Two tobacco retailer programmes in Banyuwangi, Indonesia: a qualitative study

Abstract

IntroductionThe tobacco retail density in Indonesia is very high, and tobacco companies are creative at promoting their products at point of sale (POS). The study explores the strategies employed by tobacco companies through their retailer programmes in Banyuwangi, Indonesia.MethodsIn 2019 we conducted observation and indepth interviews with the owners/keepers of 12 retailers with Sampoerna Retail Community (SRC) signs and 6 retailers with Gudang Garam Strategic Partnership signs placed as store names in front of their stores. We analysed the data to identify key strategies used by each tobacco company.ResultsGudang Garam promoted more visibility of their own products, while Sampoerna promoted their products in a power wall and also rearranged other products sold in the store to attract more customers. Sampoerna educated their retailers to attract and retain more customers by using schemes such as reward points and coupons. Sampoerna also developed and promoted the use of a mobile application for online sales.ConclusionsBoth programmes promote product and brand display at retailers to create brand loyalty. The SRC mobile application for online sales is potentially attractive to young customers and allows for data collection about retail and customer purchase behaviours that can be used for tailored marketing. Tobacco sales promotion strategies should be strongly regulated. Banning indoor tobacco advertisement, promotion and tobacco display at POS should be encouraged.

Uncovering the advertising and promotional strategies of tobacco companies in Cambodia: recall of below-the-line marketing among young male smokers

“…Despite the small sample size, these research findings are particularly concerning because below-the-line marketing strategies, including POS advertisements or promotions, have been banned in Cambodia since 2015 32. This is also concerning given tobacco companies use of POS promotions to generate brand awareness in high-income countries4 and LMICs in the region,24 28 alongside evidence showing that this strategy influences young people’s smoking susceptibility9 and uptake 10. Since cigarette packet displays are still permitted under current restrictions, our research findings could also demonstrate that tobacco companies are exploiting this gap in the legislation to promote their brands to young people in Cambodia.…”

“…Tobacco companies have also used below-the-line marketing to target young people in low/middle-income countries (LMICs) in Southeast Asia 22. Previously documented strategies include advertising on social media platforms,23 tobacco retailer programmes to optimise POS promotions,24 individual sales promotions25 and trademark diversification 26. In Indonesia, one tobacco company used social media to complement sponsorship of a music event by featuring a tobacco-branded photo booth where young concertgoers could take pictures with their friends and then post them on social media with the official event hashtag 27.…”

Global tobacco advertising, promotion and sponsorship regulation: what’s old, what’s new and where to next?

“…Tobacco sales are also commonly prohibited from pharmacies by both regulation and voluntary policies. Banning all online tobacco sales is another potential first step in limiting supply, particularly in light of evidence that the tobacco industry has developed mobile applications to enable online sales that can then also be used for tailored and direct marketing 63. Like other tobacco control policies, such as smoke-free laws, that have been incrementally extended and tightened, limiting where tobacco is sold seems increasingly possible 64…”

Tobacco company agreements with tobacco retailers for price discounts and prime placement of products and advertising: a scoping review

“…According to research published after our search, some contracts are specific to certain products (ie, smokeless tobacco),53 54 are publicly acknowledged,55 and use mobile technology to promote brand loyalty 55. Rather than kept secret, one study found that some retailers in Indonesia advertised their participation in retailer incentive programmes 55…”