The impact on cigar retailers of FDA regulations Part 2

​The Change In Age Requirements:
 
As of 2016, it was ruled illegal to sell tobacco products of any kind, including cigars, to anyone under the age of 18.  From that point on, retailers have been required to ask for identification from anyone under the age of 26.
 
Online Retailers are falling under these regulations as well. The FDA has not set down how online retailers can get accurate identification through various methods.  There are many online cigar retailers who have been using e-verify software while others are requiring a copy of a customer's ID. These options might well become the industry standard with added guidelines from the FDA.

​Free Samples Are Now Prohibited:
 
Due to new rules, retailers and manufacturers are no longer allowed to hand out free samples.  Customers will be allowed to touch and smell the cigars but no longer allowed to light a cigar or leave the establishment with a cigar.
 
There is an opinion floating around that the practice of offering consumers bags that are full of cigars might change.  Prepackaged bags could be considered unique packaging but would be subject to filing a product application.
 
Prepackaged sampler bags offered at events would appear to violate the intentions of the FDA.  That said, at events where consumers can exchange tickets for cigars will be acceptable under the guidelines as long as the cigars are from approved boxes or bundles with warning labels.
 
The FDA does not intend to regulate the practice of customers selecting individual cigars from boxes in an airtight container as long as the boxes have the required warning labels.
 
Note:  Manufacturers will need to provide boxes vs bundles for any promotional product unless the manufacturer has the approval of the FDA to sell these cigars in bundles.  Most manufacturers will not bother with the extra cost to apply for a bundle approval, instead just sell them out of boxes.
 
Requirements For Advertising:
 
The FDA has stated that all advertising found in direct mail, emails, and social media are subject to the warning labels that are required.  It is not clear if warning labels would have to appear on every page of a catalog or website that sells cigars.  The agency has stated it would provide further guidelines on unique forms of advertising at a later time.
 
While warning label restrictions are annoying, retailers have been subject to submitting their advertising plans since August 8, 2017.  This made it even more difficult than in years before.
 
Manufacturers and retailers are constantly aware of changes made by the FDA about their tobacco products, including cigars.  One of the biggest issues is the decline in smoking that has been going on for some time now leading to less production and higher costs that are passed on to the consumer.  Only time will tell if costs and productions will continue to affect consumers.