- I'm just thrilled to
have Michael Herklots
Speaker:sit down with us.
Speaker:Can you start, just get us
started before I light this,
Speaker:and tell me what I'm smoking.
Speaker:- You are about to light up
the Ferio Tego 2023 Elegancia.
Speaker:under Ferio Tego, we
do them once annually.
Speaker:So think wine, for example,
Speaker:every year you make
however much you can make,
Speaker:perhaps a white and a red.
Speaker:This is my white, so this
really is in the style
Speaker:of think White Burgundy, crème brûlée.
Speaker:You know, it's luscious and big and fatty,
Speaker:but creamy, and...
Speaker:- It's beautifully constructed.
Speaker:I'm looking forward to tasting it.
Speaker:- Let's hope it does
what it's supposed to do.
Speaker:- So, when you've been a
part of the cigar industry
Speaker:for as long as you have,
Speaker:people come to think of
you as a bit of a legend.
Speaker:Can you talk about the,
Speaker:well, the early days of this show.
Speaker:I mean, you mentioned
on our walk over here
Speaker:how many years it's been and-
Speaker:- Yeah. My first show
was 2003 in Nashville.
Speaker:I started in the business in 1999,
Speaker:so this is my 25th year in the business.
Speaker:And, you know, it's hard for me
Speaker:to describe the difference in show
Speaker:because it's so much a
difference in perspective.
Speaker:You know, walking on a trade
show floor at 23 years old
Speaker:and just seeing the industry in one place
Speaker:was an indescribable feeling
Speaker:as a young person
starting in this industry.
Speaker:Now, fast forward, I'm an old person
Speaker:continuing in the industry,
Speaker:but it's not less awesome,
Speaker:but it's much more
intimate at the same time.
Speaker:There's not a booth I pass where
I don't know someone in it,
Speaker:you know, my first show,
Speaker:I could make it from that end of the hall
Speaker:to that end of the hall in one stop
Speaker:because I didn't know
anyone and no one knew me.
Speaker:- Yeah. We just got stopped three times
Speaker:on the way over to your booth
Speaker:to make sure everybody was okay for you
Speaker:to get away for the conversation.
Speaker:- But isn't it great?
Speaker:I mean, there's not an industry like it,
Speaker:and all of the most meaningful
relationships in my life,
Speaker:save for my wife, my family,
and my friends growing up,
Speaker:they're all connected to this business.
Speaker:In fact, even my wife I met
connected via this business.
Speaker:- This is scrumptious by the way.
Speaker:- Man, I have to tell you,
when you just took a puff
Speaker:and I saw the smoke exit-
Speaker:- The mouthful of smoke that I got-
Speaker:- And that to me is
everything about that blend.
Speaker:When you can achieve body that is
Speaker:so mouth-fillingly full,
Speaker:and yet deliver flavors that
are so elegant and graceful,
Speaker:it's not an easy thing to do,
Speaker:but I'm proud of what
we've done with this.
Speaker:- So I don't know what the term is,
Speaker:but a lot of times when I
smoke a lighter wrapper,
Speaker:like, this a Connecticut wrapper?
Speaker:- Ecuador, Connecticut.
Speaker:- So, this lacks the,
Speaker:is it acidity that I'm used
to with other Connecticuts?
Speaker:- So, in true Connecticut,
Speaker:see, a Connecticut shade from
the Connecticut River Valley,
Speaker:there is, to my palate,
Speaker:a quite obvious, almost
astringency drying effect
Speaker:from that wrapper.
Speaker:- Right.
Speaker:- Almost a bitterness, as well.
Speaker:- And that's not a criticism,
Speaker:it's just the characteristics
of that wrapper,
Speaker:and the blends that
typically wear that wrapper
Speaker:tend to be lighter bodied.
Speaker:And, so, the behavioral influence
Speaker:of that wrapper is quite
dominant in blends like that.
Speaker:In this case, the wrapper from Ecuador
Speaker:has a bit more flavor,
Speaker:but that blend is not your,
what you would consider
Speaker:a conventional, mild
Connecticut shade-style blend.
