46
TOBACCO BUSINESS
JANUARY/FEBRUARY 2014
Therefore, his wish this
year is “that the FDA deems
the e-cig category a reduced-
harm alternative to cigarettes
and doesn’t regulate them the
same as cigarettes.” Similarly,
he hopes that the FDA comes
to realize that “premium cigars
are vastly different from domestic
machine-made cigars, and if
they do decide to regulate cigars,
premium cigars will not fall under
that time regulation.”
prEmium cigars and a
paradigm shift
The best business news for Wild
Bill’s Tobacco, based in Birmingham,
Michigan, with 50 stores, was when the
state of Michigan enacted a 50-cent tax
cap on individual cigars at the end of
2012. “It allowed us to be much more
competitive with our online competitors
last year, which led to an increase in
sales,” explains Justin Samona, chief
marketing officer. Wild Bill’s specializes
in premium cigars, with cigar lounges in
20 locations and walk-in humidors with
Spanish cedar paneling and advanced
humidification systems in all 50 stores.
But the top trend in 2013 was the
electronic cigarette craze in Wild Bill’s
stores, just as it was across America,
according to Samona. “We see the
paradigm shift and we feel that e-cigs
are here to stay,” he says. “Wild Bill’s
is quickly becoming known as the
electronic cigarette destination. Our
stores are equipped with modern e-cig
supercenters, which we call ‘Mr. Vapor.’
The chrome shelving and blue LED
lights attract customers right when they
enter the store. Customers
can sample disposable e-cigs,
rechargeable kits, tank kits,
mod systems and over 100
different flavors of e-liquids and
strengths.”
In 2013, the chain improved
its business through customer
service
management.
“The
HR management team here
launched
many
creative
bonus and incentive plans,”
Samona
explained.
One
such plan that caused great
excitement was the profit-sharing
program, which is eligible to all
managers that have been with
the company for three or more years.
The thinking behind it comes from
Mike Samona, CEO. “When you have
loyal, satisfied customers, your business
becomes more referable, thus more
profitable,” he says. “We’ve discovered
that staff members will provide much
better service to our customers, whether
it’s through up-selling, converting or
handling complaints, when they know
a percentage of the profits will go to
them.”
Wild Bill’s outlook for 2014 is
“We see the
paradigm shift
and we feel
that e-cigs
are here to
stay.”