In analysing the changing marketing environment for the Tobacco industry, we look at the micro and macro-environments impacting on this …show more content…
As a deterrent government legislation requiring picture based warnings to be displayed on tobacco products have also been implemented around the world since the year 2000. This was put into affect in Australia in 2006 with warnings to cover 30% of the front and 90% of the back of each package.
Governments have implemented laws banning smoking in public places globally. There have been bans on smoking at workplaces, cafes, pubs and clubs, this is an initiative to encourage people to quit smoking and poses a serious threat to the tobacco industries marketing activities. In a study of the Australian public service, six months after the workplace smoking bans were brought into effect, it was found that moderate smokers reduced their cigarette consumption by an average of six cigarettes a day, and heavy smokers on average reduced by eight. This was a 29 and 27 percent drop in consumption. (Tobacco in Australia: Facts and Issues. 1998.) An environment such as the workplace, or nightclubs with smoking bans, can help reduce the uptake of smoking by reducing social influences. This helps existing smokers to quit, seriously affecting marketing activities for the tobacco industry in the present, and in the future.
Government tax increases on tobacco products are a most effective deterrent to