Tobacco in Ecuador
Euromonitor International's Tobacco in Ecuador market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change.
Buy online to access strategic market analysis and an interactive statistical database of duty paid retail volume and value sales, illicit trade volume, company and brand shares, pricing, distribution and production data.
Tables: 75 | Publication date: Nov 2009
Why buy this report
- Get insight into trends in market performance
- Pinpoint growth sectors and identify factors driving change
- Identify market and brand leaders and understand the competitive environment
Executive summary
Volume sales continue to fall
Volume sales of tobacco in Ecuador dropped considerably in 2008. By contrast, value sales grew as a consequence of major price increases. According to industry experts, new government legislation and taxation policies were the major reasons behind the fall in volume sales. Additionally, the market was negatively influenced by health trends, with increasing consumer desire to quit smoking further reducing volume sales.
Excise tax increase triggers new strategies for the leading players
In an effort to overcome the volume sales drop caused by the excise tax increase imposed in January 2008, industry leaders focused on new product development, redesigned marketing campaigns and brand images. The leading brands launched multiple new products and packaging innovations, including three new varieties of Marlboro cigarettes.
Multinationals continue to dominate
Tobacco in Ecuador is dominated by two international companies, namely Tabacalera Andina SA (a subsidiary of Philip Morris International Inc) and British American Tobacco (South America) Ltd. Both companies own the leading brands and have the highest advertising expenditure within the tobacco industry.
Independent small grocers is the most important distribution channel
Independent small grocers is the most important distribution channel for tobacco in Ecuador. The outlets are widely spread throughout rural and urban areas, and there is no class segmentation in them. As a result, they have the highest population reach and therefore the highest volume sales. This shows no signs of changing over the forecast period.
Consumption expected to slow down over the forecast period
Consumption of tobacco products is expected to slow down over the forecast period. The Ecuadorian Government’s new anti-smoking campaigns and legislation, combined with growing consumer awareness, will contribute to a continued drop in smoking prevalence, as well as in smoking frequency. The government has stated its desire to significantly reduce the hazards of second-hand smoke in public spaces by 2012.
Table of contents
TOBACCO IN ECUADOR : MARKET INSIGHT
EXECUTIVE SUMMARY
Volume sales continue to fall
Excise tax increase triggers new strategies for the leading players
Multinationals continue to dominate
Independent small grocers is the most important distribution channel
Consumption expected to slow down over the forecast period
OPERATING ENVIRONMENT
Smoking Prevalence
Table 1 Smoking Prevalence in Population 2003-2008
Table 2 Number of Smokers by Gender 2003-2008
Death by Cause
Table 3 Death by Cause 2004-2008
The Role and Effect of Cannabis/Marijuana
LEGISLATION
Legislative overview/FCTC ratification
Minimum legal smoking age
Tar levels
Health warnings
Duty paid packet marks
Advertising & Sponsorship
Smoking in public places
Litigation
TAXATION AND DUTY LEVIES
Table 4 Taxation and Duty Levies
PRODUCTION/IMPORTS/EXPORTS
Table 5 Trade Statistics – Cigarettes
Table 6 Trade Statistics – Tobacco Leaf
MARKET INDICATORS
Table 7 Illicit Trade Estimate 2003-2008
MARKET DATA
Table 8 Sales of Tobacco by Sector: Volume 2003-2008
Table 9 Sales of Tobacco by Sector: Value 2003-2008
Table 10 Sales of Tobacco by Sector: % Volume Growth 2003-2008
Table 11 Sales of Tobacco by Sector: % Value Growth 2003-2008
Table 12 Forecast Sales of Tobacco by Sector: Volume 2008-2013
Table 13 Forecast Sales of Tobacco by Sector: Value 2008-2013
Table 14 Forecast Sales of Tobacco by Sector: % Volume Growth 2008-2013
Table 15 Forecast Sales of Tobacco by Sector: % Value Growth 2008-2013
DEFINITIONS
Summary 1 Research Sources
LOCAL COMPANY PROFILES - ECUADOR
BRITISH AMERICAN TOBACCO (SOUTH AMERICA) LTD - TOBACCO - ECUADOR
STRATEGIC DIRECTION
KEY FACTS
Summary 2 British American Tobacco (South America) Ltd: Key Facts
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 3 British American Tobacco (South America) Ltd: Competitive Position 2008
