Imperial Tobacco’s 2012 Results

imperial brands

Overview

During the last several years Imperial Tobacco has made great efforts in changing its tactical target to put customers at the center of its business and push organic sales growth. It’s been a quick change and the company was happy with the growth it is making, creating quality growth from high quality brands to push sustainable earnings.

Imperial Tobacco‘s success is constructed around a differentiated strategy that’s aimed at using its understanding of consumer reasons to appreciate the potential of its portfolio and provide consumers with the best tobacco experiences.

2012 Results

The company’s target at pushing sales has provided numerous highlights in 2012. Imperial has raised tobacco net profits by 4% to .7.0 billion, as it continued to develop momentum behind its total tobacco portfolio.

Its total volumes restored strongly from its first quarter and the cigarette maker finished the year with general stick equivalent volumes decreasing 2.7%, a lot of which was caused by current market weakness in Ukraine and Poland and compliance with international trade sanctions in Syria.

The quality of Imperial’s brands and the growth it is delivering is shown in the strong portfolio benefits the company made in 2012. The excellent performance of its key strategic brands, Davidoff, Gauloises Blondes, West and JPS, led to combined volume growth of 7% and net income growth of 13 %. Its fine cut tobacco volumes were firm, with net profits increased by 13%. The tobacco company presented further strong benefits from premium cigars growing volumes by 11% and profits by 10% and increased Scandinavian snus volumes by 53% and net profits by 46%.

Key Strategic Brand Success

Driving momentum behind Imperial Tobacco’s major strategic brands is a current goal. In 2010, Davidoff, Gauloises Blondes and West generated 26% of the company’s overall stick equivalent volumes; currently they represent 30%. Increasing the sales momentum behind Davidoff has been a special target in 2012. The company provided volume growth of 9% and made great progress in Asia, the Middle East and Eastern Europe, getting volume and share in profitable consumer growth segments such as kingsize superslims and queen size.

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