According to an expert at market research company Euromonitor International, the market is expected to decline by a third by 2027. This decline is attributed to several factors, including stricter health regulations on smoking and the growth of reduced-risk products. Here are some key points from the information you provided:
- Global Cigarette Market Decline: The global cigarette market is projected to decrease in size by approximately one-third by 2027. This suggests a substantial reduction in the consumption of traditional tobacco products.
- Health Regulations Impact: The crackdown on smoking due to health regulations is a major contributing factor to the declining cigarette market. Governments and health organisations worldwide have been implementing measures to reduce smoking rates, such as increased taxes, graphic warning labels, and public smoking bans.
- Growth of Reduced-Risk Products: It is noted that reduced-risk products are experiencing significant growth. These products, like e-cigarettes and smokeless tobacco, are often considered to be less harmful alternatives to traditional cigarettes. As a result, consumers may be switching to these products in response to health concerns.
- Regional Variances: While the global trend is a decline in cigarette sales, there are regional variations:
- Asia Pacific: This region has seen growth in cigarette sales, suggesting that smoking rates are still increasing in some areas.
- Latin America: Like Asia Pacific, Latin America also experienced growth in cigarette sales.
- Western Europe: Western Europe saw the largest decline in cigarette sales in a decade, indicating a significant shift in consumer behaviour and preferences.
- North America: North American sales saw the biggest fall on record, likely due to factors like increased awareness of health risks associated with smoking and the growth of alternative products.
This information reflects the ongoing transformation of the tobacco industry as public health concerns and changing consumer preferences drive a decrease in traditional cigarette consumption and the growth of alternative vaping products. It also underscores the regional differences in the impact of these trends.