Speaker:It's actually, there's
two Ligeros in that blend.
Speaker:One from Nicaragua, one from Dominican.
Speaker:And so the way that blend was composed
Speaker:was done such that it delivers
flavor without ferocity.
Speaker:It gives you body and mouthful-
Speaker:- "Flavor without ferocity."
Speaker:- That's a tagline.
- I like it.
Speaker:- That's trademarked.
- I like it. (laughs)
Speaker:- Brendan [Scott], trademark
flavor, not ferocity, but it's-
Speaker:- That's great.
Speaker:- It's pretty unique.
Speaker:- And it's very evident,
Speaker:and I knew this from cigars of yours
Speaker:that I smoked in your previous role,
Speaker:you're a quality freak.
Speaker:I say that in the nicest way.
Speaker:- No, no, well, it's funny,
Speaker:before we came on camera,
Speaker:you said that I'm a storyteller,
Speaker:and I really think of
each blend as a story.
Speaker:And in order for a
story to be interesting,
Speaker:there has to be a plot, you know?
Speaker:I mean, you can't be the same tone.
Speaker:It can't be, you know,
those are terrible stories.
Speaker:So you have to have a
story that has an arc,
Speaker:that has a start, that has a
middle, that has some conflict,
Speaker:and then that resolves in an ending.
Speaker:That's how stories are written.
Speaker:That's how music is written.
Speaker:I'm a musician, you know,
I think like a musician,
Speaker:I don't think like a cigar maker.
Speaker:And so creating blends,
Speaker:though not intentional at the time,
Speaker:I realize now, looking back,
Speaker:I create blends that have a
plot, that have a journey,
Speaker:that start one way,
take you somewhere else,
Speaker:that have a hook right from the beginning
Speaker:that compel you to take another puff.
Speaker:- So the Ferio Tego story,
can you talk about the launch
Speaker:and what's happened
since the launch in terms
Speaker:of your expectations and the
way things have worked out?
Speaker:- Yeah, we're in March 2024,
Speaker:which is month 30 of Ferio Tego in market.
Speaker:- Still a very young company
- Very young, man.
Speaker:However, if you look at what makes
Speaker:the Ferio Tego story so unique,
Speaker:we have a portfolio of blends,
Speaker:one of which dates back to the mid 1990s.
Speaker:I've been around 25 years,
Speaker:but our company is three years old
Speaker:and we're in market two and a half.
Speaker:And Ferio Tego's brand new.
Speaker:So, there's a very unique,
Speaker:depending on your
familiarity with our story,
Speaker:sometimes there's more or
less catching up to do,
Speaker:to understand how a
two-and-a-half-year-old brand
Speaker:can have a 30-year-old blend and you know.
Speaker:- Well, it's almost as though
the name could have been
Speaker:the Herklot's line.
- Well-
Speaker:- Because it's all based
on your reputation.
Speaker:Is that fair?
Speaker:- Look, I think 20 years, 20+ years prior
Speaker:to creating the company,
Speaker:the reason we have enjoyed
Speaker:the success that we've enjoyed
Speaker:is no doubt due to the 25 years,
Speaker:20 years served above board, right?
Speaker:In good faith and good
partnership and friendship
Speaker:and honesty and all that stuff.
Speaker:You know, when, when we started,
Speaker:we put our orders in in January of 2021,
Speaker:we were in market in October,
Speaker:and that was in the COVID boom.
Speaker:So the only way that's possible
Speaker:is because Quesada in Dominican,
Plasencia in Nicaragua,
Speaker:Agroindustrias in Honduras,
Speaker:Cigar Rings in the Dominican Republic,
Speaker:HumidifGroup and Cigar Box
Factory in Spain and Nicaragua,
Speaker:all believed in what this was gonna be
Speaker:and moved us to the front of the line
Speaker:at a time when they didn't
need more production.
Speaker:You know (chuckles) they didn't need it.
