WTER-QFFICE CORRESPONDENCE PHLLIEMORRIS_USA 120 PARKAVENLE NEW YCRK NY 10017.5592 1994 Miy DATE: Distribuion To: FrOM: Jennifer Lichtman` 4309L (week_endigl Nielsen RetaiL Pricing_Update SUBJECT: WeeklyHighlights Michigan state_excise_tax_increase the average national price gaps: Mchigan price gaps are below Currently the average net pack price gap berween Marlboro and the Lowest oulels_ Pick Discount brand is 49e 0r 3890, which is 9 or 6F below the national price gap. the average net carton price gap is S4.08 or 359, which is 652 or 69 carton outlets below the natonal price gap. CAHQNS PACKS MAFLBORO LOWEST DISCOUNT 11.56 '31 GAP .49 %GAP 35% 3 8 % compettive brands smaller in Michigan than nationally Basic' price gap with %c aS of 4/23). geography possibly due t0 Basic' high share n this price disadvantage by more than iOe with the Lowest Discount brand in Basic iS 20 4696 of C-stores in Michigan compared [0 709 of C-stores nationally. promotional support at retail One week prior to Michigan' +S0c excise tax increase and menthol brands (Kool has increased on private label brands (Americun and Lig get) and Newport) while RJR and B&W promotional activity has been prevalent over the past few weeks_ cartons Packs Stores Stores Avg $ AI Winston #NIA Winston Select Came Kool Newport Doral #NIA est Value Monarcn GC Liggett PIL #NA American PIL Premium prices_remained_stable_while_Lowest Discount decreased in C stores_ price remained unchanged for the ninth consecutive week at The naional Premium Pack 1e to $1,33, offsetting Lhe prior while the Lowest Discount pack price decrensed S1.9 increase 25 the lowest price point decreased in more stores than it increased in: week' [c to 58e or 43.690, The resulting price gp incrensed 1 offsetting the prior week' decrease The $ price gap incrensed in region average price remained increased while the Lowest Discount" Marlboro' Prce both Marlboro and the Lowest Discount' iverage prices unchanged_ In region lewving te price gap unchanged decrensed
WTER-QFFICE CORRESPONDENCE 120 PARKAVENLE NEW YCRK NY 10017.5592 DATE: Miy 1994 PHLLIEMORRIS_USA To: Distribuion FrOM: Jennifer Lichtman` SUBJECT: Nielsen RetaiL Pricing_Update 4309L (week_endigl WeeklyHighlights Michigan state_excise_tax_increase Currently Mchigan price gaps are below the average national price gaps: Pick oulels_ the average net pack price gap berween Marlboro and the Lowest Discount brand is 49e 0r 3890, which is 9 or 6F below the national price gap. carton outlets the average net carton price gap is S4.08 or 359, which is 652 or 69 below the natonal price gap. PACKS CAHQNS MAFLBORO LOWEST DISCOUNT GAP %GAP 11.56 '31 .49 3 8 % 35% Basic' price gap with compettive brands smaller in Michigan than nationally possibly due t0 Basic' high share n this geography %c aS of 4/23). Basic iS 20 price disadvantage by more than iOe with the Lowest Discount brand in 4696 of C-stores in Michigan compared [0 709 of C-stores nationally. One week prior to Michigan' +S0c excise tax increase promotional support at retail has increased on private label brands (Americun and Lig get) and menthol brands (Kool and Newport) while RJR and B&W promotional activity has been prevalent over the past few weeks_ cartons Stores AI Packs Stores Avg $ #NIA Winston Winston Select Came Kool Newport Doral est Value Monarcn GC Liggett PIL American PIL #NIA #NA Premium prices_remained_stable_while_Lowest Discount decreased in C stores_ The naional Premium Pack price remained unchanged for the ninth consecutive week at S1.9 while the Lowest Discount pack price decrensed 1e to $1,33, offsetting Lhe prior week' increase 25 the lowest price point decreased in more stores than it increased in: The resulting price gp incrensed [c to 58e or 43.690, The $ price gap incrensed in region offsetting the prior week' decrease Marlboro' Prce increased while the Lowest Discount" average price remained 1 unchanged_ In region both Marlboro and the Lowest Discount' iverage prices decrensed lewving te price gap unchanged