Maintaining brand vitality in a highly regulated tobacco market

Australia has some of the world’s toughest restrictions on tobacco marketing. T he Plain Packaging Bill was announ ced in 2010 and finally implemented in 2012. Packaging was widely regarded as the key remaining medium for promoting cigarette brands and so a logical assumption was that plain packaging would have a detrimental impact upon cigarette brand portfolios. This research examines changes in Australian cigarette brand portfolios between March 2010 and March 2012. The findings show that despite increasing regulation the big t hree tobacco companies have maintained the vitality of their brand portfolios and introduced new brands and brand line extensions during this period. The expanding brand portfolios raise concerns about the impact of regulations on branding capabilities, as well as questions as to how manufacturers are still able to introduce new products into a market with some of the strictest tobacco marketing controls.