US: Convenience Store Sales Volumes See Some Relief from Last Year

Source from:  CSPnet.com  04/30/2014

Cigarette-category volumes in convenience stores were down 2.8% during the four-week period ended April 12, according to a research report from Bank of America Merrill Lynch. This sales decrease follows a 2.2% drop in the prior four-week period and laps 4.0% decline in April 2013.

Citing Nielsen, total U.S.-convenience data, the analysts reported that in the most recent period:

·Philip Morris USA's c-store cigarette volume declined 2.8 %.
·R.J. Reynolds Tobacco's volume fell 2.8%.
·Lorillard's volume decreased 0.9%.

Volume share for Philip Morris and RJR held steady at 53.5% and 26.9% respectively; Lorillard share rose 0.2% to 13.0%.

Cigarette-per-pack prices were up 1% in April. Average prices for the category, Philip Morris $6.14, RJR $6.26 and Lorillard $6.44 per pack.

Meanwhile, smokeless-tobacco volumes (including moist smokeless tobacco or "MST," chew and all other smokeless tobacco products) increased +6.4% in April, below year-to-date trends of 7.3% growth and lapping a 5.7% increase a year ago.

"In MST only, we estimate that Philip Morris/U.S. Tobacco's volumes rose +2.2% in the latest four-week period, slowing from the prior four weeks' rise of 3% and lapping a 6.6% gain a year ago," the analysts wrote.

Cigarette Sales in Convenience Stores
Key cigarette category and manufacturer trends for the 4-, 12- and 52-week periods to April 12, 2014

Smokeless Tobacco Sales in Convenience Stores
Key smokeless-tobacco category and manufacturer trends for the 4-, 12- and 52-week periods to April 12, 2014