TABACALERA ANDINA SA - TOBACCO - ECUADOR
STRATEGIC DIRECTION
KEY FACTS
Summary 4 Tabacalera Andina SA (TANASA): Key Facts
COMPANY BACKGROUND
PRODUCTION
COMPETITIVE POSITIONING
Summary 5 Tabacalera Andina SA: Competitive Position 2008
CIGARETTES IN ECUADOR
HEADLINES
TRENDS
DISTRIBUTION
COMPETITIVE LANDSCAPE
NEW PRODUCT DEVELOPMENTS
PROSPECTS
SECTOR BACKGROUND
Cigarettes: Illicit trade
Cigarettes: Price Bands
Summary 6 Cigarette Price Band Definitions
Cigarettes: Menthol/standard
Cigarettes: Filter/non-filter
Cigarettes: Carbon/standard filter
Cigarettes: Filter length
Cigarettes: Slims/superslims vs regular
Cigarettes: Pack size
Cigarettes: Pack type
SECTOR DATA
Table 16 Sales of Cigarettes by Tar Level: Volume 2003-2008
Table 17 Sales of Cigarettes by Tar Level: Value 2003-2008
Table 18 Sales of Cigarettes by Tar Level: % Volume Growth 2003-2008
Table 19 Sales of Cigarettes by Tar Level: % Value Growth 2003-2008
Table 20 Sales of Cigarettes by Price Band: % Volume Breakdown 2003-2008
Table 21 Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2003-2008
Table 22 Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2003-2008
Table 23 Sales of Cigarettes by Filter Vs Non-filter 2003-2008
Table 24 Sales of Filter Cigarettes by Carbon Vs Non-carbon 2003-2008
Table 25 Sales of Cigarettes by Length 2003-2008
Table 26 Sales of Cigarettes by Regular/Slim 2006-2008
Table 27 Sales of Cigarettes by Pack Size 2003-2008
Table 28 Sales of Cigarettes by Pack Type 2003-2008
Table 29 Cigarettes: Production, Imports and Exports: Total Volume 2003-2008
Table 30 Cigarettes Company Shares 2004-2008
Table 31 Cigarettes Brand Shares 2005-2008
Table 32 Sales of Cigarettes by Distribution Format: % Analysis 2003-2008
Table 33 Forecast Sales of Cigarettes by Tar Level: Volume 2008-2013
Table 34 Forecast Sales of Cigarettes by Tar Level: Value 2008-2013
Table 35 Forecast Sales of Cigarettes by Tar Level: % Volume Growth 2008-2013
Table 36 Forecast Sales of Cigarettes by Tar Level: % Value Growth 2008-2013
Table 37 Forecast Sales of Cigarettes by Price Band: % Volume Breakdown 2008-2013
Table 38 Forecast Sales of Cigarettes by Standard/Menthol: % Volume Breakdown 2008-2013
Table 39 Forecast Sales of Cigarettes by Tobacco Type: % Volume Breakdown 2008-2013
Table 40 Forecast Sales of Cigarettes by Filter Vs Non-filter 2008-2013
Table 41 Forecast Sales of Filter Cigarettes by Carbon Vs Non-carbon 2008-2013
Table 42 Forecast Sales of Cigarettes by Length 2008-2013
Table 43 Forecast Sales of Cigarettes by Regular/Slim 2008-2013
Table 44 Forecast Sales of Cigarettes by Pack Size 2008-2013
Table 45 Forecast Sales of Cigarettes by Pack Type 2008-2013
CIGARS IN ECUADOR
HEADLINES
TRENDS
DISTRIBUTION
COMPETITIVE LANDSCAPE
NEW PRODUCT DEVELOPMENTS
PROSPECTS
SECTOR DATA
Table 46 Sales of Cigars by Subsector: Volume 2003-2008
Table 47 Sales of Cigars by Subsector: Value 2003-2008
Table 48 Sales of Cigars by Subsector: % Volume Growth 2003-2008
Table 49 Sales of Cigars by Subsector: % Value Growth 2003-2008
Table 50 Company Shares of Cigars Excluding Cigarillos 2004-2008
Table 51 Brand Shares of Cigars Excluding Cigarillos 2005-2008
Table 52 Company Shares of Cigarillos 2004-2008
Table 53 Brand Shares of Cigarillos 2005-2008
Table 54 Sales of Cigars by Distribution Format: % Analysis 2003-2008
Table 55 Forecast Sales of Cigars by Subsector: Volume 2008-2013
Table 56 Forecast Sales of Cigars by Subsector: Value 2008-2013
Table 57 Forecast Sales of Cigars by Subsector: % Volume Growth 2008-2013
Table 58 Forecast Sales of Cigars by Subsector: % Value Growth 2008-2013
SMOKING TOBACCO IN ECUADOR
HEADLINES
TRENDS
DISTRIBUTION
COMPETITIVE LANDSCAPE
NEW PRODUCT DEVELOPMENTS
PROSPECTS
SECTOR DATA
Table 59 Sales of Smoking Tobacco by Subsector: Volume 2003-2008
Table 60 Sales of Smoking Tobacco by Subsector: Value 2003-2008
Table 61 Sales of Smoking Tobacco by Subsector: % Volume Growth 2003-2008
Table 62 Sales of Smoking Tobacco by Subsector: % Value Growth 2003-2008
Table 63 Company Shares of Pipe Tobacco 2004-2008
Table 64 Brand Shares of Pipe Tobacco 2005-2008
Table 65 Sales of Smoking Tobacco by Distribution Format: % Analysis 2003-2008
Table 66 Forecast Sales of Smoking Tobacco by Subsector: Volume 2008-2013
Table 67 Forecast Sales of Smoking Tobacco by Subsector: Value 2008-2013
Table 68 Forecast Sales of Smoking Tobacco by Subsector: % Volume Growth 2008-2013
Table 69 Forecast Sales of Smoking Tobacco by Subsector: % Value Growth 2008-2013