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Surprise, Surