Kent - Marketing Factors
Excerpts from Kent Review
Prepared by Kent Brand Group
December 7, 1981
Kent has always been priced at parity with other U. S. international cigarettes. It has primarily taken a "me too" stance as a result of price increases initiated by Philip Morris' market leader, Marlboro.
If consumers are going to spend a disproportionately high amount of their discretionary income for an imported cigarette, they will more likely, in the absence of a strong smoking and health controversy, opt for a brand that delivers taste, satisfaction and the correct image, i.e., Marlboro. When they pay more, they want to be sure they are getting the very best available. Compared to Marlboro, Kent does not offer the best value for money.
Price to consumers has not made Kent a prestigious brand. Timing of introductions, image and product innovation have made it successful. Although it is not suggested universally, there are probably markets where Kent could realize incremental volume-related profits if it was priced below Marlboro. An investigation of price sensitivities should be conducted in selected markets, measuring trade-offs of price and perceived value.