1. MARLBORO - Global
Brands Assignment
Strategic Brand Management
Global Brands Assignment
Submitted to: Submitted by :
Ms. JAYASHREE SUNDAR NISHANT SINGH (91039)
Prof. FREDA J. SWAMINATHAN
ASHUTOSH KUMAR JHA (91011)
FORE School of Management, New Delhi
2. MARLBORO - Global Brands Assignment
1. What were the factors that enabled the brand to flourish from launch to the current
period and build brand equity? You might wish to examine marketing mix elements
and brand resonance model critically in this context.
Marlboro, when launched in 1920‟s, was initially targeted at female smokers with tagline
“Mild as may”. After a break during World War II, in the 1950's Marlboro was relaunched,
this time with filters added to tackle stories about the negative health aspects of smoking.
In 1950s various adverts with healthy looking, outdoor type men began showing up among
which cowboy became an enduring iconic image and resulted in almost cult masculine brand
image. Over the years Philip Morris research has shown that sales have always increased
whenever cowboy image has been used.
In 1971, when the cigarette adverts were banned from television, Marlboro could equally
well recreate their Marlboro man adverts on newsprint while promotional campaigns of its
rivals, with jingles as central themes, suffered. Around 1972, Marlboro cigarettes became the
most popular brand in the world.
The standard product marketing mix includes four parts: product, placement, price and
promotion.
Product: The Marlboro line has great product depth. Although initially recognised with
strong and refined tobacco cigarettes, over the years Marlboro has incorporated products
offering different tastes and potencies in order to satisfy a number of different consumer
tastes. Marlboro reds have a more robust flavour. They are the stronger of the product items
within the line. The more preferred product item is the Marlboro lights, which are a medium
flavoured brand item. Other than this, Marlboro offers ultra lights, Marlboro reserve and
menthol flavoured and many other variants of these.
Price: Marlboro is positioned in the mid-priced market segment. Target market includes both
male and female brand-loyal adult tobacco users who like the Marlboro brand name and see
enough value in it to pay a slightly higher price for it.
Place: Cigarettes are considered to be convenience and shopping product. Most Marlboro
product users remain relatively loyal to the brand.
Promotion: With ban on advertising in print as well as through other media, cigarette
companies including Marlboro have had to use alternate means for promotion. Marlboro was
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3. MARLBORO - Global Brands Assignment
official sponsor of Ferrari Formula1 team. Besides they offer promotional free packs for new
product launches and discounted packs. Many countries have introduced ban on cigarette
brand names appearing in public. This has curbed sponsorships of sports events, music
concerts etc. Officially stated objective is not to convert non-smokers to smoking, but to
retain existing users of Marlboro and convert its rivals customers. In 2002, Philip Morris
decided to give up buying advertising spots in magazines and billboards to show its
responsibility towards society. Now it relies heavily on in-store advertisements, in-store
promotions and mail coupon promotions.
Because governmental and social regulations prohibit tobacco companies from publicly
marketing their products, Marlboro relies heavily on in-store advertisements, in-store
promotions and mail coupon promotions. Visual store advertisements are usually placed near
the checkout counter where the customer must go to ask for, and purchase, the cigarettes.
These displays depict the Marlboro logo and any current promotional pricing. All Marlboro
promotions are integrated to maintain and gain product loyalty, thus producing more profit
potential for the product. Marlboro has adapted their marketing approach in order to create a
brand that will endure the test of time.
2. Who is the target market for the brand? How was the brand differentiated in terms of
brand positioning, brand personality and brand identity?
With the lawsuits and governmental pressures PM has made its marketing more responsible
and its mission statements more and more about the adult smoker who chooses to smoke.
Marlboro has projected itself to be the most responsible and respected manufacturer and
marketer among cigarette companies. Their website clearly states their target to be adults who
choose to smoke cigarettes. U.S.A. is committed to acting responsibly in marketing its
tobacco products to adults who choose to smoke.
