Small Retailers’ Tobacco Sales and Profit Margins in Two Disadvantaged Areas of England

2016 
Aim: To explore tobacco profit margins and sales among small retailers in England. Methods: Interviews with managers/owners of 62 small retail shops that sold tobacco in disadvantaged areas of Newcastle and London, England. The interviews included questions about tobacco sales and profit margins, and interest in reducing reliance on tobacco sales. Results: The majority of retailers (89%) reported low overall profit margins on tobacco sales ( Conclusions: Small retailers report low tobacco profit margins, but high reliance on tobacco sales because of footfall. Retailer interest in reducing reliance on tobacco sales warrants further research into opportunities for disinvestment. Additionally, retailers’ belief that they are reliant on tobacco sales because of footfall should be further investigated.
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