Speaker:They had it, everyone
was at maximum capacity,
Speaker:and here was this brand new business,
Speaker:but 20 years of valuable
partnership and honesty
Speaker:and all that I think came
together in what is now Ferio.
Speaker:So I wouldn't say that
it's just my reputation.
Speaker:Ferio Tego really is the embodiment
Speaker:of what doing business the right way
Speaker:for the right reason looks like.
Speaker:- Well I appreciate the self-deprecation,
Speaker:it's awesome to have a-
Speaker:- I just think it's more than just me.
Speaker:- Yeah, it's interesting
to talk to a musician
Speaker:that doesn't take credit.
Speaker:I mean, it's very unusual
Speaker:unless you're a bass player
or a drummer. (laughs)
Speaker:- I am a drummer.
Speaker:(both laughing)
Speaker:I do take credit, you
know, I take credit for
Speaker:a lot of the things that
I can take credit for,
Speaker:but there are really-
Speaker:- You can't marshal the
Hall of Fame producers
Speaker:that you just mentioned.
Speaker:You can't marshal that
Speaker:and turn around an order to a delivery.
Speaker:There's maybe five guys in the room
Speaker:that could pull that off.
Speaker:- Yeah, yeah. (chuckles)
Speaker:- I mean, you think that's fair?
Speaker:So, I accept the credit
Speaker:that years of working-
Speaker:- Showing up the way you show up.
Speaker:- Relationship and mutual respect
Speaker:and mutual admiration for one another,
Speaker:when I needed help, they came.
Speaker:- Well, and it's really-
Speaker:- And I didn't even mention Davidoff USA,
Speaker:Davidoff USA is our is
our distribution partner.
Speaker:So, you know, as we're talking
with our factory partners,
Speaker:trying to get production in
the middle of this COVID boom,
Speaker:we gave them forecasts based on
Speaker:what we thought we could
just figure out how to sell.
Speaker:And they said, "How do
you intend to sell it?"
Speaker:And we said, "We have no idea,"
Speaker:"but I know that we can't sell anything"
Speaker:"until we have production,
so start making,"
Speaker:"by the time they're ready,"
Speaker:"we'll have a solution on how to sell."
Speaker:And in that time, we sat
down with Davidoff USA,
Speaker:who I worked for for 10 years,
Speaker:and then worked with for the
next 10 with Nat Sherman.
Speaker:And they said, "Well, why don't we talk
Speaker:about a distribution agreement?"
Speaker:So, again-
Speaker:- That's a tremendous accomplishment.
Speaker:- For a brand new business.
Speaker:- Yeah. To put a brand in that level.
Speaker:- We're distributed by Davidoff USA,
Speaker:throughout the United States.
Speaker:We're manufactured in all
three major manufacturing
Speaker:countries of origin,
Speaker:by arguably some of the best
manufacturers on the planet.
Speaker:And we've shipped to, since inception,
Speaker:we've shipped to about 1,200 shops.
Speaker:- That's tremendous.
Speaker:- Last year we did just under 900 stores.
Speaker:Of course, some fell off
from the 1,200, some are new,
Speaker:and we're turning and burning
Speaker:with regular reorders in about 500 stores.
Speaker:- That's tremendous.
- It's awesome.
Speaker:- Yeah, you have so much to be proud of.
Speaker:It's very rare when you
have a line that's as young
Speaker:as Ferio Tego whose principal
is standing up in front
Speaker:of the whole association, you know,
Speaker:leading a session as you did.
Speaker:I mean, it's just-
Speaker:- That's been, I'll tell you
the, I'm sorry to cut you off.
Speaker:- No, go ahead.
- But when you say
Speaker:being in front of the association,
Speaker:one of the things I miss
most about my prior roles,
Speaker:because they always involved retail.
Speaker:As a retailer,
Speaker:I felt a certain responsibility
Speaker:to industry because you're
representing the entirety
Speaker:of industry when a customer
walks in your door.
Speaker:So that was a connection
that I always really,
Speaker:it really resonated with
me in a very valuable way
Speaker:because I had meaningful relationships
Speaker:with every manufacturer,
Speaker:because even though we were competing
Speaker:on one side of the business,
Speaker:we were also partners on the
other side of the business.
