Shanghai Tobacco Import-Export Co. Makes New Breakthrough in Market Development

Source from:  TobaccoChina Online 01/30/2012

Shanghai Tobacco Import-Export Co., Ltd. - the foreign trade arm of Shanghai Tobacco Group - made new breakthrough in the development of international markets in 2011 by intensifying efforts to develop big competitive cigarette brands and make market promotion, and by accelerating implementation of the strategy of going on international markets. In 2011, Shanghai Tobacco Group realized overseas sales of 8.605 billion cigarettes (172,100 cases), turning itself into the No. 1 exporter of tobacco products in China's tobacco industry. Specifically, Shanghai Tobacco Import-Export Co., Ltd. exported 6.03 billion cigarettes (120,600 cases) in general foreign trade for Shanghai Tobacco Group in the year, earning 150 million U.S. dollars. Meanwhile, Shanghai Tobacco Group sold 2.575 billion cigarettes (51,500 cases) produced in its overseas operations in the year, sharply up 26.5 percent year-on-year. In the year, taking the 60th anniversary of the birth of the well-known Chunghwa cigarette brand, Shanghai Tobacco Import-Export Co., Ltd. managed to conduct a series of publicity activities to promote the sales of Chunghwa, Zhongnanhai, the Red Double Happiness, Golden Deer and other big competitive cigarette brands of Shanghai Tobacco Group through overseas taxable markets and duty-free markets, and actively promote the development of big competitive brands in a systematic way. In dong so, Shanghai Tobacco Import-Export Co., Ltd. successively developed a total of 16 taxable and duty-free markets in Angola, Panama, Peru, Malaysia, Myanmar and Mongolia and with All Nippon Airways and an Australian cruises company in the year. By keeping applying in an in-depth way the marketing channels management model of relying mainly on self-operation with distribution in support, Shanghai Tobacco Import-Export Co., Ltd. realized a 3.3 percent growth in the number of retail networks at key market areas, and a 12.9 percent growth in sales volume year-on-year. By generalizing application of the SAP-CRM customer relationship management information system, it realized online application of the system at markets in Australia and New Zealand. Meanwhile, Shanghai Tobacco Import-Export Co., Ltd. took steps to greatly develop foreign cooperation in both cigarette making and marketing. For example, through cooperation with Nanyang Brothers Tobacco Co. Ltd., it realized joint-venture production of the Red Happiness brand cigarettes in Hong Kong, contributing to increasing its overseas sales by 21.3 percent year-on-year. Through two-way license of trademarks with Japan Tobacco Inc., Shanghai Tobacco Import-Export Co., Ltd. successively realized a 16.2 percent year-on-year growth in the annual output and sales volume of Golden Deer brand cigarettes at markets in Russia. As a result of adoption of such favorable measures, Shanghai Tobacco Group succeeded in further extending the influence of its big competitive cigarette brands at overseas markets in 2011. Enditem