BAT Anticipates Its Vapor Product Sales to Exceed $6.6B by 2022 | Convenience Store News
BAT Anticipates Its Vapor Product Sales to Exceed $6.6B by 2022 | Convenience Store News
LONDON — British American Tobacco plc (BAT) is gearing up for a major push into next generation tobacco products.
BAT's outlined its strategy for next generation (NGP) and reduced/risk products (RRP) during its investor meeting in London on Oct. 25. According to Bonnie Herzog, managing director of tobacco, beverage and convenience store research at Wells Fargo Securities LLC, BAT's CEO Nicandro Durante laid out an ambitious plan to substantially accelerate momentum behind its multi-category next-generation products strategy with the goal of:
More than doubling NGP revenue to more than $1.3 billion in 2018 and more than $6.5 billion in 2022 — or 15 to 20 percent of total revenues, and
Achieving breakeven profits on NGPs by end of 2018 followed by "substantial" profits by 2022.
