47
TOBACCO OUTLET BUSINESS
MAY/JUNE 2013
T
he alternative nicotine lifestyle—
that is the world beyond
cigarettes—is largely focused
on e-cigs these days. But there is still
buzz surrounding the “others”—namely
smokeless, snus, gum, dissolvables and
other “modified risk” tobacco products.
Here are some quick news briefs to
catch tobacco outlet retailers up on
the complete alternative picture, often
referred to as Tobacco Harm Reduction
(THR):
Smokeless Tobacco
—Smokeless is a
positive sales story lately, with 2012
industry sales growth figures reportedly
in the 4-7 percent range. Wells Fargo
Securities analyst Bonnie Herzog expects
the smokeless category to continue
growing in the mid-single digits in
2013, despite expected forthcoming
and additional governmental regulation
and increased taxation. “I wouldn’t
be surprised if some of the activity
stays pretty elevated in smokeless in
2013, whether it’s price competition
or continued innovation through line
extensions and product repositioning as
brands fight for shelf space,” she stated.
She also noted an increase in dual use of
cigarettes and moist smokeless because
of growing smoking restrictions.
Meanwhile, Swedish Match is already
one out with an aforementioned line
extension—in early April it launched
Longhorn moist snuff in a 7.2-ounce
“value tub,” containing the equivalent of
six cans and a refillable can inside. It is
available in six flavors and two cuts: Long
Cut Wintergreen, Straight and Natural,
and Fine Cut Natural, Wintergreen and
Mint.
This launch follows the March 2012
introduction of the 14.4-ounce value tub.
Tubs are the fastest-growing segment
in the category and are designed for
consumers looking for value, according to
Tracy Vernon, Swedish Match’s associate
brand manager.
From the regulatory realm, the U.S.
Food and Drug Administration (FDA)
invited public comments by May 17
to its website (
on the agency’s proposed extension of
an existing collection of information
regarding rotational plans for health
warning label statements for smokeless
tobacco products.
The
Comprehensive Smokeless Tobacco
Health Education Act
of 1986 (or the
Smokeless Tobacco Act
), as amended by
the
Family Smoking Prevention and
Tobacco Control Act
requires that all
smokeless tobacco product packaging
and advertising carry one of four
mandated warning statements that
must be displayed “in accordance with a
plan submitted by the tobacco product
manufacturer, importer, distributor or
retailer” to the FDA, according to the
Federal Register
. The agency said it will
review the warning plans to determine if
Calling Up the
AlTernATes
By Renee Covino
An update on what’s happening in the
world of nicotine alternatives—beyond e-cigs.
