While I am no fan of tobacco retail, as a retailer it is hard to find fault with their Sydney CBD presence. Consistent, clean, easy to shop locations are a lesson in strong franchise retail.
TSG (Tobacco Station Group) is one of major competitors of CDB newsagents who retail Tobacco products.
One of our friends is co-owner of a CBD newsagency. Three years ago, she complained that she had been buying wholesale from one TSG shop 2 blocks away for years. Suddenly, a TSG shop opened 2 doors away from her newsagency and both TSG shops have the same owners.
There is no upside in tobacco sales, especially for independent retailers.
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Jonathan Wilson
I have always wondered how these tobacconists make money given the decline in smoking. (at least the ones like my local TSG that aren’t newsagents or lotto or convenience stores as well as tobacconists…)
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SUNNY
Tobacconists have two income streams, wholesale and retail.
———————————————————————
—-Given the decline in smoking of Legal Tobacco products——–
———————————————————————
Wholesale peaked in last couple of years.
Retail might not peak as the same customers who will buy Vapes or other cheaper options.
TSG (Tobacco Station Group) is one of major competitors of CDB newsagents who retail Tobacco products.
One of our friends is co-owner of a CBD newsagency. Three years ago, she complained that she had been buying wholesale from one TSG shop 2 blocks away for years. Suddenly, a TSG shop opened 2 doors away from her newsagency and both TSG shops have the same owners.
There is no upside in tobacco sales, especially for independent retailers.
I have always wondered how these tobacconists make money given the decline in smoking. (at least the ones like my local TSG that aren’t newsagents or lotto or convenience stores as well as tobacconists…)
Tobacconists have two income streams, wholesale and retail.
———————————————————————
—-Given the decline in smoking of Legal Tobacco products——–
———————————————————————
Wholesale peaked in last couple of years.
Retail might not peak as the same customers who will buy Vapes or other cheaper options.