Speaker:And so when we started Ferio
Tego that piece went away
Speaker:and I was concerned
Speaker:that my ability to advocate for industry
Speaker:and be a meaningful part of
industry would start to diminish
Speaker:as I became just viewed
as more self-interest
Speaker:for my own company.
Speaker:And so I think to some
extent that's happened.
Speaker:I mean, people certainly see Ferio Tego
Speaker:as my first priority, but
the fact that I can still
Speaker:do Procigar, still do seminars,
Speaker:still do The Great Smoke and
lead some industry things,
Speaker:and the fact that the industry,
Speaker:by and large, is still feels
very comfortable with me
Speaker:advocating on their behalf,
Speaker:even if I do have a self-interest.
Speaker:It's cool.
Speaker:- Well, and it's intriguing
because you look at an industry
Speaker:that has a sort of an
older generation of leaders
Speaker:that are starting to
turn over a lot of their
Speaker:responsibilities to the next generation,
Speaker:and you've been here from such a young age
Speaker:that you're kind of a
bridge guy in your group.
Speaker:- I have an identity crisis for sure
Speaker:because I have longer standing
closer relationships with-
Speaker:- You're too young to be so old.
Speaker:(Michael laughs)
Speaker:- My peer group in the industry
is not my contemporaries.
Speaker:- Right.
Speaker:- You know, it's the generation
that was gracious enough
Speaker:to let me sit with them.
- Welcome you.
Speaker:- Yeah.
- Yeah.
Speaker:- And that's, you know, it's always,
Speaker:when you're new to a business,
Speaker:you remember the people who reach out
Speaker:and extend their hand and
welcome you in, right?
Speaker:Because you're a competition.
Speaker:So a lot of people look at new people
Speaker:and say, "What is this
guy getting in for?"
Speaker:You know, but everyone was new once,
Speaker:and then once you become established,
Speaker:you might remember the people
who were there for you,
Speaker:but sometimes you forget to turn around
Speaker:and see who you can be there for.
Speaker:And, so, as a 43 year
old with 25 years in,
Speaker:it puts me in a very unique position
Speaker:to be so close with the
legacy generation that is now.
Speaker:And even some of the ones that came
Speaker:before this current legacy generation,
Speaker:and yet be a contemporary
of my generation,
Speaker:who many are still new to the business,
Speaker:that I get to kind of bridge
those two social worlds
Speaker:is a cool thing.
Speaker:- So, just a short tribute
to those that are here
Speaker:and those that are gone.
Speaker:Who was the person or the people
Speaker:that opened the door for you
Speaker:that gave you the confidence
Speaker:and the excitement about cigars
Speaker:to build the legacy
you've been able to build?
Speaker:- Yeah. One of my first bosses,
Speaker:well, there was a guy named David Walker
Speaker:in Boston that gave me my
first real opportunity.
Speaker:Actually, the first, first guy was
Speaker:a guy named Butch McCarthy.
Speaker:Then he sold the business
to this guy David Walker,
Speaker:and David let me run this
little kiosk in a mall.
Speaker:Then a guy named David Kitchens hired me
Speaker:at Davidoff in New York after I worked
Speaker:for a time at the Gloucester
Street Cigar Company
Speaker:for a guy named Joe Pasquale.
Speaker:And it was David Kitchens who really,
Speaker:really saw in me something unique
Speaker:and gave me a lot of
opportunity at Davidoff.
Speaker:At the same time, this guy
named George Brightman,
Speaker:who was a pretty senior
at Cigar Aficionado.
Speaker:And he, too, was very supportive
Speaker:of my obvious enthusiasm for
the business at a young age.
Speaker:Those two guys were a huge help
Speaker:and they introduced me to everybody.
Speaker:The one that really I
connected with in now
Speaker:an absurdly close way is Manuel Quesada
Speaker:and the Quesada family.
Speaker:And he, you know, he really
is a industry father to me.
