Page 24 - TOB Magazine Jan/Feb 2013

50
TOBACCO OUTLET BUSINESS
JANUARY/FEBRUARY 2013
going to grow with less harmful products.
I don’t anticipate stores opening up just to
sell e-cigs—I still think tobacco stores will
have to have the whole breadth of tobacco
offerings—but the healthier choices are
going to be a bigger part of the big picture.
EWALD: The presence of THR
products in the retail environment is
going to continue to increase in 2013.
E-cigarettes are one of the most common
THR products currently available in the
market.There have been claims made by
a few manufacturers of THR products
that claim that these products may
be safer than traditional tobacco
products.The FDA is likely to step
in and dispute the claims being
made by THR manufacturers that
their products are a safer form
of nicotine delivery. Additional
regulation of THR products is
likely to follow a review by the
FDA.
MAHONEY: No, I don’t
see it as the future, it’ll just be a
part of the business. Everybody
thought snus was going to be
the next biggest thing, but it
was never big for us.
MCCOY: The e-cig category
is an evolving category that is
extremely profitable and will soon
become a destination category.
Those who build the category today
will control it in the future.
SILVERMAN: I am bullish on
tobacco harm reduction products such
as electronic cigarettes. I don’t see these
products replacing cigarettes; I see them
as a viable and healthier alternative to
smoking, yet still giving a smoker the
sensation that they are actually smoking a
cigarette. I think these types of categories,
along with less harmful smokeless products,
will continue to grow. The key for us as
retailers and distributors is to be open to
trying some of these new products as the
category grows.
Wish List
TOB: If you had one business wish for
2013, what would it be?
COLLETT: Tighter control over
Internet tobacco sales. We’re not opposed
to Internet tobacco sales per se, but they’re
not following the same guidelines as the
rest of us, such as verifying age and paying
the appropriate taxes.
DAVOLI: As it seems that we are
always an easy target for “anti-tobacco
zealots” in the form of new regulations, tax
increases, restrictions, etc., my one wish
would be: Please Leave Us Alone! We are
responsible retailers who contribute to our
communities. We are licensed to sell legal
products that generate tax revenue for the
Federal, State and Local governments, as
well as sales tax and payroll taxes. Work
with us, not against us.
EWALD: Less government involvement
in the industry.The new regulations applied
to many of the manufacturers cost all of us
time and money. In the end, the result is
higher prices for the consumers.
MAHONEY: That the government
would change their minds on rolling
machines and that pipe tobacco stays as it
is.
MCCOY: To yield higher margins on
cigarettes.
SCHWARTZ: We want to still be able
to operate with Obamacare—there are lots
of unknowns and we want to make sure
we’re fair to our employees. We’ve seen
Obamacare put a lot of companies out
of business. I’d also like to see marijuana
legalized in the nation so we could sell it.
SILVERMAN: No new taxes or
regulations. TOB
Continued from page 46
“I think the
challenges for
2013 are what
regulations lie ahead.
What will happen to
pipe tobacco? What
will happen to cigars?
What will happen
with flavored
tobacco products
in general?”