Product Design
The Growth of Menthols
Abstract
Delineates the history of the menthol cigarette, from 1933 to 1977, in order to "obtain a better grasp of the factors which control the course of menthols and Kool." Divides the history of the menthol cigarette into four phases: the early history of Kool cigarettes - 1933-1955; the rise of Salem - 1956-1962; the Kool growth phase - 1963-1974; and the growth of low tars - 1975 to date (1976-77). Attributes growth of menthol cigarettes to "changing taste of cigarettes, changing tar and nicotine levels, and smokers' efforts to adjust to these changes." Includes discussions of Kool's historical positioning on the market, particularly its "almost medicinal positioning." Summarizes Salem's, Newport's, and Kool's advertising campaign history. Delineates the "Tar Derby" in the late 1950s when tar levels of cigarettes came under scrutiny and were drastically cut. Speculates as to the percentage of marijuana smokers who also smoke menthol cigarettes and the appeal of menthol cigarettes to blacks and youth, noting the raise in black consciousness and the rise of a counter culture in the 1960s. Includes market share information for the 16-34 age group, with particularly attention to the black market. Defines "line extension" versus "companion" brand. Includes charts and graphs, including a chart showing the "relative positions of the various menthol brands in terms of tar and menthol levels." Attaches appendix.
Fields
- Author
- MSA
- Hypothesis
- Design changes over timeChanges in cigarette design over the past half century.
- Introduction of new/unconventional products
Research and development of novel nicotine delivery devices and experimental tobacco designs.- Low-yield cigarettes
Modification of low yield products to assure that adequate levels of nicotine delivery are maintained, and effects of yield changes on toxicity and dependence.- Product design targets (women/minorities)
Design changes targeting specific demographic segments such as women or minorities (slims/menthols/etc).- Use of additives
Modification of tobacco products through use of additives and measuring effects on dependence, behavior, and toxicity.- Sensory targeting
Targeting of smokers through changes in sensory characteristics - Introduction of new/unconventional products
- Keyword
- Cooling
- Flavor/ Taste (Attribute measure)
- Additive
- Menthol
- Smoke Constituent
- Menthol
- Nicotine
- Named Organization
- American Medical Association
- Federal Trade Commission
- Lorillard
- Philip Morris
- Surgeon General's Advisory Committee
- Federal Trade Commission
- Brand
- Alpine
- Belair (BW)
- Benson & Hedges (PM)
- Camel (RJR)
- Carlton (ATC)
- Chesterfield (Liggett)
- Doral (RJR)
- DUKE OF DURHAM
- Eve
- Fact
- Golden Lights
- Iceberg
- Kent (Lorillard)
- Kool (BW (1933-2003)/RJR (2003-present))
First Menthol cigarette line, released in 1933. Premium priced brand.- L&M
- LEMON TWIST
- LIFE
- Lucky Strike (ATC (until 1996)/ BW (1996-2004)/ RJR (2004 on))
- Marlboro (PM)
- Max
- Merit (PM)
- Montclair
- More
- Newport (Lorillard)
- Now (RJR)
- Old Gold (LOR)
- Pall Mall (ATC)
- Parliament (PM)
- Raleigh (BW)
- Real
- Salem (RJR)
- Saratoga
- Silva Thins
- Spring
- Tareyton (ATC)
- True (Lor)
- True Green
- TWIST LEMON
- Vantage (RJR)
- Viceroy (bw)
- Virginia Slims (PM)
- Winston (RJR)
- Belair (BW)
- Subject
- Menthol (Additives)
- Sensory Effects—Taste (Effects)
- Target/Youth (pre-18) (Target Groups)
- Sensory Effects—Taste (Effects)
Document Images
THE GROWTH OF MENTHOLS
1933- 1977
60~L9~0"9
• ~ T~i,d ~vgnu. Nt~ yo,k~ 14lw y+rh 1~]7
THE GROWTH OF MENTHOLS
I. INTRODUCTION ...........................................................
t
If. RSVIEW DS TXE HISTORY ..................................................
3
A. The Overall Trend ..................................................
3
B, The Phases .........................................................
~O
I. Early History oF Kools 1933 - 1950 .............................
&O
2, Th~ Filters an~ Entry ~f Salem 19~D - 19&2 .....................
14
3. Th~ Growth of Kools ...........................................
26
4. Th~ Low-Tars 1975 to Date ......................................
36
Ill. FREE STANDING BRANDS, LINE £XTENSIDNS A~D COMPANIONS ...................
37
IV. HI-FI AND MENTHOL .....................................................
54
V, MENTHOL, TAR AND TASTE LEVELS ..........................................
62
VI. APPENDIX ...............................................................
70
INTRODUCTION
Mentholated cigarettes have grown from a relatively minor 2.6~ share of the cigarette
market in I~hg to over 28~ c~rren~Iy, So important are ~e~hols tod~y that every new
brand is introduced with a menthol companion that typicaiIy provides one-third of the
brandls voIume.
The growth of menthols colncldeB in time and is evldentIy lFnked wlth the major changes
whiG~ have ~haken th~ clgaret~c market,
The Factors behlnd the extraordinary grc~ith of menthols sl~ce I~50 s~em to be I~tertwlned
wi~h the 6hangin9 taste Of cigarezte51 ~hanging tar and ~icotine leveIsp and sm0kers',
efforts to adjust to these cha~ges.
All of these are again undergoing rapid change with the upsurge of the latest low-tar
trend in 1975.
ATso of eruclal importance, especla11y to Kools, Is the exceptionallg high share that
menthols have obtalned among blacks a~d the youth, Trends her~ also seem to ~ changing
in the last two years.
