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Per-pack price reductions available from different cigarette purchasing strategies: United States, 2009-2010.

TitlePer-pack price reductions available from different cigarette purchasing strategies: United States, 2009-2010.
Publication TypeJournal Article
Year of Publication2014
AuthorsPesko MF, Xu X, Tynan MA, Gerzoff RB, Malarcher AM, Pechacek TF
JournalPrev Med
Volume63
Pagination13-9
Date Published2014 Jun
ISSN1096-0260
KeywordsAdolescent, Adult, Aged, Aged, 80 and over, Commerce, Cost Savings, Female, Humans, Male, Middle Aged, Regression Analysis, Smoking, Taxes, Tobacco Products, United States, Young Adult
Abstract

OBJECTIVE: Following cigarette excise tax increases, smokers may use cigarette price minimization strategies to continue their usual cigarette consumption rather than reducing consumption or quitting. This reduces the public health benefits of the tax increase. This paper estimates the price reductions for a wide-range of strategies, compensating for overlapping strategies.

METHOD: We performed regression analysis on the 2009-2010 National Adult Tobacco Survey (N=13,394) to explore price reductions that smokers in the United States obtained from purchasing cigarettes. We examined five cigarette price minimization strategies: 1) purchasing discount brand cigarettes, 2) using price promotions, 3) purchasing cartons, 4) purchasing on Indian reservations, and 5) purchasing online. Price reductions from these strategies were estimated jointly to compensate for overlapping strategies.

RESULTS: Each strategy provided price reductions between 26 and 99cents per pack. Combined price reductions were possible. Additionally, price promotions were used with regular brands to obtain larger price reductions than when price promotions were used with generic brands.

CONCLUSION: Smokers can realize large price reductions from price minimization strategies, and there are many strategies available. Policymakers and public health officials should be aware of the extent that these strategies can reduce cigarette prices.

DOI10.1016/j.ypmed.2014.02.017
Alternate JournalPrev Med
PubMed ID24594102
PubMed Central IDPMC4590281
Grant ListCC999999 / / Intramural CDC HHS / United States
Category: 
Faculty Publication