“We need to be sure that these products are designed, manufactured, distributed and sold as per accepted standards and guidelines but even at that we need to be sure there is a potential market for the products” – Flora Okereke, British American Tobacco
‘‘In today’s rapidly evolving marketplace, understanding consumer behaviour and preferences is crucial for designing successful supply chains. Traditionally, supply chains were designed from a product-focused perspective, starting with product development, and ending with reaching the consumer.’’ – Atul Agarwal
According to Atul, for Reduced Risk Products (RRPs) to be embraced by end users, effective consumer-backed approach is paramount. This involves understanding how consumers buy and consume products, their preferences, and the occasions of consumption. By aligning product design, marketing channels, and distribution strategies with consumer insights, companies can create a more efficient supply chain.
The Power of Consumer-Backed Supply Chains:
Considering the insights shared during the Global Forum on Nicotene 2023 session dedicated to facilitators and barriers to THR product availability in LMIC, Consumer-backed supply chain approach allows for a better understanding of consumer preferences, including preferred channels of purchase, such as physical stores or online platforms.
‘‘While RRPs have gained popularity in developed countries, LMICs face unique challenges in adopting RRP products, with some countries banning vapour products entirely or lacking proper regulations.’’ – Flora. This restricts market entry. ‘‘Additionally, misinformation and lack of knowledge among consumers pose hurdles to adoption as a huge portion of the smoking population in countries like India and Indonesia are unaware of RRPs or hold misconceptions about their safety,” Attul added.
Joseph Mugero said, ‘‘To address the challenges faced by RRPs in LMICs, the development of supportive regulatory frameworks is crucial. Instead of prohibitionist approaches, policymakers should focus on harm reduction strategies that encourage the availability and affordability of safer alternatives.’’ This can be achieved through policies that incentivize companies to develop safer products and make them accessible to consumers. Additionally, technology and education can play a vital role in addressing youth uptake concerns while ensuring effective enforcement of regulations.
The Role of Innovation and Disruption
In LMICs, the introduction of alternative products like vapes and pouches can provide an opportunity for smaller businesses. With vibrant trading environments and a history of connecting consumers with diverse sources, LMICs could spark a new era of competition and demand satisfaction for multinational companies.
The panel, however, warned against unbridled innovation and the hazards it could bring. Robust regulations are needed to safeguard consumer safety, ensuring that these new products adhere to strict standards. Attul suggested the exportation of comprehensive regulations like those found in Sweden and others that have worked so far. ‘‘The Scandinavian nation’s success in curbing smoking rates and minimizing tobacco harm could be a guiding light for other countries.’’ Said Attul.
The conversation took an intriguing turn as participants explored the idea of separating companies producing high-risk tobacco products from those dedicated to reduced risk alternatives. Instances of Swedish companies divesting their cigarette businesses to prioritize non-combustible options exemplified the potential benefits of such separation.
Affordability and accessibility
”Affordability plays a key role in LMICs. Scale economics should be considered, considering raw material costs as well as the dynamics of the local market.’’ – Attul. Focusing on affordability and accessibility by ensuring the widespread availability of RRPs at locations where tobacco products are sold can enhance consumer reach and engagement.
Overcoming regulatory challenges, addressing affordability concerns, and enhancing accessibility are critical steps toward promoting harm reduction strategies and improving public health outcomes worldwide. Collaborative efforts from industry stakeholders, policymakers, and public health organizations are necessary to create an enabling environment for the widespread acceptance and use of RRPs.