Habanos Announces Revenue for 2021
Habanos announced that the revenue in 2021 reached $568 million, which is 15% higher than a year before. Which can only be the result of price hikes, as the production of Cuban cigars is lower than ever in recent history due to the covid pandemic and social unrest on the island.
“The 2021 results confirm the solid path we are on, despite the crisis caused by COVID-19,” say Inocente Núñez Blanco and Luis Sánchez-Harguindey Pardo de Vera, co-presidents of Habanos, S.A., via a press release. “Last year we surpassed the $500 million mark for premium cigar sales worldwide, an all-time record for the category and a testament to the enormous potential of our business. We are very proud to lead the premium cigar category and to continue to grow despite the situations experienced over the past two years.”
The best markets for Habanos are still Spain, China, Germany, France and Switzerland as has been the case for the last few years. The main continent is Europe with a market share of almost 60%, with 16% for Asia and the other continents even lower. But a lot of cigars flow from Europe into Asia, mainly China, through retailers who ship directly to Chinese consumers.
Habanos also says that the network of 20 Cohiba Atmosphere, 160 La Casa del Habano stores as well as the more than 1200 Habanos specialist and close to 2500 Habanos Points help to maintain the record high sales.
Pricing
“As every year around this time, Habanos, S.A. has updated its selling prices for the distribution network for its entire portfolio,” the company writes in a press release. “For 2022, they have been established taking into account the current demanding aspects affecting all sectors, including the luxury and premium cigar market, and a new strategy of global homogenization in the highest segment of the price pyramid.”
“Cohiba’s unquestionable leadership worldwide, the strengthening of its positioning with new, even more exclusive projects, and the imbalance between supply (limited by the brand’s unique characteristics) and the unstoppable demand for its vitolas, place Habanos’ number one brand not only as the world’s most exclusive premium cigar brand, but at the level of the most exclusive brands in all luxury sectors.” As a result, Habanos, S.A. has decided to reinforce this positioning and to set Cohiba’s prices uniformly at a global level, using the Hong Kong pricing as a reference.
Even with a shortage of cigars, Habanos will see a record revenue next year due to the new price policy.
Cohiba Celebration
On September 9th, Habanos will host a gala event for the 55th anniversary of Cohiba. The gala will take place in Havana with the auction of the Cohiba 55 Aniversario humidor which includes 550 cigars including the Cohiba 55 anniversario and the Cohiba Ambar.
