Analysis of tobacco industry pricing strategies in 23 European Union countries using commercial pricing data

Abstract

BackgroundThe tobacco industry (TI) can act to undermine the impact of tobacco tax increases by adopting various pricing strategies. Little is known about strategies used across the European Union (EU), except for the UK.AimTo examine pricing strategies adopted by the TI in the EU, and whether they differ by cigarette price segment, or between manufactured and roll-your-own (RYO) cigarettes.MethodsThis is a longitudinal analysis of commercial pricing data for manufactured and RYO cigarettes from 23 EU countries in 2006–2017. Price and revenue trends were explored. Linear regression estimated the average annual change in revenue, and linear fixed-effects panel regression models were used to explore the association between changes in median revenue (net of tax and adjusted for inflation) and tax increases in different price segments of manufactured cigarettes.ResultsOver the 11-year period price gaps were observed in all countries. The average annual adjusted median net revenue per pack increased in 19 of 23 countries for manufactured and RYO cigarettes. A tax increase was associated with a significant decrease of −€0.09 in adjusted median net revenue per pack (95% CI −0.16 to −0.03) in the cheap cigarette price segment, while no change was detected in the expensive cigarette price segment (−€0.05, 95% CI −0.11 to 0.01).ConclusionAcross the EU, pricing strategies adopted by the TI maintained or increased price gaps and retained cheaper tobacco products in the market, diminishing the impact of tobacco tax increases. Further strengthening of tobacco taxation policy is needed to maximise public health impact.

Size matters: An analysis of cigarette pack sizes across 23 European Union countries using Euromonitor data, 2006 to 2017

“…All prices were adjusted for inflation to a baseline year of 2015 and converted to Euros as described previously. [14] Results While 20-packs were the norm in most years (the mean percent ranged from 67% to 91% during the study period), the variety of cigarette pack sizes in annual samples changed over the study period at the EU level (Fig 1). Pack size composition in any given year differed between the cheap and expensive quartiles, with <20-packs comprising a greater percentage of the cheap quartile.…”

“…All prices were adjusted for inflation to a baseline year of 2015 and converted to Euros as described previously. [ 14 ]…”

The Design of University Physical Education Management Framework Based on Edge Computing and Data Analysis

“…Modern management has long become the trend of efficient operation in various industries. While reducing the pressure of managers, this model also provides convenience for people's lives [9]. While the construction of sports Informa ionization is carried out, information resources are also valued by sports organizations, and the development of an informationbased sports teaching management system is imperative [10].…”

Anticipated responses to a hypothetical minimum price for cigarettes and roll-your-own tobacco: an online cross-sectional survey with cigarette smokers and ex-smokers in the UK

“…[18][19][20][21] However, tobacco companies can shift tax increases across brand portfolios to preserve affordability for price-sensitive consumers; for instance, charging extra for more expensive variants (overshifting) and absorbing tax increases for the least expensive variants (undershifting). [22][23][24][25][26] Consequently, there is growing interest in non-taxation mechanisms for price control, including a minimum mark-up on wholesale price, a price cap to limit overshifting duty increases onto premium products and a minimum retail price (hereafter 'minimum pricing'). 27 28 Sales modelling data suggest that minimum pricing may reduce smoking prevalence, and the effects may be greater than achieved through taxation alone.…”