Declining Tobacco Sales in Small Convenience Stores

Aug.02.2022
Declining Tobacco Sales in Small Convenience Stores
Sales of tobacco in UK convenience stores fall 47% in three years, indicating a reduced dependence on tobacco sales.

According to researchers, this decline indicates a decreasing reliance on tobacco sales by corner shops and other small businesses. A team led by researchers from Edinburgh analyzed sales data from nearly 1,400 convenience stores in England, Scotland, and Wales. They compared typical weekly transactions in March, June, September, and December of 2016 to those of the same period in 2019.


In addition to tobacco products, the team also evaluated the sales of other frequently purchased items from convenience stores, including milk, bread, newspapers, and alcohol. Their investigative findings revealed a 47% decline in tobacco product sales over a three-year period. In 2016, only 11% of transactions involved tobacco, but that number decreased to 6% in 2019. The percentage of sales including both tobacco products and other items also decreased from 14% to 9%.


Although convenience stores saw a 16% decrease in average weekly sales between 2016 and 2019, tobacco products experienced a more significant drop in sales than any other merchandise. The next largest decrease was seen in newspaper and magazine sales, which decreased by 25%. In contrast, some products such as e-cigarettes, alcoholic beverages, and spirits saw an increase in sales over the three-year period. Despite a significant increase in the prices of tobacco products within this timeframe, their share of the store's total weekly revenue from sales dropped by 8%, going from 47% to 39%.


According to the team, the reliance of retailers on tobacco sales is declining in all regions of the UK. Stores in urban areas and economically deprived areas contribute more to weekly sales and overall tobacco product revenue than rural or affluent stores. However, over time, the decline in sales is greatest in these particular stores, narrowing the gap between regions. While tobacco products have been deemed necessary for the survival of convenience stores nationwide in the past, our new research suggests that tobacco is increasingly important for the business model of small retailers, weakening the argument of the tobacco industry. The survey results highlight the need to reduce the supply of local tobacco products to achieve the government's goal of eliminating smoking in the next decade.


Statement:


This article is compiled from third-party information and is intended for industry exchange and learning purposes.


This article does not represent the views of 2FIRSTS and 2FIRSTS cannot confirm the authenticity or accuracy of the article's content. The translation of this article is solely intended for industry exchange and research purposes.


Due to limitations in translation ability, the translated article may not fully reflect the original text. Please refer to the original article for accuracy.


2FIRSTS aligns completely with the Chinese government on any domestic, Hong Kong, Macau, Taiwan, and foreign-related issues and stances.


Information compiled here belongs to the original media and authors, and if there is any copyright infringement, please contact us for removal.


This document has been generated through artificial intelligence translation and is provided solely for the purposes of industry discourse and learning. Please note that the intellectual property rights of the content belong to the original media source or author. Owing to certain limitations in the translation process, there may be discrepancies between the translated text and the original content. We recommend referring to the original source for complete accuracy. In case of any inaccuracies, we invite you to reach out to us with corrections. If you believe any content has infringed upon your rights, please contact us immediately for its removal.

Philip Morris Korea Names Lee Hong-seok as New CEO Effective May 1
Philip Morris Korea Names Lee Hong-seok as New CEO Effective May 1
Philip Morris Korea said on April 29 that it has appointed Lee Hong-seok, head of its smoke-free products division, as its new chief executive officer, with his term beginning on May 1. Yoon Hee-kyung, who took office in 2023, will step down after about three years in the role.
Apr.30 by 2FIRSTS.ai
Cambodia Moves to Draft New Tobacco Control Strategy Targeting Illicit Products and E-Cigarette Spread
Cambodia Moves to Draft New Tobacco Control Strategy Targeting Illicit Products and E-Cigarette Spread
Cambodian Health Minister Cheang Ra has called for the development of a tobacco control strategy for 2027–2031, with the goal of reducing tobacco use by 30% by 2030. The directive was issued during a Tobacco Product Control Committee meeting in Phnom Penh. Priority areas include reducing tobacco use, protecting the public from secondhand smoke, tackling illegal and counterfeit tobacco products, and preventing the spread of e-cigarettes.
Apr.29 by 2FIRSTS.ai
2Firsts|Sesh Advances Nicotine Pouch PMTA to Filing Stage, Experts Highlight Regulatory Threshold and Market Window
2Firsts|Sesh Advances Nicotine Pouch PMTA to Filing Stage, Experts Highlight Regulatory Threshold and Market Window
Sesh said its Premarket Tobacco Product Application (PMTA) for 64 nicotine pouch SKUs has been accepted by the U.S. Food and Drug Administration (FDA) and advanced to the Filing stage, entering substantive scientific review. Industry experts say the development signals that the application has crossed a key technical and regulatory threshold, while also highlighting growing divergence in regulatory capability and market positioning within the nicotine pouch category.
Special Report
Mar.24 by 2FIRSTS.ai
Delaware Tax Proposal Targets Vapes, Nicotine Pouches and Other Tobacco Products
Delaware Tax Proposal Targets Vapes, Nicotine Pouches and Other Tobacco Products
Delaware’s latest tobacco tax increase bill cleared its first House committee hurdle on April 22. Backed by House Speaker Melissa Minor-Brown, the bill would raise the cigarette tax from $2.10 to $3.60 per pack and increase taxes on moist snuff, vapor products and other tobacco products.
Apr.24 by 2FIRSTS.ai
FDA Wins Default Entry in Case Against E-Cigarette Distributor, to Seek Permanent Injunction
FDA Wins Default Entry in Case Against E-Cigarette Distributor, to Seek Permanent Injunction
The U.S. Food and Drug Administration (FDA) has made procedural progress in its lawsuit against North Carolina-based e-cigarette distributor Dream Distro LLC and its owner. A federal district judge granted the government’s request for entry of default after the defendants failed to respond to the complaint within 21 days of service. The government will next seek a default judgment, including a permanent injunction.
Apr.09 by 2FIRSTS.ai
Virginia Attorney General Backs Vape Enforcement Act Limiting Sales to FDA-Authorized or Pending Products
Virginia Attorney General Backs Vape Enforcement Act Limiting Sales to FDA-Authorized or Pending Products
Virginia Attorney General Jay Jones is backing new vape enforcement legislation that he said would do more than warn people about the dangers of vaping. The proposal would tighten rules on which products can be sold and increase enforcement aimed at keeping vapes out of the hands of young people.
Mar.24 by 2FIRSTS.ai