Cigar Store Indians are a form of American Folk Art dating back to the 1800s. They were commonly placed on the walk in front of tobacconist shops to direct illiterate customers to the shop. Also, since there were so many immigrants that couldn't read English, it was common to use visual trade signs such as a carving instead of written signs to bridge the language barrier. The cigar store Indian was said to be the most popular trade sign but other businesses used trade signs too. An Indian was chosen for a tobacco shop because it was Indians that introduced tobacco to early explorers of the Americas.
These Cigar Store Indians, standing outside shops, served as an indicator to the Native Americans that the shopowner inside would trade with them.