sample="quota" bates="2057089982" isource="pm" decade="1980" class="ni" date="19871025" NOV 15 '90 01:42PM PM OCT 29 '87 15:58 PHILIP MORRIS INC. NY NY LEVEL B P. 7/16 P. 02 PHILIP MORRIS INTERNATIONAL INTER-OFFICE CORRESPONDENCE 120 PARK AVENUE, NEW YORK, N.Y. 10017 TO: Mr. R. Roper DATE: October 27 1987 FROM: Ed Finch SUBJECT: MERIT II PRODUCT TEST VS. MILD SEVEN LIGHTS BACKGROUND This report is a summary of the performance of Merit II vs. Mild Seven Lights, Merit II is a Kent flavored blend without fluted filter and Mild Seven Lights represents the light positioning of Mild Seven. Mild Seven Lights is the leading growth brand in the Japanese market. MANAGEMENT SUMMARY Merit II performed at preference parity vs. Mild Seven Lights among the three smoker groups tested..Mild Seven smokers, Mild Seven Lights smokers and Caster smokers. However, the statistical split flavoring of Mild Seven Lights among Mild Seven smokers bordered on statistical significance. Merit II generated above average ratings among Mild Seven and Mild Seven Lights smokers and well above average ratings among the Caster group on the mondadic seven point "excellent"=1 to "poor"=7 scale. On a comparative basis the scales are all parity. Merit II also attained statistical parity among all three smoker groups on the Comparison with Regular Brand measure. Different user groups reacted differently to the qualitative. MILD SEVEN Mild Seven's tar delivery is in the 14-15mg. range. Thus it is not surprising that Mild Seven smokers found Merit II to be somewhat "insufficient in flavor." In addition, Merit II's "packing," "burning speed," and "sweetness level" was found to be wanting. On the other hand, Merit II's mildness level was deemed a bit better resulting in "less irritation." MILD SEVEN LIGHTS USERS This group, used to an 11mg. delivery generally assigned parity qualitative ratings but gave an edge to their own brands' "taste" and "flavor per puff." CASTER USERS Caster (7mg.) is, of course, the most successful low tar brand on the Japanese market. Caster smokers preferred Merit II on a wide variety of qualitative dimensions including "level of bitterness," "full/rich taste," "aromatic strength," "dryness" and in contradiction to the other two groups -- "flavor per puff." CONCLUSION Taken as a whole, Merit II tested well. However, its performance among Mild Seven users pales by comparison versus Merit III Which is shown under separated cover. Merit III is the clear choice if deemed economically feasible. EF/ab New York E. Butson L. Greher A. Liu J. Myraclo M. Serrano P. Wang B. Webb Richmond O. Harmemama D. Heretick C. Irving D. Newman Hong Kong D. Devitre G. Gibson T. Keim F. So B. Tuscher Japan G. Aelvoet Y. Suzuki