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World tobacco leaders

May 12, 2014

The biggest world tobacco Companies have stated fall of total volume of products according to the results of financial year.

Total volume of deliveries of Philip Morris cigarettes during the year has made 880.2 billion production units, reducing by 5.1 % as compared to 2012 (927.1 billion), not including Philippines reduction made 2.7%. In the fourth quarter volume has reduced by 4.3 % as compared to the same period of previous year. Volume of deliveries of the most sold cigarette brand in the world Marlboro showed reduction by 3.5 % up to 291.1 billion cigarettes. Volumes of Bond Street cigarettes have reduced by 4.2% up to 44.9 billion cigarettes, mainly because of reduction on Russian and Ukrainian markets. At the same time L&M brand has grown by 1.4% up to 95 billion cigarettes thanks to growth of volumes in Egypt, Russian Federation and Saudi Arabia. As it is shown in annual report of the Company volume of deliveries of other tobacco products appeared to be by 4.9% higher than last year what reflects sales growth of this category in some European Union countries (Belgium, France, Hungary and Italy).

British American Tobacco has also faced volumes' reduction: volume of delivered cigarettes has reduced by 2.7 % up to 676 billion cigarettes. Against this has marked out growth of international brands of the Company - by 2.1 %, including 1.9% of sales growth of Company's leading global brands.

Dunhill has increased volumes by 9.7%, Pall Mall - by 4.4%. In the annual report of BAT is marked that on some key markets share of the Company continued growth. Positive dynamic was also marked out in Fine Cut tobacco category where volume of deliveries has increased by 1.3% (in cigarette equivalent) as result of growth in Italy, Belgium, Germany and Poland, partially smoothed with fall in Netherlands and Greece.

JTI Company has also informed about fall of volumes - total volume of shipped products has reduced by 4.6% up to 416.4 billion cigarettes what is mainly caused by reduction of industry on some world markets. Sales of flagship brands of the Company (Winston, Camel, Mevius, LD) in 2013 have reduced less (by 0.8%). On Russian market in the last quarter of 2013 took place reduction of total volume of JTI tobacco products and also volume of deliveries of main brands by 8.6% and 1.2% correspondingly. It is explained with market reduction by about 8% what significantly influenced brands of medium and lower price categories.

Imperial Tobacco Group summarizing the totals of financial year in the end of September 2013, has informed about reduction of total volume of manufactured tobacco products (including cigarettes, tobacco of fine-cut category, cigars and snus) from 341 billion to 317 billion units. So, fall made 7%.

Strategic brands of the Company, among which Davidoff, Gauloises Blondes, JPS, West have also demonstrated fall. As report informs, reduction of volumes of this group of brands was less as compared to results of entire market (2 %). At present moment share of key brands in total volumes of the Company makes 41%, share in net income of tobacco products' sale in 2013 financial year has made 39%. Seven of ten key brands of the Company have increased their market share.


 


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