Cigarette marketing rises as sales drop

Essay by princessjss21High School, 12th gradeA+, January 2005

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Tobacco companies spend more than ever to market cigarretes, but their sales are

steadily falling. They spent billions on advertising and promotions in 2002, which is the last

year that data is availible. There had been a slight increase but it then dropped about 5.5%.

The companies are spending large chunks of their budjet on discounts which were passed

to retailers and wholesalers, who would then reduce their cigarrete prices for their

customers. Over half of the companies budget was spent on such discounts. The

companies also have to pay retailers for shelf space, this and other promotional allowances

took a 1.3 billion dollar chunk out of their budget.The President for the Campaign for

Tobacco Free Kids said that these efforts to reserve shelf space and reduce prices are

aimed at trying to hook young people. He says that the most price-sensitive population are

kids and that the tobacco companies know that.

On the other hand a spokesman for the #2

cigarrete maker says the his company is trying to win over adults not children. He says their

efforts are to communicate with and gain the business of the adults who choose to smoke. I

think the tobacco companies can say that they are trying to gain the busines of adults, but

they know that they are also trying to appeal to kids. Kids who smoke are more likely to grow

up to be adults who smoke, than kids who choose not to smoke. But with this new fall in

sales, that means either more adults are quitting, or kids aren't buying, which in my opinion,

either sounds good.