Jacek Olczak: Yes. I think there was look – there was a – we’re looking also both as a – we are also looking at this, not only on IQOS on a standard basis but IQOS and the ZYN and other parts of the Swedish Match business. And I believe, the obvious, the questions of the optimal distribution and I believe this can pair very well and enhancements already to the distribution which serves not only in a future IQOS but can and will serve actually in growth opportunities today, there is the whole digital aspect, there is a better management of the pricing promotions. The whole consumer piece, right, which is so strong behind an IQOS success. I mean, that’s something which we are preparing the infrastructure for.
Vivien Azer: Okay, thank you.
Jacek Olczak: Thank you, Vivien.
Operator: We’ll take our next question from Owen Bennett with Jefferies.
Owen Bennett: Afternoon, gents. Hope you all well.
Jacek Olczak: Good afternoon, Owen.
Owen Bennett: Yes my question is more a bigger picture, longer term, one around the U.S. and the overall RRP space, now you’ve got control of your own destiny. I was hoping to get your thoughts on how you see RRP overall develop longer-term across the different categories? Whether you see some more attractive than all these. And do you still think you could envisage or when we introduce into the U.S., obviously bearing in mind, the limited traction it got with Altria, and then just linked to these U.S. RRP plans, any update on timing for a PMTA submission with your VEEV product. Thank you.
Jacek Olczak: Yes, so I start with the last one. We plan to submit the IQOS ILUMA to PMTA to FDA in the second half of this year. Now with regards to the – to potential, look, we think that an IQOS strength, which is really if you go to the core of the smokers today, when they really enjoy this pure unaffected by any flavors et cetera, tobacco flavor and so on is undisputed. Every market you go, IQOS exactly delivers on the flavor, taste expectations to this audience. And that’s also I believe a critical factor in IQOS high conversion rate. And how many people fully adopt the IQOS and not only that they are leaving cigarettes fully behind them, they don’t even attempt it on occasional basis to go back to cigarettes, okay, so that’s the core and I believe for the audience which with the smoking audience, which you have in the U.S., IQOS perfectly fitting into this whole thing obviously the other platforms, which offer you the different ritual, different experience, the e-cigarettes and the pouches.
The e-cigarettes usually more driven by the flavors, and obviously absence the pure tobacco natural type of a flavor, it’s – that’s the challenge, which partially in our opinion is behind more of the dual consumption that the full conversion, but also the products are under development and they’re getting better. And pouch is actually on the risk continuum of the product. I mean, it’s an average important offering for the consumers, who really want to reduce significantly exposure and potentially the harm by – while enjoying the product. So I think, there is this complementary, there is this complementary role of each of these platforms with, you know, also that we’re working on our platform forward because technically which is Leaf and the Viva products, the electronic cigarette segments going through this own dynamics, is this mix of the flavors, disposable et cetera, it’s not necessarily great for the economics, but partially also because of the slower conversion rate compared to the other platforms.
So we have said it from the very beginning of our transformation, if you follow us seven, eight years ago, I recall that the – one of the first investors conferences, when we announced the purpose of that we want to go smoke free, we have said that there is the room for every platform at the different moments for different consumers and our job is at the right time to deploy this platforms and the leverage, the opportunities and the benefit to the smokers.
