OTS p44 Cigars Dec08.qxp 03/12/2008 16:27 Page 44
feature · cigars
Light up your sales
The smoking ban may have stopped customers lighting up indoors, but there’s no law against selling tobacco
products from behind the bar, and with the festive season sending people into a celebratory mood, OTS looks
at how you can top up your sales with a tempting cigar offering.
There are a huge number of cigar this in mind when purchasing is due to the continued success of the
products in the UK, but it’s tobacco from wholesales,” he says. Café Crème family and other imported
interesting to know that it’s not large “Unlike the rest of the UK, where cigars.”
cigars that can be savoured over a the best selling cigar size is The top selling brand in pubs
period of time that are the big sellers miniature, Scotland’s best selling however is Hamlet, from Gallaher. The
– quite the opposite in fact. cigar size is small – with brands Hamlet house, in fact, is a particularly
In order for pubs to have a such as Classic proving popular strong performer in the on-trade, with
relevant cigar offering the first port of amongst adult smokers. However, 16.4% of the brand’s volume sales
call should be small and miniature Scotland is slowly moving more in occurring in the sector, including
cigars, which are the preferred line with the rest of the UK with 22.6% of all sales of the Hamlet Fine
choice of the majority of Scottish the market share swinging towards variant. As the UK’s Number one cigar
smokers – and with the prospect of the miniature sector.” the Hamlet brand delivers heritage,
lighting up outdoors on a cold wet Cigars contribute almost £60m premium quality and value for money
night in store, this isn’t really a to the tills of on-trade outlets in the and holds a 41% volume share of the
surprise. UK, which has around a 9.8% volume total cigar market.
Iain Watkins, trade communications share of the cigar market. That means To help make it easier for retailers to
manager at Imperial Tobacco, home to almost one in 10 of all cigars is sold in stock the right range this year, Gallaher
Castella Classic cigars, says that a pub. That’s something you should is introducing half-outers of Hamlet 5s
licensees need to definitely be trying to capitalise on. into the wholesale trade, which are
keep an eye on Licensees should be aware that the available permanently as of the start of
seasonal changes UK cigar market is clearly separated this month.
to smokers’ usual into three segments; miniature, small Jeremy Blackburn, Gallaher’s head
tobacco and large, and popular cigar brands of communications, says: “A notable
preferences: should be clearly visible. trend is that more adult smokers are
“Christmas is In terms of miniature cigars, Henri choosing to smoke miniature cigars
traditionally a time Wintermans continue to be a popular since smoking ban. They now account
when cigar sales are choice, with the company’s Café for more than half of all cigars sold in
stimulated and Crème range. Miniature cigars the UK. Miniature cigars in the on-trade
licensees should bear continue to drive growth in the total are worth over £102m and licensees
UK cigar sector, accounting for 51% of have a great opportunity to take their
sales and the category as a whole in share of the profits by stocking Hamlet
UIforwardBest selling Miniatures – Pubs
growth by 3.7% from September Miniature 10s and Hamlet Miniature
Hamlet Miniatures 59.6%
2007. James Higgs, head of Smooth.
Castella Miniatures 27.6%
commercial marketing at Henri “To complete the Hamlet range and
Café Crème Blue 8.8%
Wintermans UK, comments: “Miniature ensure maximum profits are achieved,
Café Crème 3.8%
cigars continue to drive growth in the licencees should also stock Hamlet
Small Classic Filter 0.1%
Scottish cigar market, and much of that Fine, in singles drum and 5s.”
UIforwardBest Selling Small Cigars – Pubs
Hamlet 69.8%
Classic 20.6%
Panama 5.6%
Henri Wintermans Slim Panatella 3.2%
King Edward Coronets 0.8%
UIforwardBest Selling Large Cigars – Pubs
Castella Panatellas 35.8%
Hamlet Special Panatella 32.4%
Henri Wintermans Half Corona 18.0%
Hamlet Reserve 12.3%
King Edwards Crowns 0.9%
· 44 · ots · december 2008 · www.55north.com/ots_home.asp
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