The Stogie Guys

In this latest segment of Random Thoughts from the Humidor, I ponder the evolution of Drew Estate and if larger cigar companies that buy smaller ones are getting good value.

Rebirth of Drew Estate

Drew Estate’s tagline is “the rebirth of cigars,” but the most impressive rebirth is that of Drew Estate itself. It’s easy to forget, but no cigar company has changed more in recent years than Drew Estate. I was recently searching for some information and found a thread on a message board consisting almost entirely of seasoned cigar smokers complaining about Drew Estate.

The complaints consisted of rants about gimmicky flavored cigars (though Drew Estate calls their cigars “infused”).  Today that complaint would be inconceivable, but back then Drew Estate hadn’t introduced Chateau Real yet, let alone Liga Privada or Undercrown. For me, reading through that thread was a stark reminder of how Drew Estate has reinvented itself in a relatively short period of time to become a leader in the industry when it comes to “traditional” cigars, while still dominating the “infused” cigar market.

Thinking About Industry Consolidation

Along with the emergence of Drew Estate, we’ve seen many cigar makers reemerge from “retirement” to start their own companies. Some—Ernesto Perez-Carrillo and Cristian Eiroa—”retired” after selling their brands to larger companies. The newer, smaller, family-run companies are now creating innovative cigars, but my question is: Do the large cigar companies (General Cigar and Davidoff, in these examples) left owning their original brands (La Gloria Cubana and Camacho, respectively) get good value even after the principles who built the brands leave?

Certainly they feel the brands they purchase fill a void in their portfolio that they want to fill, and if they can keep the quality of the cigars high, they will keep a significant percentage of the customers who are loyal to those brands at least for a while. I suspect, though, that this type of consolidation isn’t as profitable as it once was. These days cigar smokers, particularly those that smoke cigars with the most regularity, are less loyal to any particular brand, and seem more interested in trying different cigars.

If the people most responsible for creating the identity of a given brand are no longer active in the brand (or even creating cigars for another company) is buying a smaller company still worth it? It seems perhaps that four or five years later all they are left with is a trademark and a list of customers. I don’t discount the largest cigar companies’ marketing expertise and distribution advantages, but I’d wonder if that is enough to make shelling out millions for a smaller brand worthwhile.

Maybe the future isn’t buying cigar brands or factories wholesale for millions of dollars, but partnering with companies to help them market and distribute their cigars. One example is Don Sixto, made by Plasencia and marketed and distributed by General Cigar. This may be a template for future partnerships.

–Patrick S

photo credit: Drew Estate

In this issue of “Random Thoughts from the Humidor” I pontificate on an odd cigar name, a Honduran puro, a legal victory for cigars, and a new supporter of Cigar Rights of America.

Would you smoke “The Gagger”?

I’m a big fan of K.A. Kendall’s 7-20-4 cigars. I’ve enjoyed both the original and the new line, and I think the “Dog Walker” size is not only a good little smoke but also clever branding. (Even non-dog owners can relate to a cigar that’s just large enough to enjoy on a short walk.) I can’t say the same for his newest size, “The Gagger.” I honestly can’t think of a worse name for a cigar. Maybe that’s what he’s going for, but personally I don’t see it working. Then again, I’m not a big fan of 60-ring gauge cigars, so I’m probably not the target audience.

Humo Jaguar

Speaking of cigars with unique names, I was skeptical when I was first told about Humo Jaguar, named after the Honduras cigar festival of of the same name. The cigar, which is distributed by Miami Cigar & Co., is a Honduran puro made by Placensia and was the winning blend at the 2011 festival, where cigars by various Honduran makers were tasted blind. It happens to be a fantastic cigar, one of my favorite from the recent IPCPR show, with depth, plenty of body, excellent construction, and quintessential Honduran sweetness. As someone who generally reaches for Nicaraguan and Dominican smokes and not for Honduran smokes (especially puros), it reminds me how good Honduran cigars can be. To that end, it certainly achieves its goal.

Free Speech for Tobacco Companies

While I’m not a lawyer, the recent federal court decision striking down the new graphic warning labels for cigarette packages strikes me as particularly important. Finally, a judge stood up for the First Amendment rights of tobacco companies by saying that they cannot be forced to put propaganda on their products. While courts haven’t always recognized it, the graphic warning labels clearly are not about providing facts to smokers so they can make an informed decision, but are designed to persuade people not to smoke. As someone who worries about the artistry of cigar boxes being ruined by similar anti-tobacco propaganda, it’s good to see a judge standing up to government attempts to force companies to propagandize their customers.

Altadis USA Steps Up

Kudos to Altadis USA for signing up with Cigar Rights of America and also making a “significant contribution” to IPCPR. Up until they signed on a few weeks ago, Altadis, one of the largest premium cigar makers, was the one missing cigar company from CRA’s list of supporters. Now that they’ve stepped up, all of the largest cigar makers are represented with CRA.

–Patrick S

photo credit: Stogie Guys

In the first 2011 issue of “Random Thoughts from the Humidor” I examine the politics of Santa’s pipe smoking, Mayor Bloomberg’s war on salt, and football:

Santa Smokes

The anti-smokers may have hit a new low. Joseph Banzhaf, head of the militant anti-smoking group Action on Smoking and Health (ASH), is politicizing Santa Claus to push his militant anti-tobacco agenda. Banzhaf claims in a press release that St. Nick was quitting his beloved pipe, even though a clay pipe has been associated with Santa Claus for as long as there has been a Santa Clause. In fact, the St. Nicholas Center traces Santa’s pipe smoking back to a book written by Washington Irving in 1809.

