Purchase price of tobacco in small retailers in Great Britain: the relationships with neighbourhood deprivation and urbanicity between 2016–2021

Background: Tobacco price is an important determinant of smoking behaviour. Using electronic point-of-sales (EPOS) data, this study assesses purchase price of factory-made cigarettes (FMC) and roll-your-own (RYO) tobacco across neighbourhood deprivation and urban/rural status in Britain. It considers price changes, 2016–2021 and brand price segmentation.

Methods: The analysis uses EPOS data describing 10 156 106 tobacco packs sold from 1012 convenience stores, across 24 seasonally-distributed weeks (2016–2021). Gross sales prices were adjusted for inflation and presented per 20 cigarette sticks of FMC and equivalent RYO. Tobacco brand variants were assigned to four price segments (sub value, value, midprice and premium).

Results: Between 2016–2021, the sales-weighted price of tobacco (20 sticks or equivalent) reduced from £8.72 to £8.10, reflecting a shift from FMC to RYO (RYO increasing from 32–46% of tobacco sales). The mean price of 20 sticks of FMC in the most deprived neighbourhoods was 5% (£0.51–£0.59) lower compared with the least deprived in all years; for RYO, this price difference grew from 3% to 5% (£0.13–£0.28). The greater likelihood that tobacco was from lower price segments in more deprived areas largely accounted for this price difference.

Conclusions: Differences in average price paid for tobacco between more and less deprived neighbourhoods reflect variations in numbers of purchases across price segments. Combined (FMC and RYO) tobacco prices per stick have fallen, reflecting increasing RYO sales. Innovative approaches are required to respond to the tobacco industry’s price differentiation by both price segment and product type and the growing importance of lower price RYO products.