Abstract
This R.J. Reynolds document shows the cigarette company's pursuit of young, poorly-educated, low-income smokers to help assure the company's future cigarette sales by targeting a new brand at them. "Project XG" was RJR's attempt to market a cigarette that would "replace Marlboro as the most relevant brand among young adults smokers."
The paper complains that "Marlboro has become everybody's brand--it's the Coke, Jack Daniels and Budweiser of cigarettes." Thus, according to the document, Project XG was aimed squarely at Marlboro's young, poorly-educated and low-income demographic group: "75% with no education beyond high school, primarily blue/open collar workers...long-term earning potential of this group will be low to middle income."
RJR's psychographic profile of this young group concludes that they are "In a 'stage of transition'--they have left the family nest (security) but have not fully accepted the adult world (insecurity)."
Themes for advertising Project XG, then, targeted the group's insecurities by making them feel independent, powerful and socially successful:
"The primary objective of the copy is to appeal emotionally to the target via visuals projecting a feeling of freedom and independence via symbols that capture the mood and feeling of power, excitement, movement and exhilaration. The cigarette supports the role of being in charge, going one's thing..."
In describing how to target this group with emotionally powerful ad copy, the paper states,
"The primary role of the copy will be to appeal in an intense and emotional way to the target via visuals that depict moments of mature social interaction between strong and independent personalities. These moments will be provocative, intense and introspective as well as emotionally and electrically charged. The cigarette and smoking act become the relevant focal point of the moment captured."
The document also points out the importance of these young, insecure low wage-earners to the future of cigarette sales: (From Page 45): "YAS [Young adult smokers] have been the critical factor in the growth/decline of every brand/company in the past 50 years...Only 5% of smokers start after age 24. ...Value of a loyal 18 year old smoker appreciates +30% over time due to increase in rate/day...Because YAS are critical the short and long term growth, they represent the most important area of opportunity for new RJR..."
The paper later gives a name for Project XG: Magna.
Fields
- Notes
The copy of this document seems to repeat many pages.
- Company
- R.J. Reynolds
- Author
- Presumed corporate author (R.J. Reynolds)
- Recipient
- Presumed corporate recipient, R.J. Reynolds
RegionUnited States
Named PersonPhilip Morris
RJR
Jack Daniels - whiskey
Budweiser - beer
RJRI
TypeMARKETING DOC
Operation/ProjectProject XG (Younger Adult Smokers (R.J. Reynolds))To convince younger smokers that an RJR brand is "most relevant" to them
Project XG (Younger Adult Smokers (R.J. Reynolds))To convince younger smokers that an RJR brand is "most relevant" to them
Subjecttarget
target market
Target/Low-Income (Target Groups)
Target/Young Adults (Target Groups)
Document Images
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PROJECI XG
EMOTIONAL INTENSITY
COPY STRATEGY
XG'S ADVERTISING WILL CONVINCE YOUNGER ADULT SMOKERS THAT THE XG
BRAND IS THE MOST RELEVANT FOR THEM AS IT REFLECTS AN IMAGE OF
EMOTIONAL INTENSITY, THE PRIMARY OBJECTIVE OF THE COPY WILL BE
TO APPEAL TO THE TARGET VIA VISUALS THAT DEPICT MOMENTS OF MATURE
SOCIAL INTERACTION BETWEEN STRONG AND INDEPENDENT PERSONALITIES,
THESE MOMENTS WILL BE PROVOCATIVE, INTENSE AND INTROSPECTIVE AS
WELL AS EMOTIONALLY AND ELECTRICALLY CHARGED, THE ADVERTISING
WILL COMMUNICATE THAT XG'S SMOOTH, FULL FLAVORED TASTE IS THE
-
UNPARALLELED COMPLEMENT TO SUCH MOMENTS.
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PROJECT XG
MOST CRITICAL PROJECT FOR LONG TERM GROWTH OF RJR'I*
HIGHEST PRIORITY IN NEW BRANDS
ADDRESSES KEY CORPORATE ISSUE
A DIRECT COMPETITOR TO MARLBORO DESIGNED TO REPLACE IT AS THE
MOST RELEVANT YOUNG ADULT SMOKER BRAND
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PROJECT xG---
,
BASIS FOR OPPORTUNITY
YAS HAVE BEEN THE CRITICAL FACTOR IN THE GROWTH/DECLINE OF
EVERY BRAND/COMPANY IN PAST 50 YEARS,
- ONLY 5%-OF SMOKERS START *A-FTER AGE 24,
- BRAND LOYALTY FAR OUTWEIGHS ANY TENDENCY TO SWITCH (E,G
62% OF SMOKERS CHOOSING MARLBORO AT AGE 18 STILL SMOKE
BRAND BY AGE 24.)
MARLBORO GROWS +,9 SOM PER YEAR DUE TO 18 YEAR OLD SMOKERS
ALONE.
VALUE OF A LOYAL 18 YEAR OLD SMOKER APPRECIATES +30% OVER TIME
DUE TO INCREASE IN RATE/DAY.
