Ashes-to-Ashes | An interview with Kurt Van Keppel of Xikar, Inc.

This month, we speak to Kurt Van Keppel, President of Xikar, Inc. If you've been following my blogs and my recommendations over the years, you know that I'm not just a fan of the company, I'm also a regular user of their products. At 44 years old, Mr. Van Keppel has help create a company that is committed to excellence, value and service. How did he do it in just over 10 years? Let's find out. - Gary Korb

As is becoming a tradition in this column, I'll start with the same first question I ask all of our interviewees: What was the very first premium cigar you ever smoked, and how was it?
KVK: I have early memories of driving with my father to the Plaza in Kansas City, to stop in Diebel's and pick up a couple of cigars. He would smoke one on Saturday and one on Sunday, always Dunhill. Of course I tried one then (to imitate his smoke rings) and then when my buddies started smoking in the early nineties, that's the first I bought.  It was a good cigar - Connecticut shade, mild and smooth.  A perfect "starter" cigar.

Tell us a little about your background prior to Xikar and how you started the company?
KVK: I ran business development in two different consumer products companies, one household chemicals, the other food. Essentially, I oversaw new market launches, new product launches and broker management. Perfect background for my job today!

Then in 1995, I approached my college buddy, Scott Almsberger, who is an industrial designer, with an idea I had for a new cigar cutter - one like a scissors, but without handles. We agreed it would have to be spring loaded with a locking mechanism.  Scott came up with the design, and we launched the company in January 1996.  Essentially, we set out to make a better cigar cutter.

We started the company with a $5000 investment and built the original prototypes in our garages. From time to time I have the pleasure of seeing one of those still in use today!  Scott and I both continued to work at our own corporate jobs until sales justified quitting. (Actually, I quit my job first and worked without pay for 18 months to get it off the ground.)

On a comparative basis, Xikar accessories are made to very high standards. What else would you say differentiates Xikar from the other cigar accessory manufacturers  in the industry?
KVK: We go several steps further than the normal standards of "fit, finish and function," setting us apart from other men's accessory brands, both in and outside the cigar trade.  First, we design and specify all our own products - ensuring the quality of materials, workmanship and function. Then, we add our own standards of form (good looking), and feel (ergonomic), to enhance the function of the product.

Finally, we stand behind everything we do - and I think this really sets us apart.  It's not just that we're confident in the quality of what we put out - but also that we want our consumers to have the same experience and expectations that we have when we buy something. This is our version of the Golden Rule.

How did you come up with the unique teardrop shape for the Xikar Xi cigar cutters?
KVK:  Scott came up with it, apparently while driving through the mountains one night on a ski trip. We had looked over many different shapes and functions before he showed me the drawing of this shape, which is exactly the same as the cutter today. I didn't know then, but now I stand amazed - it's very rare that a product design goes from pencil sketch to final production without a bunch of modifications.

How personally involved are you in the actual design of your products?
KVK: Scott is the designer, I'm the client. In fact, the original Xi cutter effort exemplifies this relationship. So, I add functional need and market demand point of view to the product design process.

We also share the job of the final "look," the non-functional part of design. Scott lived in Japan two years after college, and I lived in Europe. We bring elements of both into the product design, but agree to resist superfluous decoration. You may have noticed we also agree that we like brushed aluminum, stainless, wood and other exotic materials. 

The DEFIANCE™ cigar program is quite revolutionary. What inspired you to come up with the concept behind the DEFIANCE™ cigar brand, and how is it going so far?
KVK: We do a great job of listening to our customers and our consumers. In some cases, both were telling us, demanding that we come up with a great cigar. That feedback began years ago, and was no surprise; people want to see more products from us because they can trust the quality and thought that goes into them.

However, at the time we began considering those demands, we didn't have the expertise. Then at RTDA in 2006, Belinda Doyle, our national sales manager, introduced us to Jesus Fuego, a master blender from the Corojo farm in El Pinar del Rio, Cuba, who is already considered one of the best blenders in the trade. The result is a fantastic Nicaraguan blend cigar, just to my taste - medium flavor, medium body, with a smooth, full draw all the way through.

As for the name and the program behind it, you may recall that the anti-tobacco movement was starting to gain a lot of ground against cigars then, particularly with the anti-smoking ordinances. So, I thought of a cigar that would give back at the state level - to help fight against this movement that not only infringes on our rights to smoke, but also on our civil liberties in general. We support all fights against state and federal taxation and regulation of tobacco, but we also support the state retailer coalitions against anti-tobacco, because that's where we believe we can help do the most good. Belinda again contributed to the project - she came up with the name, which I think is a great fit. 

How much of a role does your personal appreciation for premium cigars play in coming up with new ideas for products?
KVK: Huge. I love great cigars. I love cigar shops (who doesn't?!). Above all, I love the people in the trade. Unbelievable camaraderie exists between us - consumers, customers, even competitors - all based on a plant which produces leaves that, with the input of around 100 people per cigar, delivers enjoyment, ease and pleasure. With this passion for the product and the business, it's quite easy to dedicate myself to consumer needs during the day, a then enjoy the fruits (or leaves) at night. I can say for both Scott and myself that the result is an absolute dedication for all things related to handling cigars, and cigars themselves.

Your latest venture was acquiring Madelaine Humidification Systems to create a Xikar line of state-of-the-art humidifiers. In what direction do you see the company headed next?
KVK: We strive to be experts in all things related to handling cigars, first cutting then lighting, storing, transporting and now humidifying. The Madelaine business was the last piece of  this strategic puzzle, and was an easy fit since its former owner, Jon Bixler, shares the exact same business philosophy.

After that, I think you should expect some careful development of cigar lines.

When you're not developing a new product or marketing campaign, what do you do to relax when you're away from the office?
KVK: I am an avid reader, mostly of history and of economics. However, the most recent, and best book I have read in years, is fiction: The Road, by Cormac McCarthy. It is at once thrilling, terrifying and heart-wrenching. A book all dads should read.  I also love the outdoors, particularly with my family, whether it is fishing, skiing, the beach or just in the backyard garden (and a good cigar at about 4:00 pm). I also love great food and great wine - it makes travel continue to be interesting. £