Brand Positioning: Marlboro man, since cementing its place in 1950‟s has provided
Marlboro with a distinct premium positioning with masculine, strong and outdoor loving
image. With product almost similar to its rivals like Camel, Lucky Strike and Winston and
priced slightly higher, only thing differentiating factor is perceived value consumers associate
with the tradition, strong image and premiumness.
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4. MARLBORO - Global Brands Assignment
Brand Personality: Marlboro, for years, with its Marlboro man has created a brand
personality of being „Strong but classy‟. Being in a product category which has health
implications, Marlboro‟s campaign has excited young adults to adopt devil may care attitude
and gravitate towards the brand.
Brand Identity: The Marlboro brand is named after Great Marlborough Street, the location of
its original London factory. Prominent red colour on the pack represents action and strength.
It also represents leadership. Inverted V on the top was in its initial days used to differentiate
hard cover packs of Marlboro from other soft cover packs, but have become an identifiable
feature in itself.
Marlboro logo design represents the symbol of rugged individualism, masculinity, and the
main thing that this logo produced was the image of the brand and not the product. And no
one can dispute that the Marlboro Man is a brilliant creation and a powerful imagery.
3. If you need to re-launch the brand, what positioning strategy would you suggest? Why?
Company can re-launch the brand into three different categories:
1) Marlboro Imperia: This categories of cigarettes would be premium ones and would
target ultra rich segments of society. They can set the price of this category up to Rs 8-9.
They can promote this category through movies showing ultra rich, successful and royal
people using this product.
2) Marlboro: They should continue with the existing medium range line as it constitutes
major portion of the sales.
3) Low end segment: Under this category the company can start producing low end
cigarettes for people who cannot afford to buy costly cigarettes. But in this case they
should take care that because of this category the company‟s brand brand image should
not get diluted in premium segment. So for the company should launch this category
with other brand name.
4. What insights do you have about brand extension strategies for the brand?
Marlboro in its almost 90 years of existence has created a very distinct position and imagery
in the minds of adult smokers across globe. To tap the market better Marlboro has extended
its line of products extensively. This line extension has been done globally as well as keeping
the local needs in mind.
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5. MARLBORO - Global Brands Assignment
But when it has come to brand extension, Marlboro has never extended its name to any other
product category other than cigarettes. This has also been done primarily because of strong
mother company brand name- Philip Morris, which is already into many diversified segments
which range from other cigarette brands like Benson & Hedges, Virginia Slims, etc to Food
and beverages and Beers as well. In 1980s Philip Morris acquired Miller beer brand. This has
led to very focused strategy for each brand in terms of brand extension.
We believe this conservative stance in terms of no brand extension has actually contributed to
Marlboro cigarettes and Marlboro man gaining cult status, not just in flower power
generation of 1950s but in minds of every subsequent generation. If there had been brand
extension this imagery would have been diluted and although strategy may have resulted in
short-term gains at that time, but would have not given as good results as Marlboro is giving
now. Hence, we believe no brand extension strategy on part of Marlboro has been an
excellent decision for the brand in long term.
5. Identify the three most important priority initiatives you would start tomorrow for the
brand. Explain.
Marlboro brand is capable of being extended into a variety of new product categories which
complement its existing positioning of outgoing self-confident male. Few of the categories
that would complement its brand extension plan is for instance, Marlboro jeans and hats
and belts. It would be good initiative to extending the brand into new product categories and
would be perceived to be a move to market Marlboro tobacco products to youth, and it would
actually make the brand more appealing to young adults. Having said all of this, we think the
Marlboro brand is quite strong and could be extended into a variety of product categories for
which Marlboro‟s distinct brand image and personality would seem to be a draw.
Marlboro can also move into products like shaving, skin care, deodorant etc..These products
would be basically male products and would be focused on male consumers as it goes with
the brand personality.
Thirdly the company can collaborate or acquire some brands which have the same brand
personality as Marlboro has. Company can use that brand to reach untapped customers and
promotions. For example Harley Davidson, which also has similar imagery in customer‟s
mind would be an ideal brand to acquire or collaborate with. This would actually help the
company in extending its brand without damaging or changing its image or personality.
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