As a convenience store owner, you’re likely aware of the potential for new tobacco regulations that could impact your business. With the increasing concern about the health risks associated with smoking, lawmakers may soon impose new rules that restrict the sale of cigarettes and other tobacco products.
Current Problems with FDA Oversight
In 2022, the FDA contracted with an external agency to conduct an evaluation on the FDA’s Center for Tobacco Projects (CTP) effectiveness. In short, the firm identified several gaps including:
- Seemingly chaotic organization and management of existing regulations due to changes in FDA leadership, a growing volume of product applications, incompatible policy choices, and other factors.
- Inconsistent implementation of FDA’s tobacco policies especially for those deemed less harmful for consumers.
- Reactive strategies that focus on restricting sales rather than regulating manufacturing standards.
Recommendations to improve FDA Oversight
The study concluded that the FDA’s Center for Tobacco Products (CTP) needed improvements to more effectively regulate tobacco and related products. Recommendations for improvement included:
- The CTP needed to change from being reactive to proactive by creating a strategic plan to guide their work over the next five years.
- The CTP should use its Tobacco Product Scientific Advisory Committee to collect more expert advice to develop policies and regulations that effectively address specific issues.
- The CTP needs to organize its operations to create simple and standard procedures and better communicate details in public summaries.
- The FDA should work more closely with the Biden Administration to make enforcement of tobacco laws a government-wide priority so that new regulations are taken seriously and mandated appropriately.
- The CTP needs to implement an improved, transparent communication strategy so that manufacturers, wholesalers, and retailers all understand how to comply with regulations.
Potential Regulation
So what are some of the issues being discussed concerning tobacco products? Since tobacco products likely make up a significant portion of your stores’ revenue, understanding what could happen in the future and how you can adjust your sales strategy are important.
Age Restrictions
One possible change that could affect your convenience store is an increase in the legal age to purchase tobacco products. Currently, the minimum age to buy cigarettes is 18 in most states, but some states have already raised the age to 21. If the federal government were to impose a nationwide age increase, you may see a decrease in your tobacco sales, as your younger customers would no longer be able to purchase these products.
What You Can Do: If you haven’t already, start diversifying your product offerings. Consider expanding your inventory to include other items that appeal to younger customers, such as snacks and energy drinks. Additionally, you may want to consider implementing an age verification system for all sales, even if it’s not required by law. This can help you avoid any potential legal issues and demonstrate your commitment to responsible sales practices.
Flavor Bans
Another potential regulation that could impact your business is a ban on flavored tobacco products. This has already happened in some cities and states, and the federal government is currently considering a nationwide ban. If this were to happen, you may see a decrease in your sales of flavored cigarettes, cigars, and other tobacco products.
What You Can Do: Again, diversification is key. Consider expanding your inventory to include non-tobacco products that appeal to customers who are looking for flavor. You may also want to consider stocking up on non-flavored tobacco products in advance of any potential bans. Additionally, you can work with your tobacco distributors to ensure that you’re getting the best prices possible on the products you do sell.
Display Bans
A third potential regulation that could affect your convenience store is a ban on the display of tobacco products. This means that you would need to keep all tobacco products out of sight of customers, which could make it harder for them to find what they’re looking for. This could potentially lead to a decrease in sales, as customers may be less likely to purchase tobacco products if they can’t see them.
What You Can Do: If a display ban goes into effect, you can still sell tobacco products, but you’ll need to make sure that they’re not visible to customers. Consider setting up a designated tobacco sales area that’s not easily visible from other parts of your store. You may also want to consider increasing your advertising and promotional efforts for tobacco products, as this can help to offset any potential sales declines.
GP Energy Can Help You Navigate Potential Tobacco Regulations
As a convenience store owner, it’s important to be aware of potential tobacco regulations that could impact your business. By diversifying your product offerings, implementing age verification systems, and preparing for potential flavor and display bans, you can position your store for success in an uncertain regulatory environment. Stay informed and be proactive, and you’ll be well-equipped to adapt to any changes that come your way.