Bands and "Cost"

[Craig Mac]

I have heard the band/cost thing a few times now and I am curious as to how much value a band adds to a cigar as far as cost goes? I would think with any premium cigar the band cost would be pretty negligible right? I am sure that with smaller runs the cost would be more for the bands but does it really affect the price of a regular release $8+ cigar?

So is this "cost" savings to the manufacturer or to the smoker? And what $$ are we really talking here to the manufacturer and the smoker in real numbers?

 

[dpricenator]

Well Tatuaje is not a cheap brand, but I can't imagine the bands are any real expense. Of course they cost something, but only 1-2 colors of ink on small strips of paper. As you mention small runs could really become an issue if you had a very decorative band like a DCM, OPUS, ASton ESG..etc.. In the case the Viaje Skull and Bones band we see basic paperand black ink. With basic packageing. This saves money, but how much I do not know. Of course the big guys like thier extravagant bands because it makes it more difficult to fake thier smokes. And that saves money too. So to answer your question Craig, I have no F'ing idea, I just really want to get to 12,000 posts.

 

[Starz26]

I think the real cost come in the form of initial design, print setup, and labor to put them on.

 

[Craig Mac]

I think the real cost come in the form of initial design, print setup, and labor to put them on.

I understand that part as I do design/production 40 hours a week. My questions here(and trying to avoid a rant) are what is the actual(dollar value) of the band on a production run? and how much does the smoker pay(dollar value) extra for that band?

 

[dpricenator]

I understand that part as I do design/production 40 hours a week. My questions here(and trying to avoid a rant) are what is the actual(dollar value) of the band on a production run? and how much does the smoker pay(dollar value) extra for that band?

In the case of Gurkah....about 10$ per stick for the band. $5 for the cigar.

 

[scottYDucati]

LMAO! Thanks Dave for the breakdown!

 

[kockroach]

When we were in Nica, Pete was getting ready to talk with Pepin and Jaime about pricing for a couple of 4x40 size sticks that will be out soon. He asked the group if we thought they should be banded or not, as it would make a difference in the price.

 

[twenty5]

I will pay the extra 10 cents to know exactly what I have.

 

[Ahmed]

Interesting, but I don't really believe they effect the price. While there are a lot of cigars with simple bands costs twice the time those with fancy bands!!

 

[Craig Mac]

.... as it would make a difference in the price.

right, but what exactly is the difference is the question I have asked twice here(make that 3 times)?

 

[kockroach]

The rest of the guys from the trip, or of course Pete can correct me if I am wrong, but I think he said it was like a 50 cent difference.

 

[Alwayslit]

The price is negligible for the band, especially with the economy of scales in a large production run. Marketing of the band on the other hand.....that's a million dollars plus. This is the true BS that ups the price of a smoke.....imho.

 

[Craig Mac]

I found a place online that will do a full color band with text in three locations for $.08 a piece and that was the first place I looked. I am assuming this $.50 number is what it will cost the end user?

The price is negligible for the band, especially with the economy of scales in a large production run. Marketing of the band on the other hand.....that's a million dollars plus. This is the true BS that ups the price of a smoke.....imho.

That is what I am thinking too, sounds like there is a lot of BS that ups the price....

 

[kockroach]

I am assuming this $.50 number is what it will cost the end user?

I believe that would be the case...

 

[shuckins]

$7.50 for a box of 50...

 

[blooz4u]

$7 for a box of 50...

LOL... Nice Ron! :thumbsup:

 

[Jfire]

You're paying one xtra person on the line as well,

 

[dpricenator]

You're paying one xtra person on the line as well,

true, but at what cost? $3 an hour? 12 huors day = $36

they can put a band on in less than 10 seconds or so the videos have me believing.
so 6 bands per minute = 360 bands per hour. so 4320 sticks per day. this would come out to$0.0083 per stick in labor per cigar. Lets say it's half of the then cost of labor is $ per stick 0.016. Still less than 2 cents in labor. And go even further at half of that production and it's a whopping .03 per sitick. and that is a person banding 1080 sticks per day. I used to cook that many burgers at In-N-Out in one 12 hour day.... so don't tell me they can't put that many bands on that many cigars.

Also lets looka at what is obviously the least expensive band on any cigar on the market. The paper is super thin, has 1-2 colors of ink on it, with a basic design that has long since been paid for. You could make 5000 Tatuaje bands for $20 at Kinkos...

I don't want to rip on Pete, cause he's a good guy with good sticks, but I ain't drinking this Kool-Aide. To say my 1 box of Noellas cost $12.50 more with bands on them is crazy. In a factory operation like he has and having the bands produced in bulk, it is not costing an additional $0.50 per cigar. Not unless the profit just went up $0.35 $0.40 per cigar.

 

[Vegan702]

I'll take a 4 x 4 Dave, protein style.

 

[dpricenator]

I'll take a 4 x 4 Dave, protein style.

F'in A brotha. I love me some protein style...