How To: Make the Most of Your OTP Set
A well-managed Other Tobacco Products (OTP) set is more than just product selection – it’s a profit driver for your store. Having an optimized OTP set is key to driving sales and meeting customer demand in today’s constantly evolving and competitive retail landscape. Whether your shoppers are looking for filtered cigars, smokeless tobacco, or pipe tobacco, an effective product mix and merchandising strategy can significantly impact your bottom line.
At Cheyenne International, we know the importance of strategic category management – and we’re here to help. Here’s how you can maximize your OTP set for success.
1. Optimize Your OTP Layout for Visibility & Sales
How you arrange your OTP section matters. A well-organized, easy-to-navigate display encourages purchases and makes it easy for adult consumers to find what they need when they walk in the door. Follow these best practices for display:
• Eye-Level Placement = Prime Selling Space – Position top-selling brands and customer favorites at eye-level
• Group by Category – Keep filtered cigars, smokeless, and pipe tobacco products in clearly defined sections
• Use Signage and Shelf Tags – This helps customers quickly locate their preferred brands and styles
2. Stock the Right Mix of OTP Products
A well-balanced OTP set should cater to different customer preferences and offer a variety of price points.
Filtered Cigars: A High-Demand Alternative
Filtered cigars continue to gain popularity as a budget-friendly option. To maximize sales:
• Offer a variety of styles to appeal to a broad mix of adult smokers’ tastes
• Stock recognizable brands that customers trust
• Rotate fresh inventory to maintain product quality
Smokeless Tobacco: A Must-Have for Many Shoppers
Moist Smokeless Tobacco remains a staple purchase, and offering the right mix of products is important to consumers. Key strategies include:
• Offering multiple cuts (fine, long, pouch) to meet consumer preferences
• As more consumers are trading down, feature value-priced alternatives to fit their price point
• Keep smokeless cans stocked and rotated for freshness
Pipe Tobacco: Serving the Budget-Conscious Smoker
Not every retail location can accommodate pipe tobacco, but it’s highly worth considering if your market presents an opportunity. To capture these buyers:
• Stock high-quality, recognized brands and a variety of blends
• Offer multiple package sizes to cater to different consumer needs
• Educate staff on products to provide great customer service to buyers
3. Use Promotions & Cross-Selling to Boost Sales
Who doesn’t love a good deal? Special offers and strategic upselling can help increase customers’ basket size at your store. A few ways to drive sales include:
• Multi-Buy Discounts – Encourage larger purchases with bundled deals
• Similar Items – Place OTP near complementary products like lighters, rolling papers, or accessories
• Seasonal & Limited-Time Offers – Rotate promotions to keep customers engaged and strengthen store loyalty
Your OTP set is an opportunity to drive sales, attract repeat customers, and differentiate your store from the competition. By strategically organizing your display, stocking a well-balanced mix of products, and using promotions to encourage purchases, you can create a high-performing tobacco category that delivers consistent profits.
