As of 2-6-14, CVS announced that it will stop selling cigarettes in it’s stores as early as October of 2014. This is certainly breaking news as no large retailer has pushed back against big tobacco in this way before. Perhaps CVS has made this decision for the benefit of consumer health rather than being solely based on business itself. Either way, we will see how much of an effect this move has on big tobacco as a whole towards the end of this year and into 2015. CVS is a very large company, so this decision will carry ‘good-weight’, the analogy that comes to mind would be CVS being the first domino to fall in a long long line of cigarette retailers.
Impact on Retail Cigarette Sales
Obviously, cigarettes will continue to be sold elsewhere, probably forever. But with such a large company like CVS getting rid of them, one must assume that others will follow suit. Probably the most similar brand that would follow suit first, in a big way, would be Walgreens. We always talk about how the classic big tobacco business model has peaked and is on its way down, the only question is, how fast will it fall.
CVS & Electronic Cigarettes Perhaps Halo Cigs in 2014
It should also be noted that CVS does not sell any form of electronic cigarette either. The word on the street however is that when ecigs finally get passed by the FDA, that CVS would begin to retail them. All in all, people are getting smarter, technology is becoming better, cigarettes are and always will be supremely dangerous and people will probably look back at the American consumption of cigarettes as somewhat of a travesty. As the electronic cigarette is still in it’s infant stages of growth, this is just the first of many stages and factors that will come to light as the popularity of the ecig increases.
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