Dispute Between Electronic Cigarette Maker And Reynolds Settled
Last November 2012, Reynolds American (based in Winston-Salem, North Carolina) filed a legal case against an electronic cigarette maker, SAS Technologies. The accusation involved infringement of the salem and camel brands of Reynolds. SAS Technologies is performing business as SaveA Smoker.com that is promoting and selling flavored liquid nicotine to be used also on the company’s MaxxVapor Pro electronic cigarettes.
The defendant was John Thompson who allegedly advertised, sold and distributed products that had ‘camel’ and ‘salem’ in the names. This trademark infringement was filed by Reynolds because it has been using the trademark name camel for already 100 years not only for traditional cigarettes. Salem is the name that Reynolds has been using for already 57 years on tobacco products.
Recently this dispute involving the subsidiary of Reynolds American, Reynolds Innovations Inc, and the electronic cigarette maker John Thompson ended in a settlement. The judgment was made on June 10 in US District Court Middle District of North Carolina. The settlement includes payment to be made by the electronic cigarette maker and marketer for an unknown amount to Reynolds American.
Recently About Reynolds American
This presence in the news is probably just in time for Reynolds American. This dispute settlement with the electronic cigarette maker gives the company a sort of exposure in the market, necessary to increase the number of people who would be interested on purchasing and trying out its own brand of electronic cigarettes, Vuse.
Last May, RJ Reynolds Vapor Co., has started to sell Vuse electronic cigarettes initially and limitedly in Tarheel Tobacco stores in Winston-Salem, Clemmons and Danville, Virginia. It expanded its market testing in Colorado on the first day of this month.
Reynolds believes that it was able to develop an electronic cigarette product that is different from the rest in the market. Through this Vuse product, adult smokers will be convinced to make a switch for good.
RJ Reynolds Vapor Co. president Stephanie Cordisco said that the expansion in Colorado is a representation of the company’s soon major national rollout. Despite limited test markets, this expansion will include complete marketing campaign involving television and printed advertising, merchandising alternatives, prepaid recycling program. The recycling program will enable Reynolds Vuse users to send their power units and also their used cartridges to be recycled for free by the company.
Colorado was chosen by the company because it has already established a good retail network there, making it an ideal place because of the consumer mix in the electronic cigarette products. According to them, the company is seeking for ways to make Vuse different from all similar products in the market. It has researched and developed with a great team in accordance to certain objectives. Among these aims are to develop something that will reflect an experience similar to smoking, to meet the Reynolds high internal standards and stewardship and to do all these in a cost-efficient approach, thereby, allowing the product to be manufactured in the US (but still remain at a price that can compete with electronic cigarettes manufactured from China).
According to the company CEO and president Daan Delen, Vuse will change the industry’s game. The company’s research team aimed to deal with the major complains of electronic cigarette users, which is vapor quality. Complaints were said that these other products in the market have vapor that declines in quality as the life of cartridges is reduced. To address this problem, Reynolds has developed and equipped Vuse with microchips in the cartridge and power unit. These microchips communicate with one another with rate of 2000 times in just one second. This will ensure the user of a satisfactory experience in each puff. The final puff will be as good as the first. With this feature, Vuse will certainly dominate the market.
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