Excise tax was increased from SEK1.25/unit of cigars and cigarillos in 2014, to SEK1.32/ unit in 2015. This represents a hike of 6%, which clearly contributed to escalating unit prices. One unit of cigars and cigarillos cost SEK16.66 in 2015, an increase of 6% from 2014. Retail volume sales growth remained more moderate at 1% in 2015, whereas there was 2% growth in 2014, just before tax hikes.
Scandinavian Tobacco Group A/S remained the clear category leader with a 46% retail volume share in 2015. The company sells and markets the two best-selling cigarillos brands, namely Bellman and Café Créme, which had a combined volume share of 50% in cigarillos in 2015. These two brands enjoy great distribution. Bellman and Café Créme are available even at convenience stores, not just tobacco specialists and through internet retailing as the vast majority of other brands are.
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This industry report originates from Passport, our Tobacco market research database.