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Marlboro Cigarettes Extend Ferrari

 
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PostWysłany: Śro 7:40, 26 Sty 2011    Temat postu: Marlboro Cigarettes Extend Ferrari

Marlboro On The Verge To Extend Ferrari F1 Team Sponsorship Deal
Ferrari (www.olymall.com) is reportedly on the brink of signing a new Marlboro sponsorship deal until 2014 with tobacco company Philip Morris.
Marlboro has been Ferrari's title sponsor since 1997, but its latest agreement is set to expire at the end of 2011. The current deal does not involve any branding on the car - tobacco sponsorship was banned in 2007 - and even the controversial barcode, which was seen by some as subliminal advertising, disappeared from the car's engine cover last year. (www.olymall.com)
A Ferrari spokesman said: "The current agreement will expire at the end of this year. There is not yet any agreement for the next years but there are all the conditions to sign a new one."
(www.olymall.com) Tags: cigarette, Godfrey Phillips, KK Modi,[link widoczny dla zalogowanych], Marlboro Country, Marlboro India, Philip Morris, News
Marlboro to be manufactured locally to boost market share
Marlboro sells for Rs 100 a pack and competes with Classic, Benson and Hedges.
Godfrey Phillips India (GPI), the second largest cigarette maker,[link widoczny dla zalogowanych], plans to launch new Marlboro variants and manufacture the cigarette locally, as it seeks to boost market share in the Rs 19,[link widoczny dla zalogowanych],000-crore industry,[link widoczny dla zalogowanych], KK Modi told Financial Chronicle here on Thursday.
“Only the rolling of [link widoczny dla zalogowanych] is done here. As we bring new variants, we will be able to find equivalent raw materials for local manufacturing,” said KK Modi,[link widoczny dla zalogowanych], chairman of KK Modi Group,[link widoczny dla zalogowanych], which owns 46 per cent stake in GPI. He didn’t give a timeframe for introduction of the locally made Marlboro. (www.olymall.com)
The firm is boosting the Marlboro brand portfolio after US-based tobacco giant Philip Morris handed over the brand’s distribution to GPI in mid-2009.
(www.olymall.com) GPI has already started testing two Marlboro variants -- clove mix and a cheaper, smaller sized Marlboro regular cigarette -- in some parts of the country.
Marlboro started selling in India in 2003, but Philip Morris bypassed GPI and struck an agreement with a local distributor, Barakat Foods & Tobacco, for the brand’s distribution, as it did not want the brand to be given to a company not controlled by it. However, the agreement ended in 2009. Philip Morris owns 25 per cent in GPI. The joint venture company GPI was set up by Philip Morris and KK Modi in 1979. (www.olymall.com)
Marlboro, available in lights and regular tastes, sells for Rs 100 a pack and competes with Classic from ITC and Benson and Hedges. ITC holds over 60 per cent share of the cigarette market.
(www.olymall.com) GPI also sells Pan Vilas tobacco masala and tea brand Tea City apart from making cigarette brands Four Square, Red & White and I-Gen. “We are looking to diversify into more products. We look to launch two to three new brands every year,[link widoczny dla zalogowanych],” Modi said.
GPI is likely to launch cigarette brands from the Philip Morris stable including the likes L&M,[link widoczny dla zalogowanych], Parliament,[link widoczny dla zalogowanych], Chesterfield and Bond Street.
GPI has two manufacturing units in Mumbai and Ghaziabad and is looking to soon open a third facility in Thane, near Mumbai.
“We are present in only 40 per cent of the country with a market share of 30 per cent, but this will increase gradually. Technology is growing in milder products and the aim is to compete with the best in the world,[link widoczny dla zalogowanych],” Modi said. Speaking about impact on cigarette demand following the recent ban on smoking in public places, Modi said, “Cigarette market growth has stabilised with the rise in population.” (www.olymall.com)
The current contract is believed to be worth $1 billion over ten years.
Marlboro is very close to extending their sponsorship deal with Scuderia Ferrari until 2014,[link widoczny dla zalogowanych], according to Autosport.
Philip Morris,[link widoczny dla zalogowanych], the largest quoted tobacco company by global market share,[link widoczny dla zalogowanych], and owner of Marlboro, wants to stay in Formula 1 as main sponsor of Ferrari F1 team for at least four years, despite tobacco advertising is forbidden in the Great Circus. The sponsorship deal with Scuderia Ferrari expires at the end of the season, but a spokesman of the company confirmed that the deal is on the verge of being extended.
“We see no obstacles in the way of extension. Our relationship with Ferrari is a real partnership built over a period of over 20 years of constant, mutual support,” said a Philip Morris spokesman for Autosport.
(www.olymall.com) “All conditions (for extension) have been met,” said a Ferrari F1 Team spokesman whenasked about the sponsorship deal with Marlboro, adding that the final details of the new deal have been set and the deal will be sealed shortly.
The new sponsorship deal might be confirmed the earliest on January 28,[link widoczny dla zalogowanych], when Ferrari F1 team will launch their new F1 car for the 2011 season. (www.olymall.com)
Tobacco advertising is forbidden in Formula 1 and in numerous European countries,[link widoczny dla zalogowanych], but Marlboro moved forward as Ferrari partners. Last year, the two parties were in the media spotlight with a scandal, after several organizations accused Ferrari that the Scuderia logo symbolizes the bar codes of Marlboro brand. Later, Scuderia Ferrari presented a new logo for their F1 Team, which will be used starting this season.

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[link widoczny dla zalogowanych]


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