Cigar News: Southern Draw Announces CEDRUS Lancero for TPE

Southern Draw is bringing a new vitola to the CEDRUS line at TPE 2020, a lancero. This vitola joins the original “Hogan” 5.5 x 52 belicoso, as well as the more recent 5.5 x 54 Robusto, Toro 6.0 x 52, and Gordo 6.5 x 60. Within the rest of the other companies offerings, this lancero joins the Rose of Sharon Lancero, Jacobs Ladder Lancero, and Kudzu Lancero.

The Southern Draw CEDRUS Lancero is rolled at AJ Fernandez Cigar Co., in Estelí, Nicaragua. The blend uses a Besuki, Indonesia wrapper, Habano 2000 Estelí, Nicaragua binder, Piloto Cubano Viso from Dominican Republic, Criollo 98 Viso from Estelí, Nicaragua, Habana 92 Seco from Quilali, Nicaragua, and Corojo 99 Ligero from Jalapa, Nicaragua. The lanceor measures 7.5×40 and is box pressed. Only 50,000 cigars will be made for 2020. The come is standard Southern Draw Cigars boxes of 20 cigars, with a limited amount of 20 count refil bundles. Pricing is set at $10.20 and will ship April 15th, July 15th, and October 15, 2020.

“Southern Draw Cigars has been quietly enjoying this size for several years (in fact I am smoking one as I draft this PR) and plans to reveal the CEDRUS Lancero 7.5×40 in celebration of our first ever attendance at the Tobacco Plus Expo in Las Vegas, NV. From January 29th – 31st. The family and the CEDRUS lancero may be found in a quaint little corner of Booth #4059. We have previously offered a lancero size in each of our core blends including the popular Rose of Sharon, Firethorn, Kudzu and Jacobs Ladder and this new addition will complement the CEDRUS line nicely. Although lanceros reportedly do not make up a large portion of sales for most brands, Southern Draw Cigars has been blessed with solid sales over the previous five years, sales that are on par with our more traditional robusto and toro sizes. We will have a limited number of samples on hand and will be taking pre-orders for April and July 2020 deliveries,” says Robert Holt.

Southern Draw also announced in the same press release that they would not be increasing any prices for 2020. Sharon Holt said, “We wish to avoid spending too much time on price increase (and justification) discussions with our staff and current valued retailer partners. The family believes this is time that should be spent on value increasing discussions instead. Southern Draw has been blessed by the patience and loyalty of our partners and consumers, which more than warrants this important decision.”

The company added some bullet points leading to their decision to not increase prices:

1. SDC would like to hold on to our retailers and customers during this time of gloom and uncertainty in the industry by providing quality products at fair prices and an incentive for consumers not to turn to bargain or overall cheaper products.
2. A price increase would likely increase churn in the essential life blood of brick and mortar shops operating in states with higher than average tobaccos related taxes.
3. SDC has been blessed with a growth rate of >100% per year over the last 6 years, a 4% – 5% price increase now won't really matter over the next 5 – 10 years, however the churn and the loss of referrals and consumer support will adversely impact our growth rate.
4. A price increase on current products and with existing partners will take a lot of time and energy away from family, sales representatives and brokers, if sales are soft or growth declines, the opinion will likely be that it was due to the price increase.
5. A one-time price increase may solve immediate increased labor, legal and logistical costs but when it is done, it hasn't fixed any real issues. We need to support the industry more and proactively work together on long term solutions that benefit the industry.
   Southern Draw Cigars plans to introduce more expensive product offerings in 2020 and when it has been determined a price increase is necessary, the company will make every effort to telegraph it well in advance and then apply it equally to all products in an attempt to mitigate any issues.