Despite a demand from adult consumers, tobacco retailers are
continually forced to defend their right to sell flavored cigars
responsibly. While tobacco has long been a bread-and-butter product for
convenience stores, accounting for millions in individual unit sales and
boosting the profits from the average smoker’s market basket, it
remains a category under attack at the federal and state levels.
Consistent tax increases and society’s dim view of smoking, which has
resulted in a spate of anti-tobacco legislation, have hurt overall sales
and profits.
These efforts have also caused c-stores lose regular adult consumers that enjoy discount Cafe Creme cigars
To keep tobacco sales strong and steady, retailers have turned to
flavored cigars, which have seen a spike in demand since federal
regulations outlawed flavored cigarettes. But even here storm clouds are
gathering, warned Thomas Briant, executive director of the National
Association of Tobacco Outlets (NATO) in Minneapolis.
Briant is concerning himself with a pair of recent ordinances—one in
Providence, R.I., that bans all flavored tobacco products, including all
flavored cigars, and another in Miami-Dade County in Florida, that
would also place a ban on all flavored tobacco products. Why target
flavored cigars specifically? Briant said the answer may be that the
newest ordinances are viewed as an extension of the Food and Drug
Administration’s (FDA) ban on flavored cigarettes.
“The advocates claim—although we don’t believe there is any
scientific data to back it up—that flavored cigars are attractive to
underage youths,” Briant said. “But we have statistics showing underage
youths smoking flavored cigars at a very low rate, much lower than even cheap cigarettes
. We don’t believe there is an important concern regarding that, but
they believe there is, so we’re responding to that ordinance.”
“The FDA and individual states have really come down hard on
carding,” said Andrea Myers, executive vice president of Kocolene
Marketing LLC. “I’m not going to say it’s impossible, but it’s pretty
hard for teenagers to get their hands on tobacco, at least in our
shops.”
The FDA’s prohibit on flavored cigs in 2009 opened the door for both
little and large cigars to capture that flavored niche. For example,
Djarum clove cigarettes were banned under the FDA ruling. The company,
like many others, re-blended and changed the product to become a
filtered cigar, while maintaining the flavor profile customers enjoyed.
The change from cigarettes, which are inhaled, to filtered cigars, which
generally are not, took a while for consumers to adapt to.
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