[Intl-tobacco] BAT's covert world-wide internet marketing plan (fwd)

[Robert Weissman]

BAT lures young smokers with 'devious' online scheme
Daniel Rogers
Wednesday January 24, 2001
Media Guardian
http://www.mediaguardian.co.uk/marketingandpr/story/0,7494,427372,00.html

British American Tobacco is plotting an extraordinary internet campaign to
drive unwitting young consumers to bars and clubs where it promotes its
cigarettes. The worldwide initiative has been uncovered by
MediaGuardian.co.uk and has been branded as "devious" and "sleazy" by the
anti-smoking lobby.

According to a leaked internal memo, the tobacco giant is looking to
invest =A32.5m in building a new website - codenamed project Horeca -
hotels, restaurants and cafes - aimed at young people world-wide.

It will be seen as a backdoor attempt by the British company to promote
its "premium brands" Lucky Strike and State Express 555 to young urban
smokers at a time when many countries are clamping down on tobacco
advertising.

A BAT spokesman admitted that a prototype site branded City Gorilla has
gone live in Poland this week. Venues promoting and selling BAT cigarettes
are given a prominent position on the site.

In a plain attempt at disguising its motives, the site will not be linked
to BAT or tobacco and will appear to offer independent advice on night
life.

BAT is, in fact, planning to strike favourable distribution or promotional
deals with outlets in return for giving them publicity on the site.

The memo, however, shows that BAT bosses are making a concerted effort to
conceal their intentions to promote cigarettes in apparently "neutral"
venues.

The memo states: "One perceived risk for the Horeca portal is the possible
association with BAT and thus tobacco. A key success factor is developing
a customer perception that the site is trendy and 'happening' Any adverse
news articles from trade or consumer press may prove damaging."

"It's disgusting that BAT is trying to position itself as an arbiter of
taste and cool when in fact this is a devious marketing scam. It's sleazy
and dishonest commercialism posing as style." said Clive Bates, director
of anti-smoking group Ash.

The BAT spokesman denied that the initiative was underhand.

"This site is not a tobacco marketing tool. We are not selling anything on
it and we wouldn't because there's no guarantee the audience would be over
18," he said.

"It's also not there to persuade people to smoke. The cigarettes will be
in the venues anyway and if you're going as a smoker you may smoke our
brands if you like."

Promotion at the point of sale is one of brighter opportunities for
tobacco marketers as many governments are becoming increasingly determined
to ban cigarette advertising altogether.

Once young people are directed to bars, clubs or restaurants they can be
encouraged to buy BAT cigarettes through prominent cigarette machines,
"cigarette girls" and other branded techniques.

The site will also be used to collect the personal details of smokers. The
data could then be used for the direct marketing of cigarettes.

This technique is known as "permission marketing" and represents another
potential loophole in anti-tobacco marketing legislation.

Tobacco manufacturers argue that it is a breach of human rights to deny
people the right to buy a legal product if they have given their personal
permission.

BAT's project is clearly ambitious. The memo states that the aim is to
attract 600,000 unique users by the end of 2001 and to achieve a top 50
rating as a Wap/mobile content provider within 12 months.

BAT believes it can build a database of 40,000 smokers by the end of year
one.