Industry Analysis & Industry Trends
Industry revenue declined in each of the past five years. There has been a long-term decline in smoking rates over the past few decades, mainly due to health concerns. Now only 21% of the population smokes. Although the price of tobacco products is relatively static, there have been some rises, which have also contributed towards the decline in smoking rates. The price rises have also led to a shift away from premium brands towards economy brands. For instance, demand for roll-your-own cigarettes has increased at the expense of filter cigarettes.
Government measures designed to reduce smoking rates have added to the negative press surrounding health-related smoking risks and contributed to declining smoking rates... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
IBISWorld estimates that the industry is in the decline stage of its life cycle. IBISWorld estimates that industry value added will decline an annualised 2.5% over the 10 years through 2016-17. As a result, the industry will account for a smaller share of the overall UK economy, indicating that the industry is in the decline stage of its life cycle. In addition, the number of companies in the industry is expected to decline over this period, as demand for tobacco products weakens, which further indicates that the industry is in the decline stage of its life cycle.
In terms of downstream demand from the final consumer, demand for tobacco products has weakened over the past five years, a continuation of a longer-term trend... purchase to read more