Imperial Tobacco The Imperialist 3 | Page 16

#Research WHAT IS A RUSSIAN SMOKER LIKE TODAY? The Russian tobacco market has been changing rapidly in recent years: state authorities come up with the new initiatives on tobacco products’ regulation, and new generation products are actively developing. It is quite natural that such changes affect consumer behavior. Imperial Tobacco gives special attention to smokers’ research and carefully monitors changes in their preferences. To keep our knowledge about consumers up to date and to make sure that our products meet their expectations, we conducted another study this spring. T he mechanics of the research remained unchanged: an analytical agency surveyed more than 4,000 people from different cities of Russia, which are a representative sample for all the people living in the country. The survey was conducted in the form of telephone interviews and interviews on the streets. Men and women aged between 18 and 65 were the target audience. ACTIVE SMOKERS, 2018 • 22.4 million active smokers (consumers who smoke five or more cigarettes a day). • Men aged between 30 and 59. • The number of such smokers is larger in the north-west and the Far East. • Active smoking decreased considerably among people aged between 18 and 24 (mostly women) and people aged between 30 and 39 (mostly men). At the beginning of 2018, the share of smokers was 23% of the adult population of Russia, i.e. 32.8 million people. This figure decreased by 2% year on year due to a reduction in the number of heavy smokers (consumers who smoke five or more cigarettes per day). However, the share of non-smokers has remained unchanged for the last two or three years. The difference in figures is related to the fact that people switch to new generation product. The share of men who smoke is much bigger than that of women: 34 and 13% respectively. However, the share of men who smoke is gradually decreasing, while the number of women who smoke remains unchanged in the long term. Besides, an average Russian smoker is getting older. A desire to lead a healthier lifestyle is still the main reason for giving up smoking. However, compared to previous years, two new factors are becoming increasingly relevant: higher prices for tobacco products and health issues. MAIN BRAND FORMAT SEGMENT, %* significantly higher; 1,5 Y 2018 7,5 SHARE OF ACTIVE SMOKERS (ADULT POPULATION OF RUSSIA) 7,3 23% 7,7 0,0 Y 2015 7,6 0,0 Y 2014 FY 2017 16,2 41,8 FY 2018 The share of woman who smoke The share of man who smoke 13% 34% 28,3 15,5 0,0 Y 2016 25% 32,4 0,8 Y 2017 Y 2013 0,0 2,0 KS SSL+SL+USL KS SSL 6,7 7,4 7,1 significantly lower 47,3 19,4 15,8 56,1 13,4 15,7 15,5 15,1 QS SKS 62,3 69,1 74,1 *According to Nielsen AT THE BEGINNING OF 2018 THE NUMBER OF SMOKERS IS 32.8 MILLION PEOPLE The Империалист |  | 16