ITC launches low-smell cigarette variant to boost sales amid declining volumes
India’s largest cigarette maker ITC Ltd is taking a bold step in the midst of declining sales by launching a new variant of its best-selling brand Classic. The new variant, called Classic Low Smell, aims to appeal to a wider audience by offering a cigarette that emits less odor.
The Classic Low Smell variant comes in blue packs and is made with high-quality blue leaf tobacco and special “tasteflo” filters, promising a unique smoking experience. Priced at ₹218 for a pack of 20 sticks, it is positioned as a more affordable option compared to other variants of Classic priced at ₹246.
Analysts are optimistic about the new product, citing its potential to attract first-time smokers and women who may be sensitive to the smell of cigarettes. However, the ultimate test will be whether regular smokers enjoy the taste of the new variant.
ITC’s decision to launch the Classic Low Smell variant comes at a time when the company is facing challenges in the form of declining cigarette sales. With 11 consecutive quarters of falling sales volume, ITC is looking to product innovation as a way to boost sales in a market where advertising is restricted.
The launch of the Classic Low Smell variant is a strategic move by ITC to counter the impact of excise duty hikes on tobacco products. With the Union budget proposing an increase in excise duty, ITC has been forced to raise prices on its existing brands, leading to further decline in sales volume.
As the company grapples with ongoing challenges in the cigarette market, the success of the Classic Low Smell variant could be a turning point in ITC’s efforts to revitalize its cigarette business. Only time will tell if this innovative product will be able to reverse the trend of declining sales and win over consumers in a highly competitive market.
