Author: Taco Tuinstra

  • The Zyn Marketing Fallacy

    The Zyn Marketing Fallacy

    Photo: Swedish Match North America

    Blaming the manufacturers for irresponsible marketing is a red herring.

    By Peter Clark

    The social media presence of nicotine pouches has recently come under fire from public health experts. For example, Jai Surana believes that “aggressive marketing” has contributed to the spike in popularity in this product category.

    Some perceive that nicotine pouches and e-cigarette markers present their products as a safe alternative to tobacco. With this perception of tobacco substitutes, coupled with the appealing variety of flavors, many are worried that kids will start using these products. Zyn’s robust meme culture and numerous influencers only fuel misconceptions about its marketing.

    Contrary to the immersive online subculture of Zyn, nicotine pouches are not an exploding health epidemic among teens. The headlines of the droves of nicotine-addicted youth are exaggerations.

    Blaming the manufacturers for irresponsible marketing is nothing but a red herring. Because most nicotine users are adults, many content producers are unaffiliated with producers, and the marketing hasn’t effectively targeted teens.

    Despite the public health crusade to shield children from nicotine pouch advertisements on social media, only a minority of kids are using these products. The largest demographic for nicotine pouches is the “35–45” age group, making up 60 percent of the market. Per the Centers for Disease Control and Prevention, most pouch users are either current or former smokers. Most of the evidence suggests that most Zyn users are adults trying to quit smoking or are getting their nicotine fix when smoking isn’t an option.

    How many kids use nicotine pouches? The number of teens using these products is minuscule. In 2024, only 1.8 percent of “middle school and high school students reported currently using nicotine pouches.” This pales in comparison to the significantly higher numbers of teens smoking in the 1990s. A jaw-dropping 16.8 percent of high school students were “frequent smokers” in 1999. This was still only a minority of teens but significantly higher than the number of kids currently using nicotine pouches.

    Yes, nicotine pouches have social media sites, but what about the third-party content producers? There is a lot of finger-wagging at nicotine pouch companies for Instagram posts lacking warning labels, but will a Zyn fan account adhere to market guidelines? The problem is that internet culture tends to take on a life of its own. The marketing edicts of the Food and Drug Administration are not even a forethought to most Zyn enthusiasts making humorous memes.

    There is no way to limit or regulate third-party content. The best companies can do is comply with the current laws and acknowledge that nicotine is addictive on official social media content. Attempting to shut down all third-party content is a game of whack-a-mole. For example, Juul failed at many attempts to remove underage fan sites from social media.

    Even the high-profile Zyn influencers, from Joe Rogan to Tucker Carlson, are unaffiliated with the brand. Philip Morris International hasn’t paid anyone to promote its pouches. PMI spokesman Corey Henry has stated, “Zyn doesn’t have partnerships or product promotion with any social media influencers or celebrities.” Before Carlson’s culture war on Zyn and his recent venture into the market, PMI tried to distance itself from his more outlandish claims about the product.

    As mentioned previously, youth nicotine pouch use is low. However, has the social media market influenced teen use? Less than half of teens and young adults surveyed in a Georgetown study were even aware of the existence of this product. Less than a quarter of nontobacco-using participants were familiar with nicotine pouches. If Zyn is trying to market its pouches to young people, their plan has failed. Only young people predisposed to using nicotine are familiar with nicotine pouches.

    At first glance, it is easy to attack nicotine pouch brands like Zyn for irresponsible marketing, but it is not the crisis that experts and the press are making it out to be.

    Only a small number of teens are using nicotine pouches, most of the egregiously irresponsible “marketing” is coming from third-party creators, and there is little evidence that the official product marketing is pushing kids toward nicotine pouches. If we want to protect kids from nicotine addiction, we should attack the social issues driving them to use nicotine, not flashy marketing.

  • Gaming Vapes Provoke Outrage in Netherlands

    Gaming Vapes Provoke Outrage in Netherlands

    Image: 12ee12/nosyrevy

    New vapes with integrated music and gaming functionalities have provoked outrage in the Netherlands, according to Dutch News.

    Sophie Cohen, a doctor specializing in children’s lung problems, described the deliberate combination of addictive things such as nicotine and gaming as “extremely twisted.”

    “The awful thing is I am not surprised the industry has come up with something to make children even more addicted,” Cohen said. “That is their earnings model. The younger the brain, the more receptive it is to addiction.”

    The NVWA, the Dutch product safety board, is aware of the “smart vapes.” The agency says children are likely getting hold of them abroad, but several kids told broadcaster NOS that the vapes are available “behind the counter” at shops in the country.

