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    PM USA Expands Marlboro Snus to Indianapolis

    Taboka will be traded for Snus products in March.

    RICHMOND, Va. -- Phillip Morris USA (PM USA) is introducing its Marlboro Snus smokeless, spitless product to a new test market in Indianapolis in March, the company stated.

    Marlboro Snus -- a pouch product designed for adult smokers who are interested in smokeless products as an alternative to cigarettes -- is also currently in test market in the Dallas/Fort Worth area, the company stated. The product comes in four varieties -- Rich, Mild, Mint and Spice -- and builds on the brand equity of Marlboro, according to the company.

    "We are pleased with the initial reaction by adult consumers, wholesalers and retailers to Marlboro Snus in the Dallas/Fort Worth test market and look to build upon the learnings from that market, as well as our experience with Taboka, in Indianapolis," Roy Anise, vice president of brand management smokeless for PM USA, said in a statement.

    Indianapolis area retailers will be able to sell Marlboro Snus in March. In addition, the test market of Taboka in Indianapolis will be discontinued, and retailers will be able to return Taboka product to their wholesaler, Bill Phelps, spokesman for PM USA, told CSNews Online.

    Marlboro Snus' expansion into the second test market is part of the company's growth strategy, which aims to add to its product mix beginning with tobacco or tobacco-related products that are similar to its existing cigarette business.

    The second largest U.S. tobacco company, R. J. Reynolds (RJRT), is also testing its Camel Snus in Indianapolis, which it launched there in July 2007 after beginning testing in Portland, Ore., and Austin, Texas.

    Camel Snus is also being tested in Kansas City, Mo., Columbus, Ohio, Raleigh, N.C., Orlando, Fla., and most recently, brought the product to Dallas/Fort Worth in August.

    "One of the things that was involved in the decision to bring Camel Snus to Dallas/Fort Worth was because Marlboro Snus was testing there," David Howard, spokesman for RJRT, told CSNews Online. "We gain learnings when there is competition in the same market. We have been in Dallas/Fort Worth since last summer, and we look forward to gaining continued learnings there and even more in-depth learnings here with a competitive product."

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