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Consumers Loosen Wallets for Cigarettes, Tighten for Beer and Soap

Tobacco tax increase stings but doesn’t deter smokers

American Customer Satisfaction Index ACSI
Tue, 11/09/2010 - 04:30
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(ACSI: Ann Arbor, MI) -- Customer satisfaction dropped for several nondurables, while tobacco products rebounded from last year’s lows, according to a report released by the American Customer Satisfaction Index (ACSI). The report covers customer satisfaction with beer, soft drinks, tobacco, and personal care and cleaning products.

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Cigarettes: higher prices? No longer much of a problem

The 2009 tax increase on cigarettes led to a sharp downturn in customer satisfaction, but a year later smokers appear to have recovered from the shock. The industry ACSI moves up 5.6 percent to a score of 76. All the major tobacco companies fare better, with Philip Morris up 7 percent to lead the industry at 77, followed by Reynolds American, up 4 percent to 75 to tie with the aggregate of all smaller tobacco brands (+6%).

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