VVESTUnqSTER HOUSE 7 NULL13A&VX L02NDOV, SWIP 3JE 01-222 1222
9th December 1983
P. Sheehy, Esq.,
WINDSOR HOUSE. ..2 DECAS
CAC Vill
In your letter dated Sth December you asked me to up-date
you an the progress that I have made in relation to the
three items with which I said I would deal.
(1) On the Compendium of Epidemiological Studies I have
agreed a draft work plan with Dr. Thornton, which I have
also discussed with Ray Pritchard and Dr. Blackman. It
includes assumptions,-guidelines and a list of on-going
studies which relate to relevant activities and for easy
reference I attach the key objectives from this work plan.
In view of your interest in this subject, I have also
asked Ray Thornton to keep you informally advised an to
progress.
(2) On the question of recommending action to improve the
effectiveness of innovation, I have done the following:
(a) The appointment of Alan Heard to be responsible
at GR & DC for exploiting all developments that have reached
potential commercial importance - especially in the areas of
product development, application of psychology models and
the development of products with reduced sidestream emission.
He will liaise closely both with CAC companies and with other
companies as appropriate.
(b) RJP and LCFB will in the Now Year have detailed
discussions with the No. 1's and Research Directors of B & W,
Germany and Canada to ensure that there is minimum overlap
and maximum communication on all areas of technical innovation.
(c) It is planned to hold a joint R & D/Marketing
Conference in August of next year. (Each function will
hold a separate conference for 2/3 days and then join together
for 1/2 days.)
C)
1.
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(3) I also agreed to hold discussions on how one could
improve the cost effectiveness of promotional expenditure
in Tobacco and this I have found the most difficult area.
All I have done is to deal with this subject informally and
through the inclusion of the following Statements in the
latest "Marketing Strategies" document, which goes out to
all companies and is, of course, discussed on an on-going
basis during visits
"In all segments, launches will be undertaken only where
the new brand has been shown by research to have a definite
consumer advantage over target competitive brands, especially
in the higher-priced, image-driven, largely international
segment -where a launch must be supported by sustained
investment."
"All operating companies have been requested to maximise
the effectiveness of planned expenditure on marketing
across their brand portfolio. They have been asked, in
particular, to eliminate expenditure on advertising and
promotion for non-strategic brands. Where other brands are
declining or are sold only on a price proposition. companies
will rigorously examine levels of support for such brands,
compared with their profitability, based on a realistic
assessment of future demand."
Fall
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BAT Industries document for Province of British Columbia 22 April 1999