Sun, 07 Mar 2021

Cigar and Cigarillos Industry


Implementation of taxes and the ever-rising price of traditional cigarettes drive the demand for cigar and cigarillos. A large number of customers prefer cigars as they have a decent reputation and affordable price, which is projected to positively support the growth of the market. Various market players are concentrating on new product launches, capacity enhancement, and technological innovations to cater to the future and existing demand patterns from newly introduced product segments. The rising number of young buyers, including men and women, is further anticipated to propel the market growth.

Nicotine addiction is one of the key reasons behind the growing smoking habits among men, women, and kids. Psychological factors such as tobacco dependency also play a substantial role that makes it difficult for people to quit smoking. Women across the world have started considering smoking as a sign of fashion in society, whereas the others have to do it because of peer pressure. The social factors include poor upbringing of children in materially deprived circumstances. In Western Europe, large section of the NORDIC population prefers flavourless/tobacco-based cigars and cigarillos.

The rising popularity of cigar parlours and cafes coupled with the newly introduced lounge culture in Italy is foreseen to drive the growth of the cigar and cigarillos market in the country. In Switzerland, a large number of people use tobacco/flavoured cigars and cigarillos. People in this region also enjoy smoking fruit and candy flavoured cigars. An increasing number of female smokers in countries of Poland and Russia is anticipated to drive the growth of the Eastern Europe cigars and cigarillos market.

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The following manufacturers are covered in this report:

Japan TobaccoBritish American TobaccoAltriaSwisher InternationalSwedish MatchAgio CigarsArnold AndreDannemann CigarrenfabrikJoh.Wilh.von EickenJ.Cortes CigarsImperial Brands

Market Segmentation

The chocolate and vanilla flavoured cigars and cigarillos are also equally famous among the consumers. According to the research, the mass segment held a crucial market share owing to the rising popularity of cigars and cigarillos among the young customers. However, the premium product segment of the cigar market is anticipated to prosper at the highest CAGR over the forecast period. The market study suggests that the flavoured product segment is anticipated to hold substantial market shares. Numerous modern customers prefer flavoured cigars as the taste is perceived to be better than normal tobacco flavoured products. Several customers are diverting from other tobacco-based products including traditional cigarettes to cigar and cigarillos.

Regional Analysis

Geographically, North America was believed as the biggest consumer in the cigar and cigarillos market in the year 2018. Increasing demand for premium products in the U.S. has assisted the region to hold crucial market share. The United State has a crucial position in the global cigar market is expected to maintain its dominance throughout the forecast period. After the United States, Germany and China are the biggest markets. A rising number of youngsters coupled with the growing number of cigar lounges are the main factors driving the market growth in China. Existence of luxury bars and hotels with cigar lounges, in the US, U.K., and China has fueled the demand of cigars in these regions, which indirectly favours the market growth.

Important Facts

Traditional cigar manufacturers are conducting advanced R&D activities to come up with good tobacco quality and exciting flavours, and are even researching and investing to improve packaging in order to improve aesthetic appeal. In the year 2019, El Artista Cigars, a leading cigar manufacturer launched a range of exotic cigar with the brand title Buffalo TEN which claims to deliver good tobacco quality with impressive packaging.

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Wise Guy Reports is part of the Wise Guy Research Consultants Pvt. Ltd. and offers premium progressive statistical surveying, market research reports, analysis & forecast data for industries and governments around the globe. Wise Guy Reports understand how essential statistical surveying information is for your organization or association. Therefore, we have associated with the top publishers and research firms all specialized in specific domains, ensuring you will receive the most reliable and up to date research data available. We also provide COTS (Commercial off the Shelf) business sector reports as custom exploration agreeing your particular needs.

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