At first glance, investors might not see the similarity between Altria's (NYSE: MO) cigarettes and Procter & Gamble's (NYSE: PG) toothpaste. The key connection is that they are both cash cows being milked for the benefit of shareholders. But there is an important distinction here that income investors need to understand, and it explains why P&G's 2.4% dividend yield might actually be a better long-term choice than Altria's lofty 8.3% yield.

A cash cow product is basically an existing offering that customers buy on a regular basis. Generally, the product solves a basic need or desire. A good example of this is toothpaste, where P&G owns the Crest brand. 

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Source Fool.com