer leaves first R, 3,20.pm · 6.20,pm interviewer arrives at second R, 3,k0,pm#" 6,40.pmtw 3 hours 35 minutes after end of Group ti via, ~ hours 25 minutes Average 4 hours The above timings assume: a twenty minute journey time, a half· N hour inter~dew length, 0~ cl Thl s'ojelt uill be run by Sally. She vil! ieot uith you It coat.,,,, Clit; PDF -!::!!::!!::!.f3 StlC.i: 0111 Dr, R.P, F~is B,A,T, ltd ·3- 2nd January 1986 9,30,am at the Dolphin. Pour secretary will book a room with bath for Sally for the night of the 15th, Handcounts of results will be available at around 9,00,pm on both the 15th and 16th, d~ The questionnaires (Eor all three stages) will be computer analysed by JMA, The questionnaire for Stages 1 and 2 will be brought back to london by Sally, The questionnaires for Stage 3 will be sent to JMA by you once they have been checked. When we have the questionnaires for all three stages we can process them, This will take about two or three days to put on discl once this is done you can either visit us to select and run-off tables or we can let you have a basic set which can then be subsequently augmented by ad hoc runs, 3· The cost of the project as described will be E19600 (exc, BAT), This cost excludes incentives, If you wish we can pay the Stage 2 incentives (i,e, 40 at E~) and bill you for this, Please let me know if this would be useful, I would like to alloy a contingency of E300 to cover any additional processingbuch as analysis of variancel where we may need to put the processing out to a d,p, company. Additionally, in order to ensure las far as possible) that we allow for bad weather and interviewer problems, a further E100 should be held in reserve for taxis and recrliting another interviewer at short notice, I think this covers the major points, I will be in touch in the next few weeks to discuss developments and progress, Thanks again for your brief, Best Wishes for a Happy and Prosperous 1986, Pours silrerely, Si%·"l" Q I~ J,W, MUEIFORD ·TV Clit; PD'F~lc.;: nill