    Vincent Karremans, junior health minister, called the vapes and their attractiveness to youth “scandalous” and said he’s working on a plan to tackle the illegal vape trade.

  • President Invited to Address Illicit Trade Forum

    President Invited to Address Illicit Trade Forum

    Image: corund

    President Ferdinand Marcos Jr. has been invited to address the opening day of the National Tobacco Administration’s (NTA) second anti-illicit trade summit, which will take place in Quezon City on Oct. 23- 24. The first event took place in August 2023.

    The summit is expected to attract more than 200 participants from the farming sector, tobacco companies and media outlets, among other stakeholders.

    Anchored on the theme: “Advancing the Local Tobacco Industry and Combating Illicit Trade,” the forum will focus on the ongoing government efforts in the war against illicit tobacco trade in the Philippines.

    “Addressing the illicit tobacco trade requires a whole of national approach, and multi-faceted strategies that include strengthening national policies, enhancing regional cooperation, improving enforcement mechanisms and increasing public awareness,” said NTA Administrator and CEO Belinda S. Sanchez in a statement.

    In recent years, the Philippine tobacco industry has faced significant challenges due to the illicit tobacco trade.

    According to the NTA, the illicit tobacco trade adversely impacts government revenue, public health, national security and farmer livelihoods. The Bureau of Internal Revenue estimates that the national government misses out on up to PHP100 billion ($1.71 billion) annually in tax receipts due to illicit tobacco trade.

    Data from the NTA shows 2.2 million Filipinos financially depend on tobacco, including more than 430,000 farmers, farm workers and their family members.

  • Peru Squeezes Big Tobacco

    Peru Squeezes Big Tobacco

    Photo: Amparo Garcia

    Peru’s Congress has approved a tobacco control law that health advocates say will save lives.

    The new legislation not only bans tobacco advertising, promotion and sponsorship, but also expands the size of mandatory pictorial health warning labels on tobacco products, including cigarettes and heated tobacco products (HTPs). In addition, the law prohibits the use of tobacco and e-cigarettes in many public spaces.

    Anti-tobacco activists welcomed the new legislation, and encouraged the executive branch to quickly sign it into law. “Peru’s new tobacco control regulations must be swiftly enacted and strongly enforced to ensure that these crucial public health measures can save as many lives as possible,” said Patricia Sosa, director of Latin America Programs at the Campaign for Tobacco-Free Kids, in a statement.

    Peru is a party to the World Health Organization Framework Convention on Tobacco Control, which obligates the country to implement measures to address tobacco use. Such measures include smoke-free public places, warning labels on tobacco products, increased tobacco taxes and restrictions on tobacco advertising.

    While lauding Peru’s new legislation, Sosa said that  additional protections are needed to address gaps in the new law. She noted that warning labels on e-cigarettes are text-only and smaller than those on combustible cigarettes, while advertising restrictions are not as comprehensive.

    “More robust regulation of these addictive products is essential to protect public health, especially younger generations—particularly given how tobacco and e-cigarette companies market these products to young people in Peru and around the world,” said Sosa.

  • FAA: In-Flight No-Smoking Signs Can Stay on Forever

    FAA: In-Flight No-Smoking Signs Can Stay on Forever

    Photo: Dolores Harvey

    The U.S. Federal Aviation Administration (FAA) on Oct. 22 ended a requirement that aircraft have an off switch for the No Smoking signs in their aircraft, reports The New York Times. The change comes decades after smoking was banned on commercial flights in the U.S.

    That obsolete requirement had become “time-consuming and burdensome” for airlines and airplane manufacturers to comply with, the FAA said in a rule enacting the change. In February, for example, United Airlines was briefly unable to use a handful of new Airbus planes because the “No Smoking” signs on board couldn’t be shut off. The issue was resolved after the FAA granted United an exemption.

    Despite the fire hazard and health risks, airlines permitted smoking on their flights for decades. In 1973, the federal government required airlines to seat smokers and nonsmokers in separate sections, which did little to protect passengers. In 1988 the FAA banned smoking on domestic flights of less than two hours. Two years later, it expanded the ban to flights under six hours, which covered most domestic routes.

    In-flight smoking was at the center of major tobacco lawsuit in the 1990s, when lawyers sued tobacco companies on behalf of  flight attendants suffering from the effects of secondhand smoke. In 1997 the tobacco industry agreed to pay out $300 million to fund the establishment of a research institute. It also agreed to support a federal smoking ban on international flights, which the FAA passed in 2000, extending the ban from a decade earlier to permanently block smoking on any flight landing or departing from a U.S. airport.