Dealing with Whiny Anti-Smokers

As I walked the snow-filled but unplowed streets of New York City after Christmas with a cigar in hand, I got a disappointing (if not unexpected) response from one of my fellow snowed-in New Yorkers. My fellow pedestrian felt the need to comment on how she “couldn’t stand the smell” of my Tatuaje. I thought about explaining to her how if she felt that way she should oppose Mayor Bloomberg’s smoking ban which forced me to take my smoking outside, or retorting that I couldn’t stand the sound of her shrill complaining. Ultimately, though, I just laughed and crossed the street when I was able to find a crosswalk that wasn’t blocked by a mountain of snow.

The Nanny State Doesn’t Just Impact Smokers

Mike Bloomberg hasn’t only declared war on smoking. He has also declared war on salt, soda, and other “unhealthy” foods. I couldn’t help thinking of this war on salt as the streets of New York remained uncleared and unsalted. My sentiment was summed up well in Eric Felton’s Wall Street Journal article, “The War on Good Taste” (worth the full read): “Perhaps if Mayor Michael Bloomberg spent less time keeping salt off our tables and more time getting salt on the streets, New York roads might have been passable this week.”

Cigars at the Ballgame

Yesterday I attended the Giants-Redskins game at FedEx Field outside Washington, DC. People complain about the gameday experience there, but one plus is the Montecristo Lounge, where you can fire up a cigar in the stadium. It amazes me that so few other stadiums have embraced cigar lounges. During this particular game, the lounge was full of ticket-holders drinking $8 beers and buying up cigars. How is this not a win-win for sports teams and their tobacco-enjoying fans?

–Patrick S

photo credit: St. Nicholas Center

In the latest issue of our “Random Thoughts from the Humidor” series, we ponder humidor maintenance, cleanliness, advertising, and blind reviews:

When I say OCD, I mean it in a good way. Lots of cigar smokers worry about summertime temperatures increasing the chances of a beetle attack. But you’re more likely to see your sticks ruined in the winter from extremely low humidity drying them out beyond repair. Even if you have mild winters, humidity levels will be low and the heat will drive them down even further. Check the hygrometer in your humidor frequently—every couple of days isn’t too often—and add distilled water when necessary.

Brush, brush, brush. I’m no dentist, but I’ve been told by more than one that smoking can lead to an increase of tartar and its associated problems. So, it’s always a good idea to brush as soon as practical after smoking. I don’t know how much it will lessen the buildup, but, hey, it couldn’t hurt. Any dental professionals out there feel free to weigh in.

Cleanliness is at least next to freshness. Whether you smoke inside or out, get rid of the ashes and butts when you’re done. Huge ashtrays are great, but no excuse for collecting tobacco detritus. It creates that unpleasant barroom-at-4 a.m. odor far more than the smoke.

Just wondering. Why are there cigar ads these days in nearly every magazine that aims at an upscale audience except Wine Spectator, the larger sibling of Cigar Aficionado? Aren’t fine wine and premium cigars considered one of the ultimate pairings?

I’m not sure I see the point. I’m always intrigued by cigar reviewing that’s done blind. But does anyone ever smoke that way? Knowing at least a little about the cigar you’re smoking is part of the experience—whether picking up a stick you’ve never heard of or laying out big bucks for a highly regarded limited edition.

–George E

photo credit: Stogie Guys

In the latest issue of our “Random Thoughts from the Humidor” series, I ruminate about the end of a partnership, the cigar community’s support of charities, and a new way cigar makers are helping cigar shops hit hard by taxes:

A Collaboration Ends

It’s sad to see Nosotros, the joint project of Illusione Cigars and Drew Estate, ending. The announcement came when Illusione’s Dion Giolito told Cigar Aficionado, “Illusione cigars will no longer participate in the Nosotros brand project with Jonathan Drew DBA Drew Estate…The Nosotros brand/trademark dies in the Drew Estate Factory as per contractual agreement, and will not be made outside the factory it originated.”

While we may never know exactly why this promising and well-received project fell apart so suddenly, it’s fair to speculate that it may serve as a warning for anyone considering a similar collaboration in the future. Cigar makers are not only a passionate bunch, the successful ones are also very particular about their product. Getting a release up to snuff so that one cigar maker will put his name on it is difficult enough. But you can imagine that meeting the standards of two particular makers would be infinitely more difficult.

What the News Doesn’t Report

You won’t see it in the newspaper when biased reporters are demonizing the tobacco industry, but there’s no denying that the cigar community is a most charitable bunch. Nearly every cigar maker supporters multiple charities, and many have their own charitable foundations. The giving spirit was certainly on display this Friday for W. Curtis Draper’s annual Little Puff event in DC. While an official total hasn’t been released, those in attendance saw tens of thousands of dollars raised for a three local charities, including one in honor of a Navy SEAL killed in action.

[UPDATE: Draper’s tells me the final total will be approximately $55,000 raised for the three charities, an impressive outpouring of generosity from the attendees.]

A New Way to Support Tobacconists Under Siege

A recent trend for cigar manufacturers has been to release cigars for sale in brick and mortar shops only. The idea is to protect stores that have to charge high sales tax on their products, while online and catalog cut cut margins and costs. Now Alec Bradley is taking that concept to a new level. Since New York retailers were just hit with a record high 75% tax on cigars, company president Alan Rubin is introducing a New York-only blend. It’s a good sign that cigar makers are going out of their way to support those hardest hit by anti-cigar legislation.

–Patrick S

photo credit: Drew Estate/Illusione Cigars