Corky, i don't smoke or should i say i haven't for about 9 years now, but the price of cigs here are around £7.00 a packet so your $2.50 sounds like a give away ... 
I mainly make slimlines and sell them for £10.00, if i do a Celtic cross or segment it then they go for £15 .. The other pen that sells well for me is the Baron and this goes for £20 regardless ...