Chronicle EditorConrad Mwanawashe : Business Reporter
LISTED British American Tobacco Zimbabwe’s first quarter performance was lower than the same period last year, managing director Clara Mlambo has said. However the company expects a rebound in the next quarter. “We have a low performance than the same period last year. However we expect performance to keep up in the next three months and in the second half of the year,” said Mrs Mlambo.Strategies put in place will help the company rebound especially the Madison promotion launched last week.
Mrs Mlambo believes that since Madison accounts for 45 percent of the group’s performance, the promotion around it will see increased volumes.
“This is mainly due to a number of strategies and activities that have been put in place which will help us in terms of performance.
“One of the key initiatives that we actually just launched last week is the Madison promotion.
“We normally see improvement in our volumes during that time (of the promotion) and we expect that trend to continue this year.
“Madison has about 45 percent share so it’s our biggest promotion for our biggest brand,” she said.
But the low volumes are not synonymous with BAT Zimbabwe only as it cuts across other players in the sector, and by extension other sectors of the economy.
For the cigarette makers, it is about a shrinking pie and does not signal loss of market share, according to the BAT executive.
Her experience in the market, where she says she spends most of her time in, is that the situation is challenging.
“It is difficult. I spend a lot of time in the market. Last Friday I was in Shamva, Mount Darwin and Bindura.
“The other week I was in Mufakose, Kuwadzana and Warren Park. Three weeks ago I did a country tour and I was in Bulawayo, Gweru, Masvingo and Mutare.
“So I have a very good understanding of what is actually happening,” she said.
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