Industry Analysis & Industry Trends
The Tobacco Product Wholesaling industry is being stubbed out by the surge of anti-smoking sentiment in the West. Wholesalers are being increasingly bypassed by larger retailers, such as supermarkets and multinational manufacturers, which have sought to internalise their wholesaling functions to improve efficiencies and maintain profit margins.
Increasingly stringent legislation, such as laws prohibiting the promotion and display of tobacco products, packaging requirements and the imposition of rising taxes and duties on tobacco sales, has contributed towards the decline in the prevalence of smoking across the United Kingdom. In 2015, the ONS reported 16.9% of the population aged 16 and over identified as smokers, a substantial decrease from 45% in 1974... purchase to read more
Industry Report - Industry Analysis Chapter
The Tobacco Product Wholesaling industry distributes cigarettes, cigars, smokeless tobacco products and smoking accessories from manufacturers to retailers. In the face of strong anti-smoking attitudes, the prevalence of smoking in the United Kingdom has declined consistently over the past decade. Wholesale bypass, increasingly stringent regulations and tobacco smuggling have also hampered the industry’s prospects. Over the five years through 2016-17, industry revenue is forecast to decline at a compound annual rate of 3.7% to £8.8 billion. In 2016-17, revenue is forecast to decline by 6.9%. Revenue is forecast to decline at faster rate than previously due to the introduction of plain packaging laws. purchase to read more