World Cigarettes: Americas 2014, New Study Now on ASDReports

Friday 21 November 2014, Amsterdam

The new report now available on ASDReports and the result of extensive market research covering the Americas cigarettes market. It provides an analysis of changing consumption patterns and evolving market drivers in the cigarettes industry in the region. Providing detailed market data for cigarettes and its related segments for historic and future years, World Cigarettes: Americas 2014 is full of essential information, helping you get you get your head around a challenging market!

The Difference

• Have a little confidence: This report clarifies in detail, by region and company, where the growth opportunities are in Cigarettes industry to enable effective marketing plan
• A strong start: As consumers’ product demands evolve, the dynamics between different countries also change – favoring some countries and leaving others increasingly out of line with demand patterns. As a result, understanding the shifting market dynamics is key to ensuring maximum sales in the future
• Know your business: With the latest data on market dynamics in the Cigarettes industry across Americas providing marketers with essential information in order to understand their own position in the market and to identify where to compete in the future

Report highlights
Bolivia remains one of Latin America's poorest and least developed countries with just
under 50% of the population living below the poverty line. Yet in contrast to many of its
neighbours, Bolivia's economy is performing well. Although sporadic, regional growth, a lack of foreign investment in the mining and hydrocarbon sectors and high expectations from consumers about improvements to the economy pose further challenges to the Morales government, the current prudent approach to monetary policy appears successful.

The legitimate market for cigarettes has seen strong if somewhat sporadic, growth in recent years helped by improvements in the economy and in disposable incomes. Between 1990 and 2013 volumes expanded by 153% to 2.52 billion pieces. Smuggling remains an issue, despite a recent lessening in its profile. It accounts for around 40-50% of total sales, although the government puts this lower at around 30%.

The market for cigarettes in the Dominican Republic is characterized by long term decline.
Rising prices are the main reason although pre-tax purchasing has led to some increases
prior to tax hikes being introduced.

The market is dominated by sales of blond, filtered cigarettes in packs of 20, with 10s also available. Both soft packs and hard packs feature. Recent years have been characterized by a trend towards trading down, which has benefited the market-leading Nacional brand at the expense of the higher priced Marlboro whose share was down to over 15% in 2011. The impact of a major excise tax hike in January 2008 boosted Nacional's share to around 58% by the end of the year with fewer than 61% recorded for 2011.