Kocls~ spectacular growth has ?fattened out during this period,
The growth of }ow-tar cigarettes again changes th~ ta~t~ oF clgarettBs and~ thorefore,
agal~ affects the fundamentals of tb~ market, The great growth of menthols In the 50:$
aros~ durlng a ~imKlar period, as consumers searched for an acccptabl~ taste in fi]ter
~i~ar~ttes. TodBy Consumers m~y a~ain be seeking ~ acceptable tast~ i~ ~ Icw-tar cigarette
a~d F~ndlng ~t ~n a menthol. In the ~O~s, ~he cholce was very li~ited. Now, however,
,~f!Lhol i~ readily available in pFact~ca11y all b~ands at var~o~s strengths and ~ar l~vels.
The low-tars seem to be se111ng about as much menthol as the hlgh-tars.
The purpose of this report is to e~amlne the trends in menthols since 1950 In order to
obtain a better grasp of the factors ~h~ch c~ntrol the course of menthols and Kool,
This r~par: covers ~sentially th~ d~v~lopment= through 1976. The more r¢cent trends
will be dealt wlth in Phase II of this studv.
Therefore, we will reserve our c0rm~n~s on the la~est trends and Lhe [m~li~tion~ For
the future for that report.
'9
2
BL~IEW OF THE HISTORY
THE OVERALL TREND
Before I~56~ Kools was, fcr all ~ntent5 and purposes, the only menthol cigarette. It ~as
i~tr~H,]~d in I~33 and by I~35 had att~iqed a 2,2~ shar~ of all ¢Tqar~tte~. Thereafter,
iLs sha,¢ declined to 1,4~ in 1940, ros~ to 2.3~ in I~41 d~clined again to 1.5~ i~ I~L7
and ended up in l~ back at 2.~ whe,~ iL had baen in ~35.
In 1950~ ~i:h lhe heighL~r~ng ~wareness of the d~n~er5 oF smokTn9 kicked off by ~ J~nuary,
I~ R~derls 3Tg~$t article, "Ho~ ~anqerous are Cigarette$?"~ a new p~a~e 5e~med ~o begin.
K~ols~ st~II tn~ ~nly men~h~l~ rose to a ~.~% share, e~ceed~ng its prev~ou~ peak.
STnc¢ ~hen~ menth~]~ have g~in~d im share every year ~thout exception to re~h ~ ]ev~] of
abou~ 28~ in I~76 - a gain ~f 2~ sh~re point~ ~n 2~ yocrs. As shown ~y the chart or ~en~ho]'s
~hare of ~Tg~r~ttes~ th~r~ ~as a 51ow upw~l'd trend un[Jl ]~56 ~nc ~ 5harper ri~ ~nc~ ~hen.
In torts cf share of filters, ~he patL~r~ is ~o~ dramaEJ¢, In 6 y~ar~ from th~ ~ntroduc~on
of menthol filter~ in 1956 t~ I~9, mnrt~ols ros~ ~o 25~ of all fH~er~. ~n the 14 years
f~llowlng through i~76~ it lose only ar~th~r 6 poln~s ~o abou~ 31~,
Th~s~ apparently smoot~ overall curves m~k startl~ng chan~es in th~ ~r~nd trend~ p~rtic~larly
th~ trends of the ~o le~ding men~hcI brand~ - Kuu] ~Id S~1~m. As ~hown clearly by the char~s~
there are distinct phase~ in the history of n~enthols since 1950, pqas~s wi~h different brand
tr~nd~.
Un:TI I~62~ Koo!s market share shows remarkable constancy while S~l~m's leaps u~ward.
Thereafter, Salem's trend becomes rla~ wh]le ~uol~' ~iscs steadily until 1974~ ~×c~ding ~alem.
In I~7~ ~ n~w ~rend sets Tn~ with Kco s flattening.
Accordingly we have d~vided the histor~ oR menthols ~nto the following phases:
I. The Rarly History of Kools - I~33-1955
il. The Rise of Salem - 1956-I~62
II~. Th~ Kc~] 6rowth Phase - I~3-I~74
IV. The ~r~th o~ tow ~ar~ - 1975 to date
Each of these phases will be discussed in detai].
60o
500
400
300
2OO
I00
__ Total Cigarett~
.... T~ta] Menthols
Exhibit
GROWTH OF MENTHOLS
UNIT SALES
(B~lIions)
YEAR 50 5l 52 53 3L 55 56 57 58 ~ 60 61 G2 63 64 65 66 67 E8 69 70 71 72 73 74 75 76 77
35.0
TOTAL MENTHOL
SHARE OF ALL CIGARETTES
¢J
=it
L~J
Q.
30.f
25.o:
2~.C
15.0
I0.0
l t f I I P I L. I T 1 r 1
Y Y ~ 1 1 I ) ~ I T t I ,
YEAR 50 5l 5~ 53 54 55 '56 57 ~8 59 &O 61 62 63 64
G5 66 67 68 69 70 71 72 73 74 7~ 7~ 77
.gT&9 O
6
u~
3~.0
30.0
25.0
20,C
lO.O
5.C
TOTAL FILTERED MENTHOL
SHgRE OF TOTAL FILTERS
¢,,
i i , * L t # I I I I t % I ~ I
I t I # I t I I # I I
YEAR 50 51 92 53 54 55:56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 7l 72 73 74 75 76 77
7
GROWTH OF MAJOR HENTHO[. BRANDS - I
SHARE OF TOTAL CIGARETTES
Total Koo]
.... T~tal Salem
• ~ ..... Total Line Extensions
• ~. Total Companions
12,0 PHASE I
PHASE !1
PHASE III
PHASE IV
I.-
z
¢.J
54 55
/
t
#
/
!
/
/
56 57
60
7Z 73 74 75 76
77
