This summer Philip Morris, which supplies about half of America''s cigarettes with its Marlboro, Benson & Hedges, Merit, Virginia Slims, Parliament and Basic brands, introduced the Accord battery-powered cigarette, a pricey gadget that reduces sidestream smoke, ashes and most lingering odor. For $40, consumers get a carton of specially made cigarettes, a battery charger, an instructional video and a "puff-activated" electronic lighter that holds the cigarette and allows smokers to wait hours between puffs. Since Accord burns at a lower temperature than normal cigarettes, it could introduce fewer harmful chemicals to the body, but the packaging currently does not make health claims. The high-tech smoke is not blowing their socks off, spokespeople say, but they plan to keep working on it and expanding awareness through direct-mail of the product, which has been five years and over $200 million in the making.A reduced-smoke cigarette is also in the works for B&W, a company representative said, but additional details were not available at press time.

Last month, B&W launched Kool Natural, containing 100 percent natural menthol and other natural flavors. "We believe that Kool Natural meets the taste preferences of consumers who are seeking natural flavors in their cigarettes," said Bob Bexon, senior vice president of marketing for the company, which accounts for about 16 percent of the U.S. cigarette market with its GPC, Misty, Capri, Carlton, Lucky Strike and Viceroy brands. Kool Natural will be available in Kings, l00s, Light Kings and Light 100s. B&W controls about 26 percent of the U.S. menthol market, according to company reports. Kool Natural will be supported with magazine, newspaper and billboard advertising, as well as in-store promotions. &W is also planning to re-position its Canton brand, which has 1.2 percent of the market, and up the profile of GPC, the best-selling discount brand with 6 percent of share.Lightening upEven the "microsmokes" are going light, as Santa Fe Natural Tobacco Co. extended its Natural American Spirit line this January with a light cigarette, which has already captured 80 percent of the company''s sales, and in August with a menthol light. An ultra-light is slated for launch next January, according to Ron Tully, vice president for public affairs, who explained, "There is a large segment of consumers who prefer lights, and we will have both."

RJR claims its merchandising program allows retailers to "sell not only more R.J. Reynolds tobacco products, but also to increase retailer''s sales in the entire tobacco category and total overall store sales," said Jim Boehm, senior manager of trade marketing."Philip Morris competes vigorously, but is in compliance with the law, and Retail Leaders is no exception," said PM rep Mike Pfeil. "The program offers retailers choices and flexibility to achieve a strong category presence in their stores and restrict youth access to smoking."In April, Philip Morris began its 15-cent per carton payouts to Retail Leader participants with non-self-serve tobacco sections, an effort aimed at reducing youth access to cigarettes. Retailers were required to post" We Card" signs, to certify that employees participate in an age-verification program every six months and place in-store cigarette ads no more than two feet away from tobacco products. While the new rules are garnering cautious praise from anti-tobacco activists, some marketers argue that by reducing the retail footprint of all cigarette brands, Philip Morris is grabbing first dibs on the prime shelf and signage spots behind the counter, and continuing to shrink the profile of competing brands.

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