British American Tobacco PLC BATS

British American Tobacco: Strategy to Diversify From Cigarettes to Nicotine Categories Lacks Focus

The advent of e-cigarettes has created the most significant change in the tobacco industry since the 1960s. Early forms of e-cigarettes have existed for a generation, but with the consumer arguably less brand-loyal and more aware of health issues than ever before, the industry is undergoing a shift to next-generation nicotine-based products. It seems likely that cigarettes will remain the driving force of the industry profit pool for the next decade, but Big Tobacco manufacturers are nevertheless placing their bets on new categories most likely to win share of smokers.