ANALYSIS: COMPANY CV - British American Tobacco

Address Globe House, 4 Temple Place, London WC2

Address Globe House, 4 Temple Place, London WC2



Date of birth 1902



Nationality Despite the dual nationality suggested by its name, BAT is a

Brit.



Marital status Single, although over the years BAT has notched up quite

a few conquests on its bedpost. Two recent ones are Rothmans

International of the Netherlands and Canada’s Imperial Tobacco.



Background BAT was formed to broker a truce between two warring giants:

Imperial Tobacco of the UK and American Tobacco of the US. After each

had raided the other’s home market, it was decided something had to be

done to stop such blatant attempts at fair competition. So British

American Tobacco was created.



Today, BAT is the world’s second biggest tobacco company after Philip

Morris in the US. It has a stable of more than 240 brands, selling in

180 markets. In the US, the company has been forced into paying huge

sums to cover the medical costs of people suffering from smoking-related

diseases.



The industry is also under siege from the European parliament, as it

prepares to ban tobacco ads.



Major brands and marketers In addition to famous UK names like Dunhill

and Rothmans, BAT also owns giant international brands such as Lucky

Strike, 555, Kent and Winfield. Mark Waterfield heads the International

Brand Group. The global marketing director is Jimmi Rembiszewski and UK

marketing director is Ralph Wittenberg.



Contact 020-7845 1000



Media agency Zenith recently won the centralised strategic planning and

buying for BAT’s duty-free and international business. Ben West and Sam

Davies work on the account, reporting to international media director

Tim Cunningham. Outdoor and international airport buying is handled by

Portland Outdoor. The man in charge is Alex Thompson.



Annual media spend BAT is secretive about its marketing expenditure.

However, we know it spends around pounds 1 million a year supporting

Dunhill and Rothmans in the UK press (AC Nielsen MMS). BAT’s account for

duty-free advertising is thought to be around pounds 8 million.



Media used The EU directive will soon outlaw tobacco advertising across

all media. Cinema, radio, direct mail and posters will go by July 2001.

Print will follow a year later, with sponsorship ending in 2003.

Worldwide sponsorship deals, such as with Formula 1, will stop in

2006.



BAT bought a Formula 1 racing team - British American Racing - to give

it a platform in the sport. The company is also using its BAT.com

website to support its brands and is likely to make more use of field

marketing to support in-store merchandising.



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