LEGISLATION
THE MENTHOL BAN PLANNING FOR PROFIT
The Menthol Ban:
6
THINGS YOU NEED TO KNOW
CORONAVIRUS MAY HAVE YOUR MIND ON OTHER THINGS BUT THE MENTHOL BAN IS FAST CLOSING IN. HERE’S WHAT YOU ABSOLUTELY NEED TO KNOW BEFORE IT KICKS IN
WHAT WILL CONSUMERS DO? What will the 26% of smokers who currently choose menthol or
Q1. WHEN DOES IT START? May 20th. There is no sell-through period.
Q2. WHAT IS BEING BANNED? All factory-made menthol and capsule cigarettes.
Q3. WHAT IS NOT BEING BANNED? Basically, anything that isn’t a menthol or capsule cigarette. Importantly, menthol e-liquids are unaffected.
Q4. HOW MANY SMOKERS CURRENTLY CHOOSE MENTHOL OR CAPSULE PRODUCTS? Imperial Tobacco estimates that 26% of smokers choose these products.
capsule products do?
Q5. WHAT WILL THESE SMOKERS DO AFTER MIDNIGHT ON MAY 19TH?
According to a JTI survey of 350 retailers, they believe shoppers
The six million dollar question. Retailers reckon that they will shift into other products like RYO and vaping, manufacturers believe the majority will shift into plain cigarettes.
will: Q remain brand loyal within the ready-made cigarette category (switch to plain cigarettes from the same brand) - 25%
Q6. WHAT ARE THE ALTERNATIVES AVAILABLE TO RETAILER?
Q switch to RYO - 19%
The key menthol alternatives are likely to be: 1. Plain versions of cigarettes within the same brand or RYO. 2. Vaping 3. Tobacco-free nicotine pouches 4. Menthol filter tips 5. Leaf-wrapped capsule cigarillos 6. Heat-not-burn
Q leave the category altogether
Q switch to vaping or other reduced risk products – 45% - 11% Leading manufacturers such as JTI and Imperial Tobacco, however, believe that “the vast majority” will switch to plain cigarettes from their preferred brand.
WEDNESDAY 22ND APRIL 2020 / ISSUE 1 / SLRMAG.CO.UK / 15
