BACKGROUND
Tobacco pricing impacts use, yet military retailers sell discounted
cigarettes. No systematic research has examined how military retail stores
use internal community comparisons to set prices. We analyzed data obtained
through a Freedom of Information Act request on community price comparisons
used by military retail to set cigarette prices.
METHODS
Data on cigarette prices were obtained directly from military
retailers (exchanges) from January 2013–March 2014. Complete pricing
data was provided from exchanges on 114 military installations.
RESULTS
The average price for a pack of Marlboro cigarettes in military
exchanges was $5.51, which was similar to the average lowest
community price ($5.45; Mean Difference=−0.06;
p=0.104) and almost a $1.00 lower than the average highest
price ($6.44). Military retail prices were 2.1%,
6.2%, and 13.7% higher than the lowest, average, and highest
community comparisons and 18.2% of exchange prices violated pricing
instructions. There was a negative correlation (r = −.21, p
= 0.02) between the number of community stores surveyed and exchange
cigarette prices.
CONCLUSIONS
There was no significant difference between prices for cigarettes on
military installations and the lowest average community comparison, and in
some locations the prices violated DoD policy. US Marine Corps exchanges had
the lowest prices, which is of concern given that the Marines also have the
highest rates of tobacco use in the DoD. Given the relationship between
tobacco product prices and demand, a common minimum (or floor) shelf price
for tobacco products should be set for all exchanges and discount coupon
redemptions should be prohibited.