    Other countries took similar steps and, with few exceptions, smoking is now prohibited on almost every flight worldwide. In the rule that took effect Oct. 22, the FAA said the no smoking signs “continue to be an effective reminder for the traveling public.”

  • Paper Highlights Adaptive Cessation Methods

    Paper Highlights Adaptive Cessation Methods

    Adaptive smoking cessation approaches can help individuals who struggle with traditional methods, according to a new study led by Gal Cohen, head of scientific affairs at Rose Research Center in North Carolina, USA, and conducted in collaboration with researchers from the Center of Excellence for the acceleration of Harm Reduction (CoEHAR) at the University of Catania in Italy.

    Nearly 40 years after the U.S. Food and Drug Administration approved the first smoking-cessation products, the effectiveness of most methods remains low, with smokers requiring an average of 30 attempts for each successful cessation outcome.

    In their paper “Personalized and Adaptive Interventions for Smoking Cessation: Emerging Trends and Determinants of Efficacy,” Cohen and his team analyze the limitations and prospects of the most commonly used smoking cessation methods, and conclude that adaptive smoking cessation approaches can represent a better solution for individuals who struggle with traditional methods.

    The study highlights the complexities of cigarette addiction and innovations in cessation products. By focusing on individual determinants of efficacy—such as sensory preferences and nicotine tolerability—the article offers fresh insights into smoking cessation and advocates for personalized, adaptive treatment plans. It also highlights how emerging approaches, like cytisine and combustion-free nicotine delivery systems, provide new avenues to reduce smoking-related morbidity.

    “Quitting smoking is hard; you are trying to extinguish the complex interplay of nicotine delivery, sensorial experience and use ritual that cigarettes provide to people who smoke” said Cohen in a statement. “However, the emerging array of pharmaceutical cessation therapies and nicotine substitution products offer the opportunity to personalize the off-ramp from smoking.”

    According to CoEHAR founder Riccardo Polosa, nicotine replacement therapies provide neither the bolus nicotine delivery nor the sensory stimuli and behavioral rituals associated with smoking. Conversely, electronic nicotine delivery systems represent the most prevalent nicotine substitution products and were used every day or some days by 11-17 million U.S. adults.

    In a survey of adult vapers in the U.S., U.K. and Canada, 73 percent of respondents said they used e-cigarettes because they wanted quit smoking.

  • U.S. Authorities Seize $76 Million in Illegal Vapes

    U.S. Authorities Seize $76 Million in Illegal Vapes

    Image: FDA

    The U.S. Food and Drug Administration and U.S. Customs and Border Protection (CBP) announced they seized approximately 3 million units of unauthorized e-cigarette products, with an estimated retail value of $76 million. The seizures were part of a joint operation to examine incoming shipments and prevent illegal e-cigarettes from entering the United States.

    “The FDA is on high alert and, in coordination with our federal partners, remains committed to stopping unauthorized e-cigarettes at our nation’s borders,” said FDA Commissioner Robert M. Califf in a statement. “These products too often end up in kids’ hands, and the newly formed federal task force is well positioned to collectively combat this unscrupulous activity.”

    In June, the FDA and the Department of Justice announced a joint federal task force to curb the distribution and sale of illegal e-cigarettes.

    “CBP’s trade enforcement mission places a significant emphasis on intercepting illicit products that could harm American consumers,” said Troy A. Miller, a senior official performing the duties of the commissioner for CBP. “We will continue to work with our enforcement partners to identify and seize unsafe and unlawful goods.”

    In preparation for the operation, the joint team worked for several months to review shipping invoices, identify potentially violative incoming shipments and complete other investigative work that led to this successful operation. Upon examining shipments, all of which originated in China, the team found various brands of illegal e-cigarettes, including Geek Bar and others. In an attempt to evade duties and detection, most of these unauthorized e-cigarettes were intentionally mis-declared as items with no connection to vaping products and with incorrect values. Products that are seized and forfeited to the government will be disposed of in accordance with CBP authorities.

    “This isn’t the first joint seizure operation, and it won’t be the last—we will continue to relentlessly pursue those attempting to smuggle illegal e-cigarettes,” said Brian King, director of the FDA’s Center for Tobacco Products. “The $76 million these bad actors just put in the dumpster should be a sobering reminder that their time and money would be better spent complying with the law.”

  • ITGA Concludes Annual Meeting

    ITGA Concludes Annual Meeting

    Image: ITGA

    The Tobacco Growers Association of North Carolina (TGANC) hosted this year’s annual general meeting of the International Tobacco Growers Association (ITGA), Oct.15–18 in Raleigh, North Carolina, USA. Among other activities, participants visited one of the world’s biggest tobacco processing plants, witnessed a live auction and toured a research farm. ITGA members also re-elected ITGA’s President Jose Javier Aranda for another term.

