34
TOBACCO OUTLET BUSINESS
MAY/JUNE 2013
CATEGORY MANAGER
C-STOrE TrENdS
Spotlight on C-Store Trends
Higher cigarette costs are spurring growth of OTP and e-cigarette
products, research suggests.
I
ncreasing cigarette costs, due to higher taxes,
as well as growing restrictions on smoking are
boosting growth of both OTP and e-cigs, which
have seen dollar sales skyrocket by 182.8 percent and
unit sales grow by 233.9 [percent] in the 52 weeks
ending Feb. 2,” David Bishop, managing partner, Balvor
LLC told attendees of a recent educational seminar.
Excerpts from the findings Bishop shared (derived from
52 weeks of CMetrics data collected through February
2, 2013) follow:
5%
4%
3%
2%
1%
0
-1%
-2%
-3%
1.5%
-2%
4.4%
.9%
Demand and Sales Continue Migrating to OTP
OTP, which has seen dollar sales grow 4.4 percent over the past year,
now holds a 20.8 percent share of total tobacco sales, compared to 4.1
percent in 2000. “That 1.5 percent growth for cigarettes is below the
long term averages,” notes Bishop.
Category Growth rates (PCYA=Percent Change Versus a Year Ago)
Cigarettes
OTP
Source: C-Metrics
TM
; 52 Weeks Ending
02/02/2013; Inrhythm Inc.
n
Dollar Sales
n
Unit Sales