As of June 28, 2013, three states have enacted either cigarette and/or tobacco tax rate increases or decreases, reports the National Association of Tobacco Outlets (NATO). The new tax law changes and the respective effective dates are as follows: * Kentucky:House Bill 361 was passed and signed into law which lowers the state tax on…
Omaha Seeks 7% Occupation Tax On Tobacco Products
All tobacco products from cigarettes to OTP, including e-cigarettes, and even smoking devices like pipes, would be impacted by the tobacco taxation. The Omaha, Neb. City Council is introducing an ordinance today that if adopted would require an “occupational privilege tax” on tobacco retailers equal to 7% of the gross receipts from the sale of…
Seizing Smokeless Opportunities
Convenience store operators are enjoying the growing popularity of smokeless tobacco products, but they are also being forced to keep a wary eye on federal and local regulations. By Howard Riell, Associate Editor Is the smokeless tobacco product category, which includes moist snuff, snus and dissolvables, the lifeboat that convenience store retailers hope it will…
FDA Scrutiny Clouds Cigar Outlook
While flavored and pre-priced cigar sales are booming, FDA’s pending regulation of the category could upset trends and profits. by Erin Rigik, Associate Editor. Tedeschi Food Shops does a strong cigar business, and with 3-4 feet of space reserved for cigars on the back bar, consumers take notice. Sales on cigars were up for the…
Understanding Today’s Tobacco Customers
MSA and Paradigm Sample, in partnership with Convenience Store Decisions, examine the purchasing habits of adult tobacco consumers at U.S. convenience stores. By Trish Temmerman, Management Science Associates, and John Lofstock, Editor. The tobacco industry continues to face challenges on multiple fronts, namely ongoing legislative initiatives and the ever-present high rate of taxation. These persistent…
Satisfy Your Krave
Vapor Corp.’s Krave brand of e-cigarettes offers Krave1000 / Krave1001, a complete retail rack-ready, rechargeable e-cigarette program. Simple to use and simple to sell, Krave is a favorite among e-cigarette users for its taste and design. Krave1000 / Krave1001 is available in four varying nicotine levels and in tobacco and menthol flavors, along with starter…
Convenience Store Sales Topped $680 Billion in 2011
Convenience store sales, both at the pump and inside the store, set new records in 2011, according to data released today by NACS. In-store convenience store sales grew 2.4%, reaching a record $195.0 billion. Combined with $486.9 billion in motor fuels sales, total convenience store sales in 2011 were $681.9 billion, or one out of…
Navigating OTP’s Legal Battleground
The prospects for OTP throughout 2012 are good, as growth remains strong. But a swelling number of revenue-strapped state legislatures continue to hungrily eye the category. “I think the category will continue to expand,” predicted Matt Hieb, category manager for Gate Petroleum, which operates 225 convenience stores in six Southeastern states.“The growth of the brands…
R.J. Reynolds Launches Get Engaged
R.J. Reynolds delivers on its pledge to its retail partners with a powerful new online tool: Get Engaged. R.J. Reynolds has launched Get Engaged, a new feature on EngageRJRT.com, the online resource for R.J. Reynolds’ retail partners. Get Engaged was created as a research and learning platform intended to provide retailers with shopper insights and…
Designing a Winning OTP Strategy
Convenience stores have evolved from being a destination for cigarettes to a destination for tobacco products as a whole. By Joe Bush, Contributing Editor. It was inevitable that the conversation on convenience store cigar sales would shift eventually from rapid growth to supplier relations, category management and marketing. As cigarette regulations and prices and taxes…