Output Explorer

FSC-115-B
7/1/98
SUBJECT:
Forsyth Labor Day 1998 Wholesale Promotion
Response Required?
X Yes
Sales
122
Date Required: July 24, 1998 - Return Promotion Allocation
1222
1222
Sheets to Customer Services
1223
1223
DISTRIBUTION:
125.
AVP
RSM
x x x
KAM
X DM
122:
AM
RBM
AE
Sales Rep
1229
PC
SC
PA
ROM
Retail Rep
_ ASM
ABM
Objective: Announce and explain Forsyth's Labor Day 1998 Wholesale Promotion.
Purpose:
. Promote Forsyth Products in Forsyth contracted Wholesale Accounts during anticipated
heavy discounting period by competitive savings brands
Labor Day Promotion is designed to protect its present volume base and, at the same
Time, gain incremental volume for our Forsyth Private Label Contracted Wholesale
Partners.
Promotion Timing: August 10 - September 4, 1998. Forsyth contracted Wholesale Account must fully
participate for the four week period of August 10- September 4 since competitive Branded Savings will be
promoted at this time. Please make every attempt to line up your wholesalers to promote during this time
Note: If, for some reason, your Wholesale Account cannot promote their Forsyth brand during this period,
the account may work the Labor Day Promotion in a four-week period (consecutive weeks) prior to
October 2, 1998.
Eligible Participants: Contracted Forsyth Private Label Wholesale Partners.
Promotion Intent: Reduce Forsyth brands' retail selling price by $1.00-$1.50 per carton/$. 10-$.15 per
pack below its everyday retail price for 4.4 weeks (targeted time period August 10-September 4) giving it a
$3.50-$4.00 per carton spread versus non-promoted Branded Savings price (assumes a minimum of
$2.50 per carton off-invoice plus $1,00-$1.50 buydown = $3.50-$4.00).
Promotion Details: Forsyth Tobacco Products will support the Labor Day Promotion by adding $.50 per
carton to participating contracted Wholesale Account's Alliance Accrual Fund if Account agrees to match
from its existing Alliance Accrual balance at an additional $.50 or $1.00 per carton. Forsyth's contribution
s based on an average of 4 weeks' volume calculated on shipments to direct accounts for the 13-week
timeframe of March 1998 to May 1998.
1. $.50 Contracted Wholesale Partner Match
A contracted Wholesale Account that has less than 4 months of accrual in its Alliance Accrual Fund
as noted on its allocation sheet (example, Attachment 1), based on an average accrual rate of $.55 per
carton, may match at the minimum of $.50 rate (Forsyth commits $.50 plus Wholesale Partner
commits $.50 equals $1.00 reduction). Even if a Wholesale Account has no money in its Alliance
Accrual Fund, it can participate based on either of the following reasons:
A Forsyth contracted Wholesale Partner can participate based on the accrual that will be earned
on the promoted product sold.
If a Forsyth contracted Wholesale Partner has changed its off-invoice status after July 1, 1998, to
$3.00 or $3.05 and does not have existing accrual funds necessary to match our $.50
contribution, it may participate in the promotion without matching if it uses all monies in reducing
everyday pricing.
51840 9311
Source: https://www.industrydocuments.ucsf.edu/docs/gjhpo000

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