Friday, March 15, 2019

Between the Leaves #2: Paul Schuett, Cigar Broker (Independent Rep) | by Andrew Perelson, a Kaplowitz Media Contributor

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Between the Leaves #2

I reached out to the author of the blog Irv CigarBroker who is, in fact, Paul Schuett, a multifaceted resident of Chicago, Illinois. Paul is fascinating because he consistently ties his musing to art, music, and literature. So that begs the question how did such a clearly esoteric, strange, and smart fellow get involved in the cigar industry? Let’s jump right into it:

AJP: Tell us in your own words what a Cigar Broker is.

PS: A Cigar Broker is simply an independent rep for a variety of brands. We are paid nothing by the manufacturer until we make a sale. Then a certain percentage is taken out of monthly sales. We are our own business. Mine, Irv CigarBroker, is not controlled by any manufacturer. I work for myself. I set my schedule, etc.

[My Two Cents: Clearly Paul has a touch of Pretty Woman in there as well as in his personality as a whole. "I say when," "I say who." This type of autonomy is very important to him. -AJP]

AJP: How long and when did you decide that this was the route you would take?

It took me a few hours to decide that I wanted to be a broker. Prior to working as a broker, I was an independent case-by-case sales to value insurance inspector for residential and commercial properties. It was a Tuesday. 2005. My commission schedule for the inspection business was lowered but my workload increased. Apparently, the companies thought that was an even exchange. I was working 7 days a week 20-hour days.

As a writer, I had already established a local cigar magazine and was writing freelance about boutique cigars. My decision was made -- call some of the ones I had a relationship with and ask them if they could use an independent rep. Three did.


AJP: How many brands do you represent?

PS: Currently I rep a variety of brands. I keep the number to myself.

[My Two Cents: Top Secret stuff... -AJP]

Is it tough as a broker to decide which brands are going to bring you the most success and does how you represent them change with the success or failure you have with your efforts?

You never can tell. It’s a gamble and I did a lot of that in the very beginning. Today, I am uber-picky and have a feel for when a cigar is going to make it onto shelves. But I’ve made some good decisions and some bad ones. I’m certainly not a wizard.

AJP: Is this primarily an in-person job or are you at a point with your relationships that travel has become more specific.

PS: For me, it is a solo run. Amelia. I do everything.

[Not sure wtf happened there, but I left it in because the Amelia line is great. -ed.]


I know you are based in Chicago. Where do you believe are the important regions for retailers and smokers? Do you go right at say a Manhattan or is that a saturated market. What percentage of time do you spend on the road?

Of course, there are some hole-in-the-wall shops that far out-produce the larger more famous stores. I go for them all. I’m out on the road at least two weeks of the month. But that varies. It can be very stressful.

Do the manufacturers limit your territory?

All areas are ripe for the picking.

I know you were recently invited to Honduras can you tell us about how that came about?

It was a sales meeting. That simple.

AJP: How long did you go for? What was the Tabacalero like? How many people and was it what you thought it would be? What did you do in Danli? You wrote that the country was very poor. Can you elaborate on that as well as that connection to the tobacco industry?

PS: The trip lasted four days including travel. [read “Gracias a Dios Que Tenemos Honduras” at Irv CigarBroker -ed] Your other questions can be answered by reading “Cigars may be Honduran Nirvana” as regards the conditions in Honduras.

Was this your first trip to South America? Have you visited the Dominican Republic? If so, what was that like compared to the trip to Honduras?

I have yet to travel to Nicaragua. I have been to Honduras before and the DR many times. The biggest difference between Honduras and the DR is the safety factor. Honduras can be considered very dangerous. DR, not so much.


AJP: Tell me how your love of art and other passions have been able to overlap with your career and passion for cigars...

I see the cigar world as a business of course. The broker business is fun. But it’s not a fantasy. I also see it as it compares with everything around me, art, literature, music, dance, my obsession with looking at the industry from a different viewpoint. One just must read my articles to understand that I think differently. 

Tell me if you would recommend I become a cigar broker as a career? If yes what would the first step be towards that end?

Sure. But it’s a challenge. The FDA is trying to destroy the market, the health nuts are just that -- nuts. Be prepared to work two jobs. I worked two jobs for many years as I built my book of business. And even then, it's an up and down proposition.

Is there a way to break into independent sales and how would you do that?

PS: Just do it. Call up a smaller manufacturer and ask them if they need a rep. But if you are looking for lazy days smoking cigars with the boys for your workday -- stay out of it. It’s hard work and it took me time to get adjusted to the industry and the retail side of it. It’s not for the romantic. It’s for the passionate. And even passion can wear thin. If you can't discipline yourself, this business is not for you.

Do you want to grow your business and add staff or is this a pure solo act?

I grow my business every day. Do I want the hassle of an employee? NO. 
[cue Amelia! -ed.]

Tell me your opinion of the industry as a whole? Has the quality gone down? Are there too many brands and SKUs? What would you like to see change?

The industry is solid. But like any business, you must have thick skin and a very clear sense that the industry is not run as a corporate operation. Yes, there are too many brands. Especially made by people who have not a clue of what they are doing. It’s that they think they do that’s the frightening part. What I would like to see change? That, my friend, is an opinion I must keep within my spirit.


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