NEW YORK (Yosefardi) – Philip Morris International Inc. (PMI)’s total cigarette market in Indonesia increased by 1.9% to 314.0 billion units in 2014. In 2015, the total market is forecast to increase by up to 2%.
PMI’s shipment volume of 109.7 billion units in 2014 decreased by 1.5%. PMI’s market share decreased by 1.3 points to 34.9%, predominantly due to the share decline of: Sampoerna Hijau, down by 0.9 points to 3.4%, mainly reflecting the decline of the total hand-rolled kretek segment; and the hand-rolled, full-flavor variants of Dji Sam Soe in the premium segment, which decreased by 1.5 points to 4.2%, mainly due to a retail price change ahead of competition.
The decline in PMI’s market share was partly offset by machine-made mid-price U Mild, up by 1.0 point to 5.4%, and machine-made Dji Sam Soe Magnum and Dji Sam Soe Magnum Blue, up by a combined 1.0 share point to 2.1%.
Market share of Sampoerna A in the premium machine-made lighter-tasting kretek segment was flat at 14.4%. While market share of Marlboro decreased by 0.1 point to 5.1%, its share of the “white” cigarettes segment, representing 6.4% of the total cigarette market, increased by 2.0 points to 79.7%.
The machine-made kretek segment, representing 73.5% of the total cigarette market, increased by 3.8 points and PMI’s share of the segment increased by 0.4 points to 29.9%.
In the fourth quarter of 2014, the estimated total cigarette market decreased by 3.0% to 79.0 billion units, primarily reflecting the elimination of fuel subsidies and higher commodity prices.
PMI’s shipment volume in the quarter of 27.9 billion units decreased by 3.8%. PMI’s market share decreased by 0.3 points to 35.3%, predominantly due to the share decline of Sampoerna Hijau, down by 1.0 point to 3.2%, mainly reflecting the decline of the total hand-rolled kretek segment.