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TrendSights Analysis: Added Functionality

Summary Added Functionality explains how consumers’ desire for new experiences, as well as products that match multiple needs, are driving demand for products that convey additional benefits which previously weren’t offered by the product category. Key Findings Modern consumers are attracted to products with additional features and benefits that offer them new experiences. New technological advances enable further efficacy and convenience to be added to previously functional products. Synopsis This report examines what Added Functionality means as a consumer trend and why it is important,... 

Tobacco Company Profile – GTF Neman

Summary GTF Neman is the largest cigarette manufacturer in Belarus, it is state owned and controlled by the state food industry holding organization. The government effectively restricts imports to those brands which cannot be manufactured in Belarus. As a result, GTF Neman established licensed contract manufacturing arrangements with BAT, JTI, and Tobacco International Enterprises Ltd. GTF Neman has traditionally remained focused on its domestic market, but it has begun to export more cigarettes in the past few years. Key Findings – GTF Neman currently produces around 73% of national cigarette... 

Tobacco Company Profile – VNTC

Summary VNTC is the largest cigarette producer in Vietnam but also one of the largest business enterprises in the country. It is a state-owned holding group, which, since June 2007, has been the only concern permitted to produce, import, and distribute cigarettes and cigars in Vietnam. The company has international partnerships with the likes of BAT, JTI, PMI, and Imperial Tobacco whereby foreign brands are produced under license in VNTC’s factories. In the last few years, VNTC has placed increasing focus on building up its exports. Key Findings – VNTC’s overall sales reached... 

Tobacco Company Profile – ITC

Summary ITC is one of India’s foremost private sector corporations and the largest manufacturer of cigarettes in India, with over 75% of the national market. It also has substantial interests in leaf tobacco both at home and abroad. ITC is active in all aspects of the tobacco business, including tobacco growing, processing and leaf export, besides manufacturing cigarettes in India and abroad. It also undertakes contract manufacture and exports cigarettes to various countries. The company has developed extensive interests in other sectors including other FMCG, agri-business (leaf tobacco and... 

Company Insights – Godfrey Phillips India Ltd

Summary Godfrey Phillips India Ltd (GPI) is the second-largest cigarette manufacturing company in India and an associate and licensee of Philip Morris International (PMI). The company has three cigarette manufacturing locations in Guldar (Ghaziabad), Rabale (Navi Mumbai), and Andheri (in Mumbai), with its headquarters in New Delhi. In recent years, it has extended its tobacco activity into the chewing tobacco sector and is also a leading cigar supplier in India. Moreover, it is active in the unmanufactured tobacco sector as well. The company also has a tea division and a small convenience store... 

Cigarettes in Finland

Summary The Finnish duty-paid cigarette market has declined from the early 1990s due to recession, rising taxes and prices and consequent increased contraband, rising grey market sales, and more recently, competition from snus and e-cigarettes. An illustration of the impact of taxation can be seen by the swings in duty paid sales both before and after a tax rise had been imposed, with this the case in 2008/09, 2011/12 and more recently in 2014/15. There is also substantial cross-border trade with Russia, Sweden, and Estonia. Key Findings Overall consumption via all routes to market was down in... 

FMCG Industry Business Outlook and Procurement Survey Nov 2016-Apr 2017

Summary Mergers and acquisitions are expected to increase within the FMCG industry over the next six months (November 2016-April 2017) as a result of rising competition, margin pressure, and low-cost debt financing. Even though pricing pressure and market uncertainty have been highlighted as major business concerns for the global FMCG industry over the next six months, respondents are willing to increase their focus towards expansion in current markets and development of new products. Furthermore, developing economies such as China, Mexico, and Brazil are projected to offer significant growth opportunities... 

Cigarettes in Algeria

Summary Algeria has a population of 39 million and is is a substantial market for cigarettes. Following a period of instability, the country and cigarette market started to recover; legitimate sales rose by 6.1% in 2005, after the market was opened to imports, and by 2010, despite falling by 6.6% that year, stood at 24.74 billion pieces. Per capita consumption was at 747 pieces in 2014, 10.8% higher than 1990 levels. Key Findings The market is dominated by SNTA, which is a state monopoly and is the leading producer of cigarettes in the country in 2014. Following the opening of the market to imports... 

TrendSights Analysis: Experience Economy

Summary The Experience Economy trend reflects growing consumer desire for immersive consumption moments. An increasingly one-dimensional shopping experience, coupled with an emphasis on ‘experience’ rather than ‘things’, means that consumers are willing to pay more for an enhanced ‘brand experience’ which can extend beyond the initial consumption moment by hours or even days, and involve sharing with family and friends in unique consumption settings. Key Findings Experience Economy is a trend with growth prospects across almost all FMCG categories, including... 

Company Insights – VST Industries

Summary VST is the third-largest cigarette manufacturer in India and a longstanding associate of British American Tobacco (BAT), which has a 32.2% stake in the company. VST currently holds just over 8% of the of the Indian cigarette market and has 0.13% of the global cigarette market, with volume sales of 7.3 billion cigarettes in 2015/16. VST was incorporated in 1930 in Hyderabad as Vazir Sultan Tobacco Co, but changed its name in 1983 to VST Industries Ltd. The company is based at Azamabad in Hyderabad, Telangana in India. The company had suffered from a decline in overall market share brought... 
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