BETWEEN 1979 AND 1983, RJR SHARE QF-18-24 SMOKERS SLIPPED FROM
26.1% TO 21,3%, WHILE PM'S SHARE GREW FROM 44,8% TO 58,4%,
MARLBORO IS CURRENTLY THE ONLY ACCEPTABLE BRAND AMONG 18-24
YEAR OLD NON-MENTHOL SMOKERS.
(SOURCE: MDD 1984 YOUNGER ADULT SMOKER OPPORTUNITY ANALYSIS)
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NROJECT XG
CONCLUSIONS
BECAUSE YAS ARE CRITICAL TO SHORT AND LONG TERM GROWTH, THEY
REPRESENT THE MOST IMPORTANT AREA OF OPPORTUNITY FOR RJR NEW
BRANDS,
AS MARLBORO CLEARLY HOLDS THE STRONGEST YAS MARKET POSITION,
IT REPRESENTS THE PRIME TARGET FOR NEW BRAND OFFENSIVES.
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-:..--_ --- ~ -+
- PROJECT XG
OBJECTIVE: REPLACE MARLBORO AS THE MOST RELEVANT BRAND AMONG
YOUNG ADULT SMOKERS,
STRATEGIES: (1) PROVIDE THE TARGET WITH SUPERIOR PRODUCTS,
(2) UTILIZE MORE RELEVANT AND CONTEMPORARY IMAGERY
AND MARKETING ELEMENTS THAT SPECIFICALLY APPEAL
TO THE WANTS AND MINDSET OF THE TARGET.
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PROJECT XG
RATIONALE: (l) MARLBORO SMOKERS WOULD PREFER A SMOOTHER PRODUCT
THAT DELIVERS THE SAME TOBACCO TASTE AND
SATISFACTION, "-
(2) MARLBORO HAS BECOME EVERYBODY'S BRAND - IT'S THE
COKE, JACK DANIELS, AND BUDWEISER OF CIGARETTES,
(3) MARLBORO'S IMAGE IS DRIVEN BY ITS ACCEPTABILITY
AS MUCH AS ITS ADVERTISING,
(4) YOUNGER ADULT SMOKERS CHOOSE MARLBORO BY
DEFAULT, OR INERTIA. AT THIS STAGE OF LIFE
THERE ARE CURRENTLY NO RELEVANT ALTERNATIVES,
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PROJECT XG
BRAND NAME: MAGNA
PRODUCT:
ALTERNATIVE 1:
NON-ME-NTHOL
85MM/SOFT PACK
2 STYLES - FULL FLAVOR
- FULL FLAVOR LOW TAR
TIPPING COLORATION
- FULL FLAVOR = CORK
- FULL FLAVOR LOW TAR = WHITE
ALTERNATIVE 2:
NON-MENTHOL
85MM/FULL FLAVOR
2 STYLES - HARD PACK
- ~ - SOFT-PACK --
TIPPING COLORATION - CORK
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PROJECT XG
PRIME PROSPECT
XG IS TARGETED TO YOUNGER ADULT SMOKERS, 18-24 YEARS OF AGE WITH
PRIMARY EMPHASIS ON 18-20 YEAR OLDS,
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. PROJECT XG
DEMOGRAPHIC PROFILE
PRIMARILY, 18-20 YEAR OLD MARLBORO SMOKERS
65% MALE/35% FEMALE
75% WITH NO EDUCATION BEYOND HIGH SCHOOL
PRIMARILY BLUE/OPEN COLLAR WORKERS
LONG-TERM EARNING POTENTIAL OF THIS GROUP WILL BE LOW TO
MIDDLE INCOME
Page 10: ias85d00
14
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PROJECT XG
PSYCHOGRAPHIC PROFILE
IN A "STAGE OF TRANSITION" - THEY HAVE LEFT THE FAMILY NEST
(SECURITY) BUT HAVE NOT FULLY-ACCEPTED THE ADULT WORLD
(INSECURITY).
ARE UNIVERSALLY SELF-CONSCIOUS AND INSECURE IN ADAPTING TO THE
RESPONSIBILITIES OF ADULTHOOD. THEY ARE PRE-OCCUPIED WITH
PRESENTING AN IMAGE OF:
- SOCIAL EXPERTISE AND INDIVIDUALITY WITHIN THE LIMITS OF THE
YOUNGER ADULT SUBCULTURE.
- SELF-DETERMINATION, CONTROL, AND INDEPENDENCE,
MAJOR INNER CONFLICT STEMS FROM TW.O DIAMETRICALLY OPPOSED
NEEDS:
- NEED TO BE INDIVIDUAL AND STAND OUT,
- NEED FOR PEER ACCEPTANCE, TO BELONG, TO FIT IN.
THESE OPPOSING NEEDS ARE PARTIALLY FILLED BY BELONGING AND
CONFORMING TO A GROUP THAT IS SET APART FROM OTHER GROUPS.