The January February issue of Tobacco Outlet Business marks the beginning of our ninth year serving the retailers and manufacturers in the tobacco business. A lot of changes have taken place in those nine years. Changes in the business, changes in the magazine, and changes in the information needed to be successful in the business.
In 1998, there were less than 6,000 total locations and the average location was doing less than 1,000 cartons of cigarettes a week. The largest chains were Cigarettes are Cheaper with 372 units and Smoker Friendly with 130 units. Today there is no Cigarettes are Cheaper, and Smoker Friendly has expanded to nearly 300 units. The total universe has grown to nearly 12,000 locations, and the average location has gone from serving 1,500 customers per week to over 2,500. The locations themselves grew larger and their product mix grew broader. Today most stores are doing 30 percent of their sales in non-tobacco products, and the range of tobacco offerings has expanded.
TOB has evolved along with the industry. Within the magazine, we are addressing new editorial topics. Two new columns exemplary of these changes are premiering in this issue.
“Smart Business” will focus on the business issues that operators face in a growing market. In many cases this is an additional location. In our first column debuting in this issue we address the strategies and tactics for finding a new location. Future topics will focus on managing multiple locations and the cost of a bad hire. These are the kind of growth issues that are critical in a market that is continuing to grow.
With growth also comes an increased focus on the importance of effective money management. That is the reason behind our second new column, “Money Matters.” Appropriately, the first topic featured in this issue is tax tips. You want to make as much as possible during the year, but when it comes to tax time, you want to find the best ways to minimize your tax obligation. This article addresses that challenge. Future topics will range from how to raise expansion capital to effective retirement planning.
Look for both of these new columns in your current issue of Tobacco Outlet Business, and during the year. And as you are planning 2007, remember that the industry show, the Tobacco Plus Expo (formerly NATO) will take place in Las Vegas on April 26 and 27, 2007.
We look forward to another successful year for you and your business. •