Cigar Weekly Editorial: Why is Habanos S.A. Deleting Smaller Cigars
It has recently been revealed that Habanos S. A. continues to make changes to its catalog and is eliminating quite a few smaller models. Many of these are popular with "avid" smokers around the world and have been highly regarded for decades. Yet they are being eliminated in favor of the recent move toward new models with ring gauges in excess of 54. Cigar Weekly contributing editor Mcgoospot analyzes this trend in a CW editorial
By Mcgoospot, January 13, 2010
Not only are Habanos SA cutting certain sizes (very few lonsdales, coronas and even corona gordas remain) but they also seem bent on eliminating certain brands. Por Larrañaga has only the Petit Corona left, Ramon Allones is down to the last few models, Rafael Gonzales lost its Lonsdale (for which it was most famous) and now the Corona Extra. The Diplomaticos brand is now down to the #2; Saint Luis Rey lost the Double Corona in 2002 but it came back, however it has now eliminated the lonsdale, Churchill, Petit Corona and corona leaving the Regios as about the only hand made cigar still in the line. Bolivar lost the lonnie and now the Corona Extra. In addition, many of the other "non-global" brands are cutting vitolas (Punch eliminated three of its four corona gordas in 2002, for example).
It's clearly an attempt to drive the market towards the inexperienced smoker by eliminating the "boutique" or less recognized brands, and focusing on the "global brands" like Cohiba, Partagás, and Montecristo... Yes there are discontinued cigars here and there from the global brands but nothing like what is going on with the boutiques.
I really don't think it has anything to do with the Regional Editions or Limited Editions. It seems to have more to do with elimination of brands that aren't top sellers. The Partagás Serie du Connoisseur line sells like shit globally (even though experienced smokers know they are excellent cigars)-why? Because more people are smoking larger ringed cigars and the "connoisseur" name itself indicates to many new smokers a cigar that they, since they're not yet connoisseurs, would not appreciate or enjoy. If you look at Diplomaticos, you may see what I mean-they used to mirror Montecristo but traditionally were a bit less expensive and allegedly didn't use "as select" tobacco as Montecristo. The average Joe goes to his "brick and mortar" tobacconist and sees a Monte #1 and a Dip #1 side by side-which do you think he's going to choose?
Habanos S.A. is not like other advertisers either. Given their monopoly status, you rarely IF EVER see them advertise specific brands or specific cigars-rather they advertise "Cuban Cigars". It's not like Padron and Fuente who take out advertisements promoting their brand and specific cigars based upon the number of 90+ ratings they get at cigar Aficionado. As a result, the general public has no clue that Diplomaticos, Quai D'Orsay, Por Larrañaga or many of the "boutique" brands even exist, and much less that they are phenomenal cigars which may kick the asses of the similarly sized and priced global brands.
Here is a perfect example: you have a Christmas Party where a bunch of clients or business acquaintances attend. You decide to hand out Cuban cigars. You would get a much different reaction if you handed out a Diplomaticos #2 than you would if you handed out a Montecristo #2 or a Cohiba. The fact that it’s Cuban is one thing. The recognizable name, however, is what impresses the novice. These are guys that smoke 10 cigars per year and none are Cuban. They couldn’t tell the difference between a Monte #2 and a Diplomaticos #2 if their lives depended upon it.
These same guys go to Canada and what do they pick up? A cigar they recognize by name. Tell me if any of your novice Cuban cigar friends ever went to a place where Cubans are sold and bought a Diplomaticos, Ramón Allones, Saint Luis Rey, Quai D'Orsay, Por Larrañaga, or any of the other less familiar marcas.
The Limited Editions and Regional Editions are being sold to the experienced as well as inexperienced smoker who can afford them. These are the same people who buy the newest iPhone when it comes out just because they can afford it and want it (I tend to fall into this category). Buying these cigars doesn't stop me from buying the traditional favorites from the less recognized brands but I can't tell you the last time I bought a box of Diplomaticos #3s. These discontinued cigars (with a few exceptions like the Ramon Allones Corona and 898) were not very popular cigars to the general cigar smoking world. As a result they've been discontinued and in their place, in much smaller quantities, and much higher prices, are the RE and LEs for the experienced as well as the inexperienced wealthier smoker. It is no mere coincidence that the vast majority of the Regional Edition cigars come from these same boutique brands which have seen their selections limited by the cuts since 2002. Ramón Allones, Por Larrañaga, La Gloria Cubana, El Rey del Mundo, Bolivar, Juan Lopez, etc… Cuba is now using the REs to replace these discontinued cigars for the small group of us that bought the discontinued cigars in the first place. Remember the clamor when they discontinued the Por Larrañaga Lonsdales? Remember the excitement when that same cigar was released a few years later as a RE? I predict that many of these discontinued cigars will reappear in some form as a RE in the future, after the original cigar reaches cult-status (like the PLL did).
No one is to blame other than the fact that obviously not enough people buy the boutique cigars to make those cigars profitable. After all, that's all ANY business really cares about.
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