Category advice

Tobacco icon
Tobacco

Market Insight

Availability of best selling brands is absolutely critical

1 in 4 adult smokers would leave the store without making a purchase if their preferred brand was unavailable

No. 1 category in sales value

No. 1 footfall driver in the Convenience market

Tobacco category drives 1 in 10 visits to Convenience stores, and it's even higher for Independent stores

Margin Opportunities

Stock high margin, fast growing products, such as e-liquids, and cigarette accessories, such as papers and filters

Latest Trends

(March 2018)

Independent store tobacco sales are down 10%, Multiple convenience store tobacco sales are up 5%, 75% of independent retailers are premium pricing, which is the significant factor driving the decline

Sell at RRP to maintain your business

E-Cigs: 3 Key Tips

1. Focus on in-store visibility and display

2. Ensure staff are knowledgeable and trained on equipment & liquids

3. Focus on flavour range not a wide range of brands

Top 3 customer service shopper needs:

1. Availability 2. Price 3. Range

Reduced Risk – E-cigarettes and Heat Not Burn Explained

Neilson research now shows there are over 2 million vapours.

(Retail News - 26 Jan 2018)

Disposables

Devices

Disposables: This is where most vapours start – this sector has 3% share of the UK market and continues to decline.

Cartridge Devices (16% of UK Device Market). Once purchased, the shopper will need to buy the specific cartridges for that device. Sales of the device are low, cartridges are a much bigger sales opportunity.

Cartridges: Pre-filled cartridges used in their respective device

Pre-filled cartridges

Leading brands such as Logic, Blu and Vivid each have their own systems, the challenge is the cartridges are not interchangeable, so a wider range is required.

Bestway range recommendation: Stay with leading brands, range as required – Logic / Blu and New Vivid range all on promotion now!

The UK's No.1 Cartridge Vape*

*Source: Nielsen ScanTrack Jan 2018

Liquid Systems: These account for 82% of sales!

Liquid Systems

Open systems all use E-liquids – and with such a large share of this growing market we strongly recommend you stock a range of E-liquids that are showing strong growth:

  • Liquids are excellent sales opportunity as most are universally compatible with the majority of open tank systems
  • Stock a range of price points to cater for all consumers needs

1. Value £1 PMP – 88Vape

2. Mid Tier £2 - £2.50 – KIK

3. Premium liquids circa £5 – Blu, Vivid & Logic

  • In addition to Tobacco and Menthol, it is important stock a range of flavours:
    Blueberry / Raspberry / Tropical

No.1 brand in open system devices in retail*

*Source: Nielsen retail audit UK data January 2018

UK's fastest growing E-liquid – only 50P @ WSP and £1 RRP

Heat Not Burn tobacco products

  • IQOS is a heat-not-burn system which promises to be 90% less harmful to smokers than cigarettes
  • PMI have invested $3bn in the system and in its first year of launch in Japan sold 3 million units
  • Independents have the opportunity to take advantage by listing HEETS

Information correct at time of printing

Tobacco

Must Stock Lines

These are the ‘Must Stock’ lines which shoppers expect to see in a convenience store. By stocking these lines, you will be meeting your customers’ needs and therefore they will visit your store again.

Leading Cigarette Brands by Region

Midlands

Sterling

B&H Blue

JPS Players

Sovereign Blue

Carlton

South England

Sterling

B&H Blue

JPS Players

Rothmans Value

Sovereign Blue

London

B&H Blue

Marlboro

Sterling

Mayfair

B&H Silver

North England

JPS Players

Sterling

L&B Blue

L&B

B&H Blue

Wales

Carlton

JPS Players

Sterling

L&B Blue

L&B

Scotland

JPS Players

Mayfair

JPS Silver Range

Sterling

L&B Blue

B&H Blue – the UK's fastest growing Ultra Value RMC Brand since TPD2.

(Source: Nielsen Market Track MAT Dec17)

Rothmans

  • Trusted quality brand at an everyday low price.

Players

  • No. 1 Sub-Economy brand*

*ITUK Estimates Jan 2018

Marlboro

  • UK's No. 1 Premium Cigarette Brand.*

*Source: Nielsen February 2018

Capsule & Menthol continue to grow

Symbols & Independents Capsule Vol % Share

2015 2016 2017
9.5% 11.3% 13.1%

Top 6 Crushball SKUs

  1. Sterling
  2. Pall Mall
  3. JPS Players
  4. B&H Silver
  5. Sovereign Blue
  6. L&B Blue

Fastest Growing Crushball

  1. Sterling
  2. JPS Players
  3. Sovereign Blue
  4. JPS SIlver Range
  5. Rothmans

Players Crushball

is the UK's No.1 Sub Economy Crushball Cigarette

Pall Mall Double Capsule

The UK's first and No.1 double* capsule brand

*ITUK estimates March 2018

Sterling Dual SK

Even more value from Sterling Dual House, the UK's No.1 capsule

Source: Nielsen Market Track MAT Dec 17

Roll Your Own Best Sellers (RYO)

  1. Amber Leaf
  2. Gold Leaf
  3. Golden Virginia
  4. Cutters Choice
  5. Golden Virginia Yellow

Gold Leaf

  • Choose the right leaf at the right price
  • Great price points
  • Smooth and quality smoking experience
  • The UK's No. 1 Economy RYO brand*

    *ITUK estimates January 2018

Fastest Growing RYO Brands

  1. Gold Leaf
  2. Sterling
  3. Cutters Choice
  4. Marlboro
  5. Pall Mall
  6. Pueblo

Pueblo

Europe's best selling additive free hand rolling tobacco.

Traditional blend of pure premium quality tobacco offering highest RYO POR in Bestway.

Top 5 Cigar Brands

  1. Café Crme Blue
  2. Moments Blue
  3. Hamlet
  4. Hamlet Miniatures
  5. Café Crème Original

New and Fastest Growing SKU

  1. Moments Blue

Café Crème Blue

As the UK's best selling cigar brand, Café Crème Blue remains a must stock item for retailers. Since 1 in every 3 cigars sold in the UK is a Café Crème it offers retailers a reliable profit from its regular and loyal customers.

Moments

The value for money trend in the UK continues to rise with tobacco customers constantly looking for a more affordable option. Moments is strategically positioned to take advantage of this lucrative market by offering the best value on shelf for both Miniature and Panatella size cigars.

Top 6 Smoking Accessories

  1. Swan Filters Extra Slim 120's
  2. JPS MYO Tubes
  3. Poppell Flint Lighter
  4. Poppell Electric Lighter
  5. Rizla Green Cigarette Papers 50's
  6. Swan Menthol Filters Extra Slim 120's

New and Fast Growing SKUs

  1. Raw Classic KS Papers
  2. Swan KS Tubes
  3. Cricket Firepower

Cricket Firepower

The perfect tool to light any fire or candle with safety. All Cricket lighters have undergone over 60 quality tests.

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