Market Trends
Cigar Sales Over the Years
Tracking the sales of cigars in the US over the years, some clear trends appear. In the 1920s, cigar sales reached just over eight billion units sold and then saw a downturn into the late 1950s to about five billion cigars.
In the 1960s, sales began to pick up again. And by the early 1970s cigar volumes reached nearly eleven billion units. From the early 1970s through the early 1990s, sales dropped substantially, falling to around to as low as three billion annually. At this time in the early 1990s, industry outlook for sales was quite pessimistic.
Beginning in 1996, cigars became popular again. Many described the period as a cigar “renaissance” as attitudes toward cigars became more positive. There was a growing interest in anything that had to do with cigars and volumes grew annually to almost fourteen billion units by 2012. There was a downturn from 2012-2015 with a 12% drop from the peak of 2012. Some external factors may have led to this drop such as the long recovery from the recession of 2008-2009. Cigars are like any other product and the reduction in consumer discretionary spending lasted longer than many anticipated.
Cigar Sales 2016 - 2022
Cigar sales began to increase from 2016 to 2018 by around 9%. This was despite substantial governmental regulatory and state legislative action impacting the business environment. In 2019, sales increased slightly by just 1% over 2018. As COVID-19 began to impact the global economy in early 2020, sales dipped from February through May. Then unit sales began to level out and climb from June through December 2020.
Total sales for 2020 were still lower than 2019 but the last half of 2020 showed a strong comeback. In 2021 sales of all cigar types, large and little, soared to record numbers. Total cigar volume increased to 15.25 billion. Premium cigars also showed record numbers at 456 million imports, a 25% increase compared to 2020. When domestic production is included, premium cigar total volume soared to near 496 million cigars.
Even with the record growth in premium cigar imports in 2021, a steady uptrend has been consistent over the last 10 years. The 10-year compounded annual growth rate has been 5% for premium cigar volumes. Popular price large cigars amounted to 14.38 billion in total volume in 2021. It is estimated that 37% to 47% were flavored large cigars.(1)
(1) The 2021 sales volume estimate of popular price large cigars is based on an analysis of the MSAi data report for the 12-month period ending on 1/1/2022.
Cigar Sales in 2022 and Imports in 2023
In 2022, the estimated total cigar sales volume dropped 14%, down to 13.1 billion cigars. However, the upward trend in premium cigar imports continued just over 2% year-over-year growth. But, imports of popular price cigars for 2022 were down close to 15% year-over-year.(2)
In 2023, total large cigar imports experienced a 10% decrease compared to 2022 import data. Despite this decline, the premium cigar market demonstrated resilience in the latter half of the year, rebounding to slightly surpass 2022 figures by almost 1%. Specifically, 467 million premium cigars were imported in 2023, compared to 464 million in 2022. Following a remarkable 25% surge from 2020 to 2021, concerns emerged regarding the sustainability of this growth, with speculation that 2021 might represent a singular peak in premium imports before a downward trend ensued. However, as of the conclusion of 2023, it becomes evident that premium imports remain almost flat with a marginal 1% uptick from 2022.(3)
(2) Sales volume estimates for the total cigar market are based data from the TTB Statistical Reports, the U.S. Census Bureau IM-146 Import Report based on U.S. Customs data, the MSAi data report, IRI data, and CAA member companies.
(3) 2023 and 2022 comparative import data is derived from U.S. Census Bureau IM-146 Import Report based on U.S. Customs data and CAA member companies.
THE CIGAR MARKET TRENDS AND HIGHLIGHTS
This section below includes annual estimates from 2010 – 2022 for the total cigar market sales volume, large cigar volume only, premium cigar volume, and little cigar volume. Sources for the data include the TTB Statistical Report, the U.S. Census Bureau IM-146 Import Report based on U.S. Customs data, the MSAi reporting system, IRI data, and CAA member companies.
- Total Cigar Volume
Total Cigar Volume
Total cigar volume refers to the estimated total sales of cigars (large and little).
Units in Billions
The total number of estimated cigar sales is measured in the billions of units sold.
Total Large Cigar Volume
Total large cigar volume per year refers to the estimated sales of large cigars (popular price and premium cigars).
Units in Billions
The total number of estimated cigar sales is measured in the billions of units sold.
- Large Cigars
- Popular Price
Popular Price Large Cigar Volume
Popular price large cigar volume per year refers to the estimated sales of large cigars that are machine-made and not 100% tobacco.
Unit Sales in Billions
The total number of estimated cigar sales is measured in the billions of units sold.
Estimated Premium Cigar Volume
Annual estimated premium cigar sales includes domestically manufactured (in the U.S. including Puerto Rico) and imported cigars from the key supplier countries (Bahamas, Costa Rica, Dominican Republic, Honduras, Mexico, Nicaragua, and the Philippines).
Import Units in Millions
The total number of estimated cigar sales is measured in the millions of units sold.
- Premium Cigars in Millions
- Little Cigars
Little Cigar Volume
Little cigar volume per year refers to the estimated sales of little (or small) cigars (i.e., cigars classified as weighing less than 3 lbs. per 1,000).
Unit Sales in Millions
The total number of estimated cigar sales is measured in the millions of units sold.
CIGAR IMPORT HIGHLIGHTS
This section compares the highlights of cigar imports between each month of 2022 and 2023. Data originates from the U.S. Census Bureau IM-146 Import Report, utilizing U.S. Customs data, and from member companies of the Cigar Association of America (CAA).
2023 Total Cigars Imported (millions)
- 2022
- 2023
2023 Premium Large Cigars Imported (millions)
- 2022
- 2023
2023 Popular Price Large Cigars Imported (millions)
- 2022
- 2023
2023 Little Cigars Imported (millions)
- 2022
- 2023
