Check out how it’s no longer cool to be Kool.

Reynolds American has given the Kool brand a demotion, moving it to what it calls a “support” brand – meaning it will actually get less support.

Before Tuesday, Kool had been a “growth” brand, which meant that, along with Camel and Pall Mall, it was one of the brands where Reynolds focused most of its marketing efforts.

Kool also had been Reynolds’ leading brand in the menthol cigarette market, a market that has been growing while the rest of the U.S. cigarette market shrinks.

Now Reynolds wants is leading brand, Camel, to be its leading menthol brand, too. So Kool gets kut.

But Kool can at least take heart that at Reynolds, the brand designations can fluctuate. Pall Mall was once a “support” brand, but Reynolds saw it growing even without the extra marketing dollars. So one day Pall Mall got the call to come hang out with the popular crowd. In other words, it was cool to be Pall Mall. 

(Additional reporting by Brad Dorfman)
    
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(Photo: Reuters)

Check out more signs of consumers being put in a vise.
 
Personal income rose 0.1 percent in June, the Commerce Department said. That was the lowest rise since April 2007.
 
And in fact, if it were not for the economic stimulus checks some consumers received in June, disposable income would have shrunk, the department said.
 
Meanwhile, costs continued to rise. The personal consumption expenditures price index — an inflation gauge — rose at its highest year-over-year pace since May 1991.
 
Consumer spending rose 0.6 percent in June, but actually fell 0.2 percent accounting for inflation. So consumers are spending more to get less.
 
Oh, and one more thing on the gloomy economic front, Challenger, Gray & Christmas Inc said planned layoffs at U.S. companies rose 26 in July from June.
 
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(Photo: Reuters)

 Check out what Wal-Mart customers have to say about the economy and how it is changing how they shop.
 
Reuters reporters went to Wal-Mart stores in New Jersey, Illinois and California this week to see how the weak economy (see today’s jobs report) has made them change how they grocery shop.
 
Here are some of their comments. For the full story, click here. For the Reuters Television video, click here.
“I don’t buy a lot of expensive meat anymore. I buy more vegetables, because they are cheaper.” — Fran Allen, 77-year-old part-time factory employee from Romeoville, Illinois.
 
“I buy what is on the list and nothing that isn’t on the list.” — Patricia Norris, homemaker in Romeoville.
 
“That doesn’t cover it…. I went over again … It’s almost impossible to stay on budget.” – Barbara Armour, whose family food budget is $350-$400 month, after shopping at a Santa Clarita, Cal. store.
 
“Something has to be done, because these prices are just getting ridiculous.” — Karen Stewart, hospital housekeeper from Plainfield, Ill.
 
“I’m making changes just because of how much I’m paying on gas…. I went to a gas station with $100 and came out with nothing.” — Jamie Dorgan, homemaker from Joliet, Ill.

“People might not buy clothes, shoes, jewelry, but they need food. People have to eat.” — Ravi Varma, a convenience store operator who uses the Secaucus Wal-Mart as his supplier.

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