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4'. May 9, 1986 TO: L.R. Lewis~ J.L. Hendricks K.M. D.B. Burk Yellowlees R.J. S.H. Miller Trebilcock CC: F. Schoenheiter C.C. Middleton th FROM: A.G. Forsy e RE: THE SCHOENHEITER METHOD OF PITCHING COMPETITIVE SMOKERS Attached is a summary of the presentation Frank Schoenheiter gave the Nashville Reps regarding pitching competitive smokers at the 5/7/86 BETA Sales Meeting. The approach is logical and well thought out. Frank developed this based on his years of experience and a project he undertook several years ago. Frank's approach recommends that smokers not be approached at the carton rack, pack rack, or in check lanes because they've already made their decision and you must also unsell their decision. By working the remainder of the store at high traffic hours, many more consumers can be pitched. This is provided for your information and consideration in developing programs. A. G. F. Attachment 1001afbb

PITCHING COMPETITIVE SMOKERS - THE SCHOENHEITER METHOD Obj ective Must aggressively seek out competitive smokers. Approach . Introduction/Qualification 1. "Pardon me, are you a smoker?" If no, "Thank you very much" and move on. If yes, continue. 2. "What brand do you smoke?" The Pitch a. "My name is and I'm with B&W. We manufacture (B&W brand closest to brand smoked . Key attribute of B&W brand in one sentence." b. "Just for being so nice and listening to my pitch, if you'll buy one pack, I'll buy you a second pack free." . The Close a. If contact agrees, ask which style, Kings or 100's. Get product and move on. b. If contact says no, try to pitch another B&W brand (must be flexible).

- 3 - Do's . Be polite (rudeness is a no-no). . Be prepared (clear pitching with the store manager before you start. . Limit your questions (every question offers an opportunity for rejection. . Ask only pertinent questions. . Reward your franchise - don't just give offers to competitive smokers. You will alienate current franchise members if you don't give them an offer they have seen given to others. . Work in-store areas away from the carton rack, pack rack, and check lanes. By then, consumers .have made up their minds and you have the additional task of unselling them of the brand they've picked up. . Be ready to sell another B&W brand if the consumer indicates they have tried the brand you pitch and they don't wish to retry it. . Listen to the consumer so that you can target your pitch most effectively. . Get the product for the consumer so that you reinforce their purchase decision. Dont's . Don't repeat the competitive brand smoked. That serves to reinforce their brand loyalty. . Don't make pitches by the carton rack, pack rack, and the check lane. . Don't linger with a consumer after you've made the sale. You may undo the sale. t11 Don't engage in debates with non-smokers. ~ TO

0 - 4 - Summary This procedure can be effective for reaching many consumers (25-50 per hour) at peak traffic times. Consumer work is critical to selling B&W products. Consumer pitching takes practice. Know the one line attribute pitches for B&W products.