Russia Cigars and Cigarillos Market Research Report, 2028

Smoking has a long history in Russia, and tobacco use, including cigars and cigarillos, has been a significant part of Russian culture for many years. Cigars, in particular, were associated with the upper classes and were often enjoyed during gatherings of the elite. They were seen as a status symbol and a way to exhibit one's refined tastes. Cigar smoking was also commonly depicted in Russian literature and art, adding to its cultural significance. Russia has a growing market for premium cigars and cigarillos, with various international brands available in specialty tobacco shops and upscale bars. Cigar lounges and clubs are popular in major Russian cities, offering aficionados a place to enjoy cigars in a social setting. Russia signed the WHO Framework Convention of Tobacco Control (WHO FCTC) in 2008. Since then, it has adopted comprehensive tobacco control legislation which was implemented in 2013 and became effective in in 2014. Cigarette/Cigar demand for the 15+ age population fell by 51% from 162 packs to 79 packs per year since the country adopted the WHO FCTC. Since then, Russia restricts smoking in public places, bans all forms of tobacco advertising and promotions, restricts sale of tobacco products in certain areas (e.g., sport facilities, healthcare facilities, near educational facilities), and has implemented health warnings covering at least 50% in the front and back of packages. According to the research report "Russia Cigars and Cigarillos Market Overview, 2028," published by Actual Research, the market is anticipated to grow with more than 4% CAGR from 2023-2028. In recent years, the market for cigars and cigarillos in Russia has experienced a remarkable resurgence, marked by significant growth, owing to several emerging trends that have shifted the landscape of tobacco consumption in the country. These trends are reflective of changing consumer preferences and behaviors, as well as a broader global cultural influence. One key factor contributing to this growth is the increasing affluence and disposable income of a segment of the Russian population. As more people have greater economic means, they are drawn to the premium and luxury image associated with cigars and cigarillos, considering them a symbol of sophistication and a status symbol. Furthermore, there has been a growing interest in the sensory and experiential aspects of smoking, with individuals appreciating the nuanced flavors and aromas that cigars and cigarillos offer. This has led to the emergence of cigar lounges, where enthusiasts can savor their chosen tobacco products in a refined and social setting. Additionally, the impact of globalization and a more connected world has exposed Russians to a wider range of cultural influences, including the traditions of cigar and cigarillo consumption from different parts of the globe. This has led to a diversification of product offerings, catering to various tastes and preferences. Moreover, the trend of seeking alternatives to traditional cigarettes as consumers become more health-conscious has played a role. Cigarillos, in particular, are perceived as a milder and less harmful option compared to regular cigarettes.

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The tobacco market is segmented into distinct product categories, with the majority of the market being made up of cigars, cigarillos, and little cigars. As a testament to the enduring popularity of this classic tobacco product, cigars continue to lead these categories. Cigars have a rich and fascinating history that spans several centuries, and they still enthrall a diverse group of customers. Their appeal is complex; they offer not only the chance to smoke quality tobacco but also a cultural and often ritualistic experience. They're frequently seen as a symbol of relaxation, and even celebration, making them a top choice for commemorating special occasions or for simply indulging in a moment of leisure. In terms of flavor, pure tobacco's supremacy over other flavors is also evidence of the genuineness and agelessness of pure tobacco. A wide range of consumers are drawn to natural tobacco flavor because of its transparency and purity. But an interesting change is expected in the near future; flavored cigar and cigarillo goods are expected to increase at a faster rate in the upcoming years. Customers' changing interests and preferences, especially those looking for novelty and variety in their smoking experiences, have an impact on this shift. A variation from the traditional tobacco taste is provided by flavored choices, which come in a variety of mouthwatering tastes and have played a significant role in luring new and younger smokers into the fold. Based on the price of cigar and cigarillos the market is segmented into Mass Priced and Premium Priced. The premium cigar and cigarillo market is anticipated to experience high growth in the coming years. This shift is influenced by a combination of factors. Discerning consumers are increasingly valuing the quality, craftsmanship, and unique attributes associated with premium-priced products. These offerings often boast superior tobacco blends, meticulous hand-rolling and extended aging, resulting in a more refined and indulgent smoking experience. However, the market is dominated by the mass priced cigar and cigarillos. Mass-priced cigarillos are a category of small cigars that are known for their affordability and accessibility. These products are particularly popular among consumers who seek a cost-effective alternative to traditional cigars while still enjoying a convenient and satisfying smoking experience. Based on the distribution channel, it is anticipated that online channel will dominate the market. The convenience that online shopping provides to customers is one of the main reasons for its growth. People browse, choose, and buy a wide range of cigar and cigarillo items from the comfort of their homes with ease via online platforms. A wide range of customers find this convenience very appealing, from seasoned enthusiasts searching for certain brands and blends to novices looking for a carefully chosen assortment of choices. Considered in this report: •Geography: Russia •Historic year: 2017 •Base year: 2022 •Estimated year: 2023 •Forecast year: 2028

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Kripa Shah

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Aspects covered in this report: •Russia 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

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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.