#Brands | MAXIM
MAXIM
SHARE OF LARGE PACKS AVAILABLE
FROM KEY TOBACCO MARKET PLAYERS, JUNE 2016, %
2,5
FOR THOSE WHO KNOW A THING
OR TWO ABOUT GOOD VALUE FOR MONEY
T
he situation on the tobacco market has been
constantly changing during the past several years.
In the present-day world, purchasing power of
tobacco consumers is on decline – customers have
settled on an aggressive savings plan. According to the
latest opinion surveys, 70% of respondents have started
saving on cigarettes. Nearly all respondents said that
they had noticed a continuous upward trend in the prices
of tobacco products, and as a consequence, a third of
consumers were switching to cheaper brands. This trend
emerged as far back as in 2014 and is continuing to develop
nowadays.
In this situation, Imperial succeeded in winning consumers’
favor with the launch of Maxim 25. However, large packs were
banned. This measure affected nearly one in ten consumers
WE INTRODUCED TWO VALUE OFFERS:
MAXIM SPECIAL EDITION & MAXIM SKS
as the large packs accounted for 8.5% of the market. There
were alternative opportunities for every major player in the
tobacco market in this segment; however, the loss of large
packs came as a challenge to Imperial as it was a sizable part
of our portfolio.
WE HAVE CREATED A NEW SEGMENT IN
THE TOBACCO MARKET – THE SUPER KING
SIZE – AND RETAIN OUR LEADERSHIP
IN THE SEGMENT
To retain our consumers and our foothold in the market, we
decided to offer two attractive alternatives: Maxim Special
Edition – the good old Maxim but at the same price per
cigarette as in large packs and Maxim 100 mm – a special
gift to our consumers. Consumers get 20% more tobacco for
the same price per cigarette as in large packs since these
cigarettes are longer than normal ones.
Both products have been launched in the five main regions:
the Far East and Siberia, the Urals, and North and South
Volga. Those regions used to account for 96% of large pack
sales and it is where we have decided to focus our efforts.
• WE HAVE OFFERED AN ATTRACTIVE PRICE TO CONSUMERS
WHO USED 25S FORMAT.
0,2
2,0
• WE HAVE PROVIDED QUALITY SUPPORT FOR OUR NEW
PRODUCTS: DEVELOPED INFORMATION MATERIALS FOR
MORE THAN 1,500 STORES, INCLUDING UNIQUE ANIMATED
FILMS.
THE SHARE OF
LARGE PACKS
REPRESENTED 8.5%
OF THE MARKET
• THE ADVANTAGES OF THE NEW OFFERS HAVE BEEN
PRESENTED TO CONSUMERS BY CONSULTANTS SECURING
OVER 120,000 CONTACTS.
• WE HAVE INCREASED SALES AT SOME OUTLETS BY 78%
ON THE BACK OF THE PROMOTIONAL 'GIFT WITH PURCHASE'
CAMPAIGN.
1,1
2,6
The support for and focus on MAXIM has delivered visible
results and we would like to congratulate the entire team of
Imperial Tobacco on this success. Maxim Special Edition
and Maxim 100 mm have helped retain a large portion
of our consumers. According to our estimates, 86% of
consumers have remained loyal to the Maxim brand. For
the time being, Maxim SKS market share is 0.3%. The total
market share of Maxim Classic has recently been flat
remaining at 2.5%.
WE HAVE MANAGED TO RETAIN NO
LESS THAN 86% OF OUR MAXIM 25
CUSTOMERS AND SWITCH THEM
TO MAXIM SPECIAL EDITION AND
MAXIM 100 MM
The Империалист | | 8