Speaker:I mean, it's so bonkers.
- No, he's the OG.
Speaker:I mean, he is such
Speaker:a gracious man.
- But he would sit me at the
Speaker:table with the original Procigar crew,
Speaker:Jose Seijas, Daniel Núñez, Benji Menendez,
Speaker:- Many who we have on our wall.
Speaker:- Right, right.
Speaker:- Yeah.
Speaker:- You know, even, I mean,
when you look at like,
Speaker:that's one of my favorite men
Speaker:on the face of the earth, Litto [Gomez].
Speaker:- Did you go to his
birthday party last night?
Speaker:- I did not go, I did not go.
Speaker:- I heard it was fabulous.
Speaker:- He was a new company, you know,
Speaker:we sold his products at Davidoff.
Speaker:I went to visit him in
the D.R. in 2003, 2004.
Speaker:He had two fields.
Speaker:His factory was a tenth
of what it is today,
Speaker:you know, I thought I saw
Rocky [Patel] here somewhere.
Speaker:- Rocky's part of it.
- Right, Rocky.
Speaker:- We only have so many
that fit on the wall.
Speaker:- Rocky, I've known
since 2000, since 1999.
Speaker:You know, he was banging on doors.
Speaker:Jonathan Drew was banging on doors
Speaker:and so we grew up in
the business together.
Speaker:In fact, someone asked me the other day,
Speaker:"Who are your favorite boutique brands?"
Speaker:And I said, "That's easy."
Speaker:"Rocky Patel, Drew Estate,
La Flor Dominicana."
Speaker:And they're like, "No, no boutique."
Speaker:I said, "My man, when I started-
Speaker:- Those were boutique.
- They were boutique.
Speaker:- They're not considered boutique anymore.
Speaker:- But they may be $50 million businesses,
Speaker:but they're still boutique, you know?
Speaker:- The way they think,
Speaker:the way they craft.
- When you start from scratch,
Speaker:and you remember every relationship
Speaker:and you're still
privately owned, you know,
Speaker:I mean, Drew Estate sold
to a larger corporation
Speaker:that is still privately owned, you know,
Speaker:and the principal Jonathan,
is still involved.
Speaker:That mentality is boutique,
Speaker:and who doesn't strive
to be bigger, right?
Speaker:I don't know A single
boutique on the planet
Speaker:that hopes they never grow.
Speaker:We all want to grow,
Speaker:but preserving a boutique
mindset, I think is-
Speaker:- So, the future for Ferio Tego,
Speaker:just gimme a little
background on the name.
Speaker:- Ferio Tego is the motto
on our family coat of arms,
Speaker:which is my ring.
Speaker:And in the bottom of the crest
Speaker:is the image of Hercules
striking the Hydra,
Speaker:and under that it says "Ferio Tego,"
Speaker:which translates to
loosely strike and defend.
Speaker:- It's a great name for a brand.
Speaker:- It's a great name for a brand.
Speaker:- I don't think it's an
exaggeration to say it's had
Speaker:a meteoric ascent from
the launch until now.
Speaker:I think it's pretty
remarkable what you laid out
Speaker:as far as what you've accomplished
Speaker:in a very short period of time.
Speaker:- We did a lot in a short period of time.
Speaker:It's a lot.
Speaker:I mean, we have 10 core blends
Speaker:with a handful of limited editions
Speaker:that we've released throughout the years,
Speaker:plus the two annual limited releases,
Speaker:Elegancia and Generoso, I mean,
Speaker:it's over 50 individual cigars
Speaker:that are within the portfolio.
Speaker:That's a lot for people to catch up on
Speaker:if we are completely new to them.
Speaker:For those who are familiar
with Timeless or Metropolitan,
Speaker:it's perhaps a little easier
to wrap your head around,
Speaker:but to start a relationship
like we're doing
Speaker:at this trade show,
Speaker:when someone walks over and says,
Speaker:"Tell me about your company,
I'm not familiar with it,"
Speaker:and we turn around and show, you know,
Speaker:a portfolio that is so robust.
Speaker:They say, "How do we start?"
Speaker:And then it's really,
Speaker:understanding their
business in a thoughtful way
Speaker:to figure out the right
entry point to our brand.
Speaker:- This is the first Ferio
Tego cigar I've ever smoked.
Speaker:I've smoked many of your
other cigars previous.
Speaker:I would like to personally
cordially invite you
Speaker:to become a part of this constellation.
Speaker:- Great.
Speaker:- When the time is right for you
Speaker:and become part of the For My Humidor.
Speaker:- Well, I'll tell you,
Speaker:I've actually already
submitted my photos and-
Speaker:- That's good.
Speaker:- We've used the package,
Speaker:the smallest size in a five-pack
that we used for years,
Speaker:that just between us
girls don't tell anyone,
Speaker:but that project is coming back.
Speaker:So we're excited
Speaker:to get it back in there.
- We won't tell anyone.
Speaker:- Right.
- We promise.
Speaker:- That's just between us.
Speaker:So, I'm very excited.
Speaker:And, listen, I'm a fan, again,
we go back to the beginning.
Speaker:I've known these guys-
Speaker:- Since you walked in.
Speaker:You started about the same time.
Speaker:- Yeah. I mean, we both were
newbies at shows together.
Speaker:- Yeah.
Speaker:- And it's been an
incredible relationship.
Speaker:I think we actually became
quite close via Fuente,
Speaker:which, of course, Carlito was
the first guy to go all in.
Speaker:- Well, Carlito is the man.
- In packaging.
Speaker:- Yeah. And funny enough,
Speaker:my first paid gig as a
drummer in Boston was for
Speaker:a cigar dinner for the Cigar
Family Charitable Foundation
Speaker:in Boston.
Speaker:- I thought you were gonna tell me
Speaker:you were jamming on Lansdowne Street.
Speaker:- No, it's just crazy, man.
Speaker:It's just like so many intersections.
Speaker:But, yes, I would love
to be on that board.
Speaker:- Yeah. It would be a
real privilege for us.
Speaker:- I have the entirety of my collection,
Speaker:entirety, from 2002.
Speaker:Every single cigar I own
is protected by Boveda.
Speaker:Every one in my house.
Speaker:Let me tell you, there's a lot of-
Speaker:- I didn't set you up for that.
Speaker:- No, no. It's a fact.
Speaker:In fact, you know, once again,
Speaker:when you respect each other for so long
Speaker:and root for each other for so long,
Speaker:when I suddenly found myself
having to take possession
Speaker:of the entirety of my
collection within three weeks,
Speaker:I didn't know who else to call but
Speaker:Tim [Swail] and Sean [Knutsen],
Speaker:and I said, I need real
help with humidity.
Speaker:I don't know where I'm
gonna put all this stuff.
Speaker:And they said, "Send me an address,"
Speaker:middle of the pandemic.
Speaker:And I got a-
Speaker:- Whatever it takes.
- Generous safety package.
Speaker:It was a true lifeline
to save my collection.
Speaker:- Well, and it's a privilege for us
Speaker:to be associated with you.
Speaker:And I want to thank you
Speaker:for taking the time to have a chat.
Speaker:- Oh, man.
Speaker:- We're gonna send a
crew over to your booth,
Speaker:get some more details
specific to the lines.
Speaker:If someone is interested in
starting out with Ferio Tego,
Speaker:this cigar is a great hello,
great place to start somebody.
Speaker:- It's a great place to start
Speaker:to really understand what Ferio Tego is.
Speaker:You know, it's approachable,
Speaker:but whether you're a first time
Speaker:or early cigar enthusiast-
- It's an elegant smoke.
Speaker:- Or you're a expert, you know,
Speaker:you're gonna experience something
Speaker:and remember that cigar afterwards.
Speaker:- Michael, I thank you very much.
Speaker:Look forward to the rest of the show.
Speaker:- Yes.
- Thanks for leading us off.
Speaker:- I'm glad we got to do it.
Speaker:- Yeah, really appreciate it.
(gentle music)