Kool offshoot: Brown & Williamson's Kool Natural is its 1st first newbrand since Capri in 1986.

TOBACCO INDUSTRY ALSO-RAN MOVES TO FIRE UP MARKETING: BROWN & WILLIAMSON REALLOCATES $350 MIL BUDGET

As restrictions on cigarette advertising close in, Brown & Williamson Tobacco Corp. is lighting a fire under its marketing.

The country's No. 3 tobacco maker is ushering in sweeping changes in how it approaches marketing, from brand management to agency relationships to new-product development.

"The competitors we're up against -- Philip Morris, R.J. Reynolds Tobacco Co., Lorillard -- have more money and more infrastructure," said Robert Bexon, senior VP-marketing at the B.A.T Industries subsidiary, in a rare briefing. "We're in the ugly position of having to fight . . . with people like Philip Morris who have enough money to buy Spain."

At first glance, B&W's chances look bleak. Its entire cigarette …