    During the event, leading agronomists shared their insights into global tobacco yields over the past decade. While the U.S., Brazil and several European origins registered increases, the overall picture is one of flat performance or even decline, which goes against trends in other crops like corn, soybeans and cotton.

    During the open session conference, delegates had the opportunity to discuss ITGA’s global research in the U.S. context. Moderated by William Snell from the University of Kentucky, a panel comprising local growers revealed that the issues faced by growers worldwide are very similar.

    Panelists also discussed the consequences of the U.S. tobacco buyout, which led to the creation of bigger farms and shifted production west but failed to boost yields.

    TGANC Executive Vice President Graham Boyd moderated a discussion about the current marketing season, which continues to be characterized by leaf shortages. While some believed that the flue-cured and burley markets will regain equilibrium in 2025 and 2026 respectively, others predicted longer time frames.

    Shane MacGuill, Euromonitor International global lead for nicotine and cannabis, presented the latest consumption trends. According to MacGuill, U.S. consumption patterns have been shifting in the context of overall flat nicotine volume evolution. Among the key drivers for the future of consumption, he said, will be a broadening of the nicotine universe and regulatory innovation, including sustainability and cost-of-living concerns.

    Ivan Genov, ITGA manager for tobacco industry analysis, examined the key drivers in leading tobacco-sourcing countries. According to him, unfavorable weather patterns in prominent markets such as Brazil, Zimbabwe and the U.S. were a key contributor to decreased total global sales in 2024. The trend was bucked by a few markets, including Malawi, which enjoyed strong sales this year.

    The U.S. regulatory perspective was presented by Benjamin Dessart, vice president of external affairs at Universal. Dessart explained the recent U.S. tobacco regulation policy shift and relevant proposed rules, which he said have the potential to impact the entire supply chain.

    The global regulatory discussion was moderated by Michiel Reerink, international corporate affairs director and managing director at Alliance One International. Among other topics, Reerink touched on the European Union Corporate Sustainability Due Diligence Directive, which will require companies to closely examine their own value chains.

  • Morocco Expects Surge in Tobacco Revenues

    Morocco Expects Surge in Tobacco Revenues

    Image: alexlmx

    The Moroccan government expects to collect more than MAD13.7 billion ($1.32 billion) in tax revenue from tobacco sales, reports Morocco World News, citing data from the 2025 finance bill.

    This year’s budget introduces measures to increase tax revenue aimed at supporting economic growth, including domestic taxes on alcohol, beer and tobacco consumption.

    The finance bill aims to increase the government’s total tax take by 14.49 percent to MAD657.8 billion, with significant additional contributions expected from smokers and alcohol drinkers.

    Ministers met Oct. 18 at the Royal Place in Rabat to discuss key elements of the 2025 finance bill. Among other goals, the legislation aims to strengthen social cohesion, boost “economic sovereignty” and ensure sustainable public finances.

  • Third-Quarter Revenues up at PMI

    Third-Quarter Revenues up at PMI

    Photo: PMI

    Philip Morris International reported net revenues of $9.91 billion for the third quarter of 2024, up from $9.41 billion in the comparable 2023 quarter.

    “We delivered exceptionally strong performance, with record quarterly net revenues and earnings per share,” said PMI CEO Jacek Olczak in a statement.

     “This reflects excellent momentum across all regions and categories, with a reacceleration in IQOS adjusted in-market sales growth, strong Zyn volumes, and resilient combustible performance.

    “As a result of our strong year-to-date delivery, we are raising our full-year growth outlook for adjusted diluted EPS to a range of 14 percent to 15 percent, excluding currency.”

    Quarterly shipments of smoke-free products reached about 40 billion units. The smoke-free business accounted for 38 percent of PMI’s total net revenues and 40 percent of gross profit, up by 1.9 percentage points and 2.2 percentage points, respectively. Net revenues increased by 14.2 percent and gross profit increased by 15.9 percent.

    Oral smoke-free shipment volume increased by 24.7 percent in cans (22.2 percent in pouches or pouch equivalents), fueled by Zyn growth in the U.S., where shipments reached 149.1 million cans, an increase of 41.4 percent compared to the prior year. Outside the U.S., nicotine pouch volume in cans grew by about 70 percent, with notable contributions from Pakistan and South Africa.

    Combustible net revenues grew by 5.2 percent. Both PMI’s global brands portfolio and Marlboro achieved their highest quarterly market shares since the 2008 spin-off.

    The regular quarterly dividend increased by 3.8 percent to $1.35 per share, or an annualized $5.40 per share.