Tobacco

Technological advances in 2024 will continue to reshape consumer behaviour. This annual report explores the top five digital shopper trends that will redefine commerce the most in the year ahead. Some of the trends included in this report’s edition…

Now in its seventh edition, this report explores the top digital shopper trends that will redefine commerce the most in the year ahead. Some of the trends included in this edition touch on topics such as second-hand shopping, community group buying,…

Almost uniquely among fmcg industries, tobacco legislation is not simply a guiding element or a means of enforcing consumer standards but a central determining factor in the performance of tobacco markets. As the cumulative de-normalising impact of…

While total current value sales growth for tobacco in Turkey in 2022 was markedly faster than in 2021, this was primarily due to soaring inflation fuelled by the depreciation of the lira, the global recovery from the pandemic and the fallout of…

After two years of recording positive growth thanks to favourable pandemic-induced conditions, 2022 saw tobacco returning to declining sales in the UK, as it had been registering prior to the pandemic. Volume sales of cigarettes posted a double-digit…

Sales of combustible tobacco products such as cigarettes, cigars, cigarillos and smoking tobacco continued to decline in both volume and real value (at constant 2022 prices) terms in 2022. Any sales increases in current value terms were mostly being…

After seeing retail volume growth in 2020 during the COVID-19 pandemic, cigarettes experienced declines in 2021 and 2022, in line with the longer-term trend towards decreasing smoking prevalence. As a large proportion of the economically active…

Smoking prevalence in Sweden continued to decline in 2022 reaching just 6% nationwide. Indeed, low smoking prevalence has been a topical debate for some years now. Nevertheless, more Swedes continue to give up the smoking habit while new generations…

Tobacco sales continued on the path to recovery in 2022 backed by an uptick in tourism, an increase in border sales and an increase in social events as COVID-19 restrictions were lifted. Nonetheless, despite the improved situation retail volume sales…

Tobacco retail value sales continued to rise in 2022, boosted by the recovery of the Portuguese tourism industry and continuous investment by industry players in alternative products made from non-combustible materials, namely heated tobacco.…

In 2022, cigarette sales in Norway experienced a decline, following the expected trend. The country had witnessed significant growth in cigarette volume sales during the pandemic, primarily due to reduced cross-border trade with Sweden. However, as…

Cigarettes consumption continued to decline in 2022, although at a slower rate than seen in pre-pandemic years. Indeed, the effects of the COVID-19 pandemic (stress, anxiety) were still being felt, further compounded by global inflationary pressures…

Additional duty increases in 2022 compounded increasing inflation. As a result, price-conscious local consumers are migrating toward more affordable products, such as economy cigarettes, or turning to illicit trade, which increased in 2022. Sales of…

New generation tobacco products, namely e-vapour products and heated tobacco, are under the spotlight in terms of developments and driving sales growth for tobacco products in Greece. Within vapour products, the key development was the introduction…

In 2022, next-generation products were increasing their share in the tobacco market. While cigarette consumption is declining, it remains at a relatively high level compared to other European markets. The reluctance of German politicians to support a…

Tobacco saw continued decline in France in 2023 in both volume and value terms. The increase in taxes on cigarettes during the year led to higher prices, with popular brands such as Marlboro Red 20 priced at EUR11.50, Camel Filters 20 at EUR11.00,…

Retail sales of tobacco in Finland continued to fall in volume terms in 2023, consistent with the downward trend in smoking prevalence across the country. Finns are very aware of the harmful impact of smoking, especially since the COVID-19 pandemic,…

Overall, tobacco in Denmark saw a further strong decline in retail volume sales in 2023. However, there were oases of retail volume growth to be found within the industry. In general, tobacco consumption continued to be adversely affected by…

Retail value sales of tobacco in Belgium continued to fall in constant value terms in 2022, alongside a decline in the prevalence of smoking within the national population. This was partly attributable to increasing health concerns, a trend that was…

In Austria, retail volume sales of cigarettes experienced a notable decline in 2023, falling below pre-COVID-19 levels for the first time. This decline follows a pandemic-induced increase when travel restrictions limited access to cheaper cigarettes…

As in 2022, smokeless tobacco, e-vapour products and heated tobacco in Denmark did not see uniform retail volume sales developments at the end of the review period. In this vein, retail volume sales of chewing tobacco and e-vapour products continued…

In 2022, next-generation products were gaining a bigger share in the tobacco market. Heated tobacco in particular was growing in significance in the overall German tobacco market. Philip Morris’ Iqos brand has firmly established itself in the heated…

New generation tobacco products, e-vapour and heated tobacco (nicotine pouches were not available in Greece), remained under the spotlight of development and key growth drivers for tobacco, both in terms of retail value and volume sales. They…

Closed-system single-use vapes continued to be the highest-performing e-vapour product in this category in current retail value terms in 2022, thanks to widespread availability through a range of retail channels and local consumers, particularly…

In 2022, disposable vapes and nicotine pouches were the two stand out products in the smokeless category. The migration from the Swedish-style snus to nicotine pouches continued in 2022. Snus is already a well-known product in Sweden and a popular…

Heated tobacco products saw strong growth in 2023, solidifying their position as the most established nicotine source next to cigarette smoking in Austria. Consumers widely perceive these products as less harmful than cigarettes, making them a…

In 2022, heated tobacco products maintained a strong performance, as more smokers adopted these as an alternative to cigarettes. Price promotions on devices, notably the entry-level compact device Iqos Iluma One by Philip Morris, contributed to…

From 1 July 2022, tobacco heating devices have been facing the same regulatory conditions as combustible tobacco products. That means that there is an advertising ban and display ban in place for these products, a minimum age of 18 years to buy and…

The market for smokeless tobacco, e-vapour products and heated tobacco in Finland saw especially buoyant growth in retail volume terms in 2023, following the deregulation of nicotine pouches in April of the same year. This meant that these products,…

Tabaqueira has made a significant investment in heated tobacco with positive effect to the overall category. Since the launch of HEETS, new consumers have started using heated tobacco in Portugal, bolstering overall sales. With more favourable…

The smokeless tobacco, e-vapour products and heated tobacco category continued to expand in France at the end of the review period, reaching around EUR1.3 billion in 2023. The number of vapers in France also continued to increase, reaching around 2.7…

Retail sales of e-vapour products saw accelerated growth in constant value terms in 2022, in keeping with rising levels of health consciousness within the population. While not without their own risks, e-vapour products were widely perceived as being…

Having overtaken e-vapour products in terms of value sales during 2020, heated tobacco products remained the most dynamic category in smokeless tobacco, e-vapour products and heated tobacco during 2022 in current value terms. While e-vapour products…

Closed single-use systems recorded another year of current value growth at around 1,000% in 2022, with the device rapidly becoming the most popular in vaping. On the other hand, open vaping devices and e-liquids both recorded double-digit current…

2022 was a very important year for heated tobacco. Whilst brand iQOS HEETs (Philip Morris Italia Srl) maintains its majority share, we have been seeing increasing activities from other players start to take small shares from the leader. Brand Neo…

Nicotine pouches continued to exhibit the most dynamic growth within the smokeless tobacco category. However, compared to 2021, the growth rate slightly slowed down, attributed to the increased cross-border trade with Sweden, which almost reached…

This report considers what socialising will look like in a post-COVID-19 era, focusing on several key questions. A return to the “Roaring Twenties” in the beverages space or a continuing decimation of the on-trade? How has socialising changed (eg…

The coronavirus (COVID-19) pandemic has triggered the most severe global recession since World War II. In Q4 2020, the end of the pandemic started as countries began administering effective vaccines among the population; however, vaccine distribution…

This report examines inflation levels and drivers globally and in key countries in Q4 2023 and 2024. Global inflation is moderating, although divergence remains among the key economies. Higher volatility in the energy markets and disruption of…

This report examines inflation levels and drivers globally and in key countries. Global inflation is reaching a peak, although geopolitical risks and uncertainty in the energy market remain key risks. The impact varies between countries, with…

Slower growth, surging inflation, rising geopolitical risks and an accelerating deglobalisation trend are factors shaping the global economic, financial and trade landscape in 2022 and beyond. Despite the challenges, there are opportunities for…

In the upcoming years, consumers and businesses face an array of challenges, with income inequality, mass migration and rising uncertainty about another crisis being among the major ones. Nevertheless, within this lie untapped opportunities. This…

The briefing introduces the Cities Households Necessities Spending Index. The index ranks 1,075 cities by household expenditure on non-discretionary items, namely food, housing, and clothing and footwear. This analysis focuses on 160 major cities.…

Fine cut tobacco was by far the most dynamic performer within cigars, cigarillos and smoking tobacco in Turkey in volume sales terms in 2022, recording a triple-digit growth rate. Because these products are significantly cheaper and more economical…

The growth seen in fine cut tobacco in recent years came to a halt in 2022, with the category recording a double-digit volume sales decline. As in cigarettes, this decline was being driven by UK consumers returning to travelling abroad and purchasing…

One of the leading factors contributing to decline in sales of smoking tobacco over the last two years was that the excise tax increased in 2021. The government in the Netherlands is now increasing the excise on smoking tobacco at the same time as it…

Sales of both cigars and cigarillos recorded solid retail volume growth in 2022. Many smokers consider cigar smoking as an occasional indulgence rather than a daily necessity, and are less likely to try to quit smoking or to reduce their consumption…

Following several years of volume decline, cigar and cigarillos saw a very marginal increase in retail volume sales in 2022. Border trade is typical in tobacco products within the Nordic region, and the return of Norwegian buyers in Sweden supported…

Fine cut tobacco registered solid growth in retail volume terms in 2022, while cigars, cigarillos and pipe tobacco all registered a decline. Several factors can explain the positive performance of the category. Firstly, manufacturers have managed to…

The increase in tobacco taxes in 2022, combined with inflation-fuelled price rises, led to double-digit current value growth in cigarillos. However, with lower prices compared to cigarettes, cigarillos have become a more popular option for consumers…