Over the last few years, the cost-of-living crisis has put pressure on consumer spending. The result? An increased demand for Ultra Value products[1] as existing adult smokers look for products that offer premium quality at a low price. In response to this, JTI continues to innovate its product offering, launching NPD from its existing brands to meet demand and help retailers maximise this category.
As well as stocking a range of Value and Ultra Value products, maintaining good availability ensures retailers provide a successful offering and service to their customers. Retailers should stay up to date with the current tobacco trends and make the most of the support offered to them by suppliers. JTI’s Business Advisers provide a bespoke service to help identify opportunities and offer advice. To help retailers increase their understanding of the current tobacco trends, four retailers offered their insights, and shared their thoughts on JTI’s latest product launch, Mayfair Gold Rolling Tobacco.
Mark McGuinness, Marketing Director, JTI UK: “Price remains a key factor for existing adult smokers. With Ultra Value products leading the way in share growth[2], the sector currently stands at 17.1% of the combined tobacco market[3]. That’s why we continue to innovate in this area. Building on the success of Mayfair Gold RMC, which achieved a retail sales value of £46.7M since launch[4], we released Mayfair Gold Rolling Tobacco. Made from premium-quality Virginia tobacco at an ultra-value RRP of just £20.80* per 30g pouch, the launch extends our track record for innovating brands that existing adult smokers know and trust, which retailers can capitalise on to increase sales.”
Retailer viewpoints
Craig Warren, The Corner Stores Costcutter, Mildenhall, Bury St Edmunds: “We’ve been stocking Mayfair Gold Rolling Tobacco since it came out, we got our first load of stock from the JTI rep when they visited and have seen a steady increase in sales since they’ve been in store. The most common tobacco question we get asked is which is the cheapest, so we often point shoppers towards Mayfair Gold. As tobacco gets more expensive, people will head to more value brands, so Mayfair Gold is a product worth stocking.”
Natalie Lightfoot, Londis Solo, Baillieston, Glasgow: “We stock Mayfair Gold Rolling Tobacco through our JTI rep and have run the incentives and promotions available which have been working well. The Ultra Value price point of Mayfair Gold RYO and RMC has resulted in many switching over. They have been receptive to this product which we have seen through repeat purchases. It’s a good-quality tobacco at an appealing price. They like the value and quality, which is reflected in our sell-through. It’s staked a place in store and online as well.”
Andrew Cruden, Market Square News, Northampton: “We try and stock any new product that comes out, so we got the rolling tobacco as soon as it was available. We’re in touch with our rep and I saw it advertised on JTI 360. Sales have gone really well. Ninety-nine per cent of tobacco customers in our shop ask what our cheapest product is, so we can target them with value products like Mayfair Gold. I’d definitely recommend to other retailers. Once most of our customers have tried it, they tend to stick with it.”
Bobby Singh, BB Nevison Superstore & Post Office, Pontefract, West Yorkshire: “We heard about the rolling tobacco from our JTI rep and we’ve seen it on JTI 360 as well. Sales are consistent. Our tobacco customers are a mixed bag – some are brand-loyal, but some want value for money. When we get promotions that retain margins, we always recommend them to customers, and sales of Mayfair Rolling Tobacco have picked up since we started stocking it. As we have got customers who ask for the cheapest products, we can point them to Mayfair. I would recommend it to other retailers.”
For more information on Mayfair Gold RYO and JTI’s other offerings, visit jti360.co.uk for a bespoke service to suit your needs.
[1] Circana Market Place, Volume Share, Total Tobacco Category, Total UK, over the last 12 months to June 2024
[2] Circana Market Place, Volume Share, Total Tobacco Category, Total UK, over the last 12 months to June 2024 (based on slope calculation)
[3] Circana Market Place, Volume Share, Total Tobacco Category, Total UK, June 2024
[4] Circana Market Place, Value Sales, Mayfair Gold, Total UK, September 2023 to May 2024
*Retailers are free to sell JTI products at whatever price they choose
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