TOBACCO: ROYAL AGIO CIGARS Striving to stay ahead of the game
Royal Agio Cigars Global Travel Retail Manager Gertrude Stormink tells Jessica Mason the company has adapted its facilities to meet EU Tobacco Products Directive revisions, as new technology requires suppliers to be agile to attract new consumers.
Accordingly, ‘the next step’ was
the launch of its Balmoral Añejo XO handmade cigars, which have been developed exclusively for travel retail. Agio’s flagship items include this line, together with the aformentioned BDS range. “Balmoral Añejo XO cigars are
Above: Royal Agio Cigars office in Duizel, The Netherlands.
Below: Balmoral Dominican Selection Private Collection.
R
the result of an intensive blending process with exceptionally aged tobaccos,” says Stormink, describing the cigars as an Añejo blend crowned with a sun-grown Arapiraca wrapper. She describes how “after blending
oyal Agio Cigars has celebrated success over the past few years and sells a
broad range in global travel retail. This includes cigarillos such as the Agio Filter Tip, Mehari’s and Panter and its popular short-and longfiller Balmoral Dominican Selection (BDS), available as gifts within the Balmoral Collection and Balmoral Private Collection. “Since the launch in 2012, our
BDS line has shown an increase in distribution and sales year-by- year,” comments Royal Agio Cigars Global Travel Retail Manager Gertrude Stormink. “Thanks to a close cooperation
with Dubai Duty Free in 2017 and start of our brand ambassadors in their shops, we managed to achieve nice Balmoral sales growth. Stormink
reveals:
“Balmoral sales increased more than 10% compared to 2016 thanks to extended distribution and sales growth with existing customers”.
“Since the launch in 2012, our BDS line has shown an increase in distribution and sales year-by-year.”
Gertrude Stormink, Global Travel Retail Manager, Royal Agio Cigars
50 TRBUSINESS
the cigar, it takes another six months of aging to marry all its flavours”. It is the complexity that “cigar lovers will be seduced by” in addition to “notes of cedar wood, cacao, spices and underlying sweetness”. Stormink continues: “So far, the
products have already been listed by Dufry, Brussels Airport, Eraman, Dimensi (Kuala Lumpur), Qatar Duty Free and King Power. There are more airports to follow.” The company owes its thriving
business to the strength of its brand awareness in helping it to success on the global stage.
Meeting EU TPD2 However, there are always challenges. Agio – like other tobacco suppliers – has had to evolve to meet new regulations and adapt to the continually changing landscape.
Balmoral Añejo XO range
• Balmoral Añejo XO travel exclusive. This comprises an attractive wooden box with an assortment of five Balmoral Añejo XO handmade cigars: Two Petit Robusto FT, two Rothschild Masivo and one Gran Toro.
• Balmoral Añejo XO Petit Robusto FT. This contains four’count packs with four Balmoral Añejo XO Petit Robusto FT cigars.
• Balmoral Añejo XO Rotschild Masivo. This contains four count packs with four Balmoral Añejo XO Rotschild Masivo cigars.
• Balmoral Añejo XO Gran Toro. This contains four count packs with four Balmoral Añejo XO Gran Toro cigars.
FEBRUARY 2018 Technology in the category is
developing, meaning suppliers must be flexible to consumer and retailing needs. “Our factory has been completely
adapted and renewed in order to meet the latest [EU] TPD 2 legislation,” explains Stormink. “This was a big investment for Agio
Cigars, however [it was] necessary to fulfil our customers’ demands and further grow in the future as one of the leading worldwide cigar manufacturers.” With all eyes on the future of
the category, as well as the next regulatory challenge, the cigar and tobacco category in general is required to adapt and move with the times – even if it is to the detriment of the product itself. Nonetheless, people are still
interested in quality, flavour and product uniqueness. Despite perpetual regulatory burdens, tobacco remains a crucial footfall driver that possesses the credentials to continue influencing selling – particularly cross-category – trends in travel retail. For many legal-age smokers,
smoking on their travels represents a ‘timeout’ for relaxation and enjoyment. This is the type of demand the travel
retail tobacco industry will continue to harness. «
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