Summary

In Germany, smoking is widespread and is subject to very few and lax regulations compared to other countries in Europe. Tobacco taxes in Germany are among the lowest in Europe. Germany ranks last on the Tobacco Control Scale and has sometimes been referred to as the "smoker's paradise" of Europe. Cigarettes, cigarillos and cigars as well as pipe and fine cut tobacco are among the traditional smoking tobacco products in Germany, but smokeless products such as snuff and chewing tobacco also have a long tradition in this country. However, cigarillos, particularly flavored ones, remained relatively popular, especially among younger adults. This was attributed to their convenience, variety of available flavors, and the perception that they offered a milder and more accessible smoking experience compared to full-sized cigars. Germany had stringent regulations governing tobacco products, including cigars and cigarillos. These regulations encompassed the display of warning labels on packaging, restrictions on tobacco advertising, and age restrictions for purchasing these products. High taxes were imposed on tobacco items, contributing to increased retail prices and serving as a deterrent to consumption. These tax revenues also supported various healthcare initiatives and anti-smoking campaigns aimed at discouraging tobacco use. Health awareness campaigns had played a significant role in shaping public attitudes toward smoking. These initiatives aimed to educate the population about the health risks associated with tobacco consumption, highlighting the dangers of smoking not only cigarettes but also cigars and cigarillos. Such campaigns, along with the widespread understanding of the detrimental health effects of tobacco, contributed to the overall decline in tobacco use in Germany. Economic factors, including changes in disposable income and the general economic climate, influenced tobacco consumption patterns. According to Foundation For A Smoke-Free World; there are 17.5 million smokers in Germany as of 2022.Rates of tobacco smoking in Germany are significantly higher compared to other European nations. It is reported that more than one in four Germans over the age of 14 are current smokers. Germany is the second largest market for illicit tobacco trade among the 27 E.U. member states. In 2020, it was estimated that 200 million illicit cigarettes were consumed.

According to the research report "Germany Cigars and Cigarillos Market Overview, 2028," published by Bonafide Research, the market is anticipated to reach more than USD 2 Billion by 2028. The cigar and cigarillos market in Germany was substantial, with a high value associated with these tobacco products. Traditional cigar consumption had been on the decline, primarily due to health concerns and changing consumer preferences. Many consumers viewed cigars as luxury items or enjoyed them on special occasions. Cigarillos, on the other hand, continued to be relatively popular, especially among younger adults. The variety of flavors and the convenience of cigarillos made them more attractive to a segment of the population. German consumers were increasingly inclined to explore high-quality and flavored cigarillos, seeking a more refined and diverse smoking experience. This shift in preference towards premium cigarillos was attributed to factors such as changing lifestyles, a desire for variety, and an appreciation for the craft and unique flavors offered by these products. Manufacturers in the tobacco industry were responding to this trend by introducing a wider range of premium cigarillo options to cater to the evolving tastes of German consumers.

The market is segmented based on the Types; into Cigars, Cigarillos, and Little Cigars. Cigars are dominating the market as of 2022. Cigars are readily available in Germany through specialized tobacco shops, which offer a wide selection of brands and styles. This accessibility makes it convenient for consumers to explore and purchase cigars. Germany had been showing an increasing trend in consumption, particularly in flavored and premium cigarillos. This trend is attributed to the changing consumer preferences, evolving smoking habits, and the appeal of more convenient and diverse smoking experiences. The availability of a variety of flavors and premium options in the cigarillos market had garnered the attention of consumers, especially among younger adults and those looking for alternatives to traditional cigarettes. By Flavor Type, the report is categorized into two types that are Tobacco (No flavor) and Flavored. Tobacco cigars and cigarillos dominate the market as of now. Nicotine is the addictive substance in tobacco, and many smokers are primarily interested in satisfying their nicotine cravings. For consumers, the taste of tobacco may be more important than the flavor itself. Peer pressure and social norms can play a significant role in shaping consumer preferences. In some cultures or social circles, smoking tobacco-flavored cigarettes may be more socially acceptable or perceived as "cooler." Some smokers find the sensory experience of a tobacco-flavored cigarette more satisfying, such as the sensation of inhaling and exhaling the smoke, the smell of burning tobacco, and the tactile experience of holding and lighting a traditional cigarette. In some places, there are regulations or bans on flavored cigarettes, while tobacco-flavored ones may still be available. This can limit the choices available to consumers and drive them towards tobacco-flavored options. Along with this the market of flavored tobacco is also emerging and has the great CAGR for forecast for the coming years. Flavored tobacco products also typically have bright, colorful packages and are often sold individually and cheaply, making them even more appealing to youth and young adults. Youth and young adults use flavored tobacco products more than other age groups. Additionally, flavored products are often the first tobacco products youth and young adults ever use.

The market is segmented based on the Price Range, into Mass and Premium Range. Germany's strong and stable economy has provided consumers with greater disposable income. As a result, some consumers are willing to spend more on premium cigars as a luxury or status symbol. The consumption of premium cigars is often associated with a certain level of sophistication and lifestyle. Some consumers may see premium cigars as a way to enjoy a higher quality and more refined smoking experience. Premium cigars are typically made from high-quality tobacco and undergo a meticulous aging process, resulting in a more nuanced and less harmful smoking experience compared to cheaper alternatives. Health-conscious consumers may opt for premium cigars due to perceived lower health risks. Smoking premium cigars can be a social activity, and the allure of sharing a fine cigar with friends or colleagues may contribute to the shift towards premium ranges. The growing trend towards premium cigars in Germany may also be influenced by the increased availability of these products in the market, as retailers expand their offerings to cater to changing consumer preferences. Effective marketing and branding strategies by premium cigar manufacturers may have created a strong pull towards their products, enticing consumers with promises of superior taste and quality.

By Distributional Channel, the market is segmented into Specialty Store, Hypermarket/supermarket, Convenience Stores, Online, and Others. The high availability of cigars in specialty stores in Germany, holding the largest market share in these establishments, followed by hypermarkets and supermarkets, and online sales. Specialty stores are known for their expertise and diverse selection of cigars. They often carry a wide range of premium and niche brands, appealing to connoisseurs and enthusiasts. Shopping for cigars at specialty stores provides a unique customer experience, with knowledgeable staff who can offer recommendations and guidance, enhancing the overall enjoyment of the product. Premium cigars, which are often sought by cigar aficionados, are more commonly found in specialty stores due to their commitment to quality and exclusivity. Germany has a strong cigar culture with a significant number of cigar clubs and events. Specialty stores often serve as hubs for these activities and play a central role in promoting cigar culture. Specialty stores are often the first to receive limited edition cigar releases, making them appealing to collectors and enthusiasts. Consumers feel more assured of the quality and authenticity of cigars purchased from specialty stores compared to other retail channels. For many consumers, buying cigars is not just a transaction but an experience. Specialty stores offer the ambiance and social aspects that other retail formats may lack.

Considered in this report:
•Geography: Germany
•Historic year: 2017
•Base year: 2022
•Estimated year: 2023
•Forecast year: 2028

Aspects covered in this report:
•Germany Cigars and Cigarillos market with its value and forecast along with its segments
•Various drivers and challenges
•On-going trends and developments
•Top profiled companies
•Strategic recommendation

By Type:
•Cigars
•Cigarillos
•Little Cigars

By Flavor:
•Tobacco/ No Flavor
•Flavored

By Price Range:
•Mass
•Premium

By Distribution Channel:
•Speciality Store
•Hypermarket/supermarket
•Convenience Stores
•Online
•Others

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources.

Intended audience:
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Cigars and Cigarillos industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.

ページTOPに戻る

Table of Contents