NEW YORK (Yosefardi) – Philip Morris International Inc (PMI) sold 73.8 billion units of cigarette in Indonesia during first quarter of this year, decreased by 1% compared to the same period of last year, mainly reflecting a weaker economy.
The total cigarette market for the full-year 2014 is estimated to increase by up to 1%.
PMI’s shipment volume in the quarter of 25.5 billion units decreased by 5.5%, primarily due to lower market share, down by 1.6 points to 34.6% as a result of;
1) Share decline of hand-rolled Dji Sam Soe, which decreased by 2.1 points to 4.2%, due to the continuing decline of the hand-rolled kretek segment, partially offset by the growth of machine-made Dji Sam Soe Magnum, and the fact that the brand crossed a critical price point ahead of competition
2) Withdrawal of PMI’s ultra-low price brands Trend Mild and Vegas Mild following the implementation of excise tax legislation relating to sister companies in the fourth quarter of 2013
3) Increased competition in the machine-made LTLN (low-tar, low-nicotine) segment.
Market share of Sampoerna A, in the premium machine-made LTLN segment, increased by 0.1 point to 14.4%, while mid-price U Mild was up by 1.1 points to 5.2%.
Marlboro’s market share increased by 0.3 points to 5.3% and its share of the “white” cigarettes segment, which represented 6.6% of the total cigarette market, increased by 5.9 points to 80.4%.