Tobacco

Total Nicotine Volume Up as Pantry Loading Increases

Report shows unit, dollar growth for cigarettes in all channels
Tobacco
Photograph: Shutterstock

NEW YORK — Total nicotine volume accelerated significantly in the two weeks ending on Nov. 14, according to a report from Goldman Sachs Managing Director Bonnie Herzog.

This reflects a return to pantry loading as COVID-19 infections rise, according to the report.  

“Given ongoing uncertainties around federal government stimulus, we continue to watch for any potential impact there may be on the nicotine category especially as it relates to downtrading, which remains the biggest potential risk, in our view,” Herzog said.

Volume was up 1.2% year-over-year for the two weeks ending on Nov. 14. Cigarette volume was up 1.7% during that same time, according to the report, while cigarette dollar sales growth was up 5%. Oral nicotine was up even higher in dollar sales at 7.8% growth.

This contrasts the end of October when total nicotine volumes were down 1.8% over two weeks.

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