2016 Product Overview & Presentation prepared for:
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1 2016 Product Overview & Presentation prepared for: 1601 W. Algonquin Road Mount Prospect, IL Tel
2 WHY INTER-CONTINENTAL TRADING USA, INC? Since 2004, Inter-Continental Trading USA has taken pride in not only producing the finest pipe tobacco and tobacco products, but also providing the very best in customer service and support. Our success can also be attributed to strong retail relationships and partnerships with the best wholesale distributors in the country. The commitment of standing behind our products 100% fulfills the experience our valued customers have come to expect and deserve. Come grow with us as we continue to reach our goal to become one of the most successful tobacco companies in the world. We invite you to partner with us and enjoy a success story of your own. 2
3 STRONG PARTNERSHIPS An integral key to Inter-Continental Trading s growth has been the strong partnerships with distributors and chain retailers. Competitive pricing, aggressive incentives and strategic marketing have combined to build a network that encompasses the largest nationwide companies and regional businesses alike. Trust and teamwork continue to be the core values of Inter-Continental Trading USA as we look toward growing future partnering opportunities and relationships. 3
4 CONSUMERS COUNT From the beginning, Inter-Continental Trading USA has understood the value of a loyal customer base. Along with regular couponing of OHM Pipe Tobacco and other ICT tobacco products, broader initiatives like contests and a Loyalty Points Program have both increased store traffic and introduced new customers to our quality/price/value combination. 4
5 MARKETING & EVENTS In today s buyer-empowered world, retail outlets need to seize every opportunity to build relationships, generate goodwill, and earn the trust of prospective customers. ICT offers a combination of an active social media presence as well as live person-to-person in-store and private tasting events designed to engage your customers, leaving a lasting, brand-focused impression of fun. 5
6 IN-STORE SUPPORT With in-store purchasing decision rates at 67%, it s all about communication. And when it comes to capturing the attention of consumers, ICT provides a full compliment of in-store promotional materials. Whether it s push/pull decals, authorized dealer signs, posters, shelftalkers or full displays, we ve got the supporting POS items that will help you complete the sale. 6
7 TRADESHOWS Inter-Continental Trading USA exhibits at all major association and vendor tradeshows, showcasing new product innovations and building strong business relationships. 7
8 PRODUCT CATEGORIES Pipe Tobacco Filter Cigars Tubes 8
9 OHM PIPE TOBACCO Inter-Continental Trading s flagship OHM Pipe Tobacco is made from only select, American-grown tobaccos. And along with a combination of quality, innovation and value, has quickly become the 3 rd largest selling brand in the U.S. OHM Pipe Tobacco comes in a wide variety of flavors and sizes, all packaged in a Fresh-Loc re-sealable bag to ensure freshness. 9 $14.4 Billion worth of OTP sold in C-stores in 2015 ***NACS State of the Industry Report 2015
10 OHM FILTERED CIGARS OHM Filtered Cigars provide the discerning customer with a distinctive choice and superior smoking experience. For retailers, OHM cigars represent a trusted name that means higher inventory turns, and the answer to sagging cigarette margins. OHM Filtered Cigars are made with the same exacting standards as our top-selling pipe tobaccos and are available in 12 exceptional varieties. Every OHM Filtered Cigar fliptop hard-pack is sealed to ensure quality, freshness and flavor. $2.6 Billion - in C-store sales of cigars in 2015 ***IRI
11 OHM DUO FILTERED CIGARS OHM DUO flavor-changing filtered cigars provide a unique smoking experience. Simply squeeze the filter and go from bold, full-flavored Red to cool Menthol, or choose the Red/Cherry combo for a different twist. For retailers, OHM DUO cigars offer an alternative to bland, everyday products and a way to reinvigorate the category. DUO Filtered Cigars are made from the same high-quality blends as our top-selling OHM brand for a name you can trust. 3.5% - unit sales increase in flavored cigars in 2015 ***The Nielsen Co
12 OHM FILTERED CIGAR DISPLAY OHM Filtered Cigars Displays are the perfect Point-Of-Purchase profit centers. Each display comes pre-loaded with 30 packs--5 packs each of our top-selling flavors: Red, Blue, Menthol, Cherry, Peach, and Grape. The small 6 x 7 footprint is ideal for retailers with limited counter space, or placement for impulse buys. This display, (where required), is also available in a Heavy Weight configuration of 10 packs each of Red, 5 packs each of Blue, 5 packs each of Silver, 5 packs each of Menthol and 5 packs each of Menthol Gold. 7% - rise in shipments of cigars per store, per week in ***McLane & Co
13 752 PIPE TOBACCO 752 Pipe Tobacco is well-positioned as an economy alternative to OHM. Inter-Continental s 752 line features ICT s exceptional American-blend tobaccos at an affordable price perfect for value conscious smokers looking for a high-quality, low-cost alternative to similar, more generic brands. 752 brand pipe tobacco is available in 4 distinct flavors along with vibrant, attention-grabbing 16oz and 6oz packaging % - of Millennials visit a C-store at least once a month. ***Tecnomic 2015
14 752 FILTERED CIGARS For retailers in need of a true advantage in the highly competitive filtered cigar market, they need to look no farther than 752 Filtered Cigars. 752 Filtered Cigars exceed the three key elements to satisfy today s value-conscious smoker: quality, flavor and price. Additionally, a bold package design captures attention, giving retailers a product that virtually sells itself. 752 Filtered Cigars are manufactured from select American-grown tobacco blends and available in Red, (fullflavor), Gold, (mild) and Green (menthol) flavors % - of small-cigar sales volume comes from price/value products. ***Tecnomic 2015
15 AU NATURALL E PIPE TOBACCO The Au Naturall e Pipe Tobacco and Filtered Cigar lines from Inter-Continental Trading USA feature custom-blended Golden Virginia tobacco with no preservatives or additives. Au Naturall e Pipe Tobacco is available in 6oz and 1oz re-sealable bags and include an industry exclusive 2-way humidity control pouch in each package to ensure long-lasting freshness. Additionally, the unique mason jar-look bag design offers retailers an edge in merchandising and cross-promotional opportunities. 40% - percentage of Americans that consume products labeled all-natural or having natural ingredients. ***CSP.net
16 AU NATURALL E FILTERED CIGARS Au Naturall e Filtered Cigars are the latest addition to the line and offer a premium cigar option that meets both the growing consumer demand for all-natural products and the higher profit margins retailers require. Au Naturall e Filtered Cigars are made with select Golden Virginia, all-natural tobacco blends, and are available in 4 outstanding flavors Red, Gold, Menthol and Perique. 24% - of small-cigar unit sales are premium-priced products. ***Tecnomic % - of all dollar sales in the cigar category come from premium-priced products. ***Tecnomic
17 FILTERED CIGAR Dealer Programs ICT Filtered Cigar Dealer Programs are customdesigned to fit retailers specific needs. Programs provide: Federally-compliant, nationally-know brand. Many varieties and flavor combinations to choose from. Custom couponing, rebate programs and promotions. Space optimization: more profit per square inch. Brand image materials, including posters, door decals, dealer signage and more. Inventory support through national distributor network. 70% - of small-cigar sales volume comes from price/value products. ***Tecnomic
18 COUNTERTOP & FREE-STANDING TOBACCO DISPLAYS Inter-Continental Trading USA offers a wide variety of OHM, Au Naturall e & 752 in-store displays. These pre-loaded Point-Of-Purchase arrays can be used to increase traffic, drive impulse buys or simply introduce a new product. But whether it s a space-saving countertop model or free-standing floor configuration, all ICT displays are truly designed with only one thing in mind: increasing profits million customers pre day visit C-stores. ***NACS State of the Industry Report 2015
19 SHARGIO TUBES Inter-Continental Trading USA also provides your customers the one key-ingredient to make the perfect cigarette: the Shargio Cigarette Tube. Shargio tubes are proudly manufactured in the USA to exact industry standards, using only the finest cigarette paper and filters making the one of the top-sellers in the market. Shargio Red, Blue and Green tubes are available in both King and 100mm lengths and packaged in both 200 and 250 count sealed cartons. 57% - of Millennials are tobacco buyers. ***Tecnomic
20 ACCESSORIES Shargio 3-Divider Available in King & 100mm Hinged plastic flip-top push button case Shargio-A-Matic Single cigarette tube hand crank injector. Makes King & 100mm. Shargio Injector with Storage Single cigarette tube injector & storage area. Shargio Push Button Available in King or 100mm Hinged plastic flip-top push button case Shargio Slide Rolling Machine Compact hand-crank tube injector. Shargio Deluxe Roller Single cigarette tube injector & base. Shargio WaterProof Keep cigarettes dry, clasps shut has a adjustable drawstring Shargio Rolling Box 70mm & 78mm rolling paper roller. Shargio Solo Roller Compact single cigarette tube injector. Shargio 2-Piece Plastic Stores King & 100mm Sturdy reversable pull apart case Shargio Hand Roller 70mm OHM Filtered Cigars Counter Display Shargio 2-Piece Aluminum Stores King & 100mm Pull apart metal case raised floral design Shargio Hand Roller 78mm OHM Pipe Tobacco Inside store Display Shargio Automic With Lighter Stores King Size Cigarettes. Metal cigarette storage & butane lighter Shargio Hand Roller 100mm 20
21 OUR VALUED PARTNERS Thank you for all that you guys do for us. Your customer service is top-notch and Syed always goes above and beyond to help! When we started with ICT, we carried only one size of OHM tobacco. Now we carry almost the entire line! Since then, we have added the Shargio tubes and have had great success with them as well. We look forward to many more years of success and growth together I am always impressed with the customer service provided by ICT. Whenever I suggest or recommend something, they are always quick to accommodate. They respond to questions immediately and are very quick to resolve any issues. I have had the pleasure of working with many different departments. Shargio is a great person with a mind for business. Malika is always so friendly when working with me on invoices. Darrell is great in putting through my orders and staying on top of the new brands and promotions, (I love his colorful s). Barb is the face on the street and she represents ITC with professionalism and kindness. Everyone in the company represents what a manufacturer should be. - Angela Steinke, Tobacco Buyer Topicz, OH - Louis Valentine, Wigley & Culp, MS 21
22 OUR VALUED PARTNERS Just wanted to let you know, it s great having Inter-Continental Trading in our corner supplying us with their line of tobacco products and accessories. The growth and success of my business has depended on the advice of what products to carry by their knowledgeable and professional sales staff. At Tobacco Express Depot, we have run the gamut from ordering OHM and 752 tobacco to OHM Filtered Cigars and Shargio Tubes, and yet we still look forward to ICT developing new products! I truly believe that Inter-Continental Trading has the best interests of me and my team in mind when it comes to supplying the right product at the right price. - Bob Fuller, President, Tobacco Express Depot I have been working with Inter-Continental Trading for over 5 years now and I wanted to take a moment to write and say how happy we are with our experience. We currently carry OHM tobacco along with Shargio tubes in over 13 of our stores and it has become one of our best sellers. As a buyer for Russell Oil, I work with many different suppliers and the professionalism of your staff has made my job a little easier. Keep up the good work! 22 - Terry Stevens, Buyer, Russell Oil Company, IL
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