NEWS ANALYSIS
Sri Lanka: brand launch runs into protest
d.simpson@iath.org
| The first 150 words of the full text of this article appear below. |
For many years, Ceylon Tobacco Company, a subsidiary of British American Tobacco (BAT) enjoyed a near monopoly in Sri Lanka, whose beautiful countryside and historic cities it freely despoiled with promotion for its Bristol cigarette brand. But recently, in a seemingly unlikely backward step reminiscent of its colonial past, BAT decided to write off years of investment in Bristol by changing the brand’s name to Viceroy.
Bristol’s sales had been falling, no doubt partly due to increased tobacco control activity, and recent brand promotions had not achieved their targets. In addition, efforts to encourage Bristol smokers to switch to BAT’s more profitable and highly promoted Gold Leaf brand had partially backfired due to strong community smoking cessation programmes targeted at low income groups under the government’s poverty alleviation programme. BAT seems to have been losing its lower-priced market segment, seeing Viceroy as the way to recapture it. BAT has also
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