Davidoff Moves
In talking with Davidoff CEO Hans-Kristian Hoejsgaard at Pro Cigar, he noted the success of the Davidoff Nicaragua, saying it has been the company’s biggest success since its Cuban days. He said that the interesting thing about the Davidoff Nicaragua is that it is not cannibalizing other Davidoffs in that 70 percent of the smokers are new to the brand.
Perhaps because of this success, the company announced it is buying over 370 acres of farmland in Honduras and Nicaragua. The land is in Condega, Nicaragua and the Jamastran Valley of Honduras. The company says it will allow them to continue to get top quality tobacco while allowing it the opportunity to experiment with new and existing seeds.
Davidoff also bought land by its box factory in Danli in order to build a new cigar factory there. The plot is about 450,000 square feet for the new factory and the factory itself in the first phase will have 185,000 square feet, allowing for a 60 percent increase in production for Camacho, Room 101 and Baccarat.
And on the retail side, Davidoff continues to make moves opening flagship stores… the latest one comes in the company’s U.S. hometown of Tampa. It will be a 5,000 square foot store that includes a nice lounge and the biggest Davidoff store in the world. According to CEO Hans-Kristian every Davidoff store will have a lounge because he foresees a time when the only place you will be able to smoke a cigar is in a cigar store.
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