Investing in growing cigar formats such as miniatures will help independent stores maximise sales in the category, Scandinavian Tobacco Group (STG) has advised.
Jens Christiansen, head of marketing and public affairs at STG, said volume sales of miniatures have increased by 4% year on year, with volume share increasing by 1.3% in the UK.
“For the past 10 weeks, yearly volume for total cigars has remained relatively stable, so to capitalise on this, retailers must invest in popular miniature brands such as Café Crème Blue, which has a 22% share of the top-selling cigar products,” he said.
Mr Christiansen added Moments Blue holds a 50% share of the value-for-money segment, and has grown by 1.9% year on year.
“To maximise miniature cigar sales in-store, retailers need to engage more with shoppers,” he said.
“The average profitability for cigars is double that of cigarettes, so it’s worth investing in understanding the category and different products available.”
Read similar: Pricewatch 03 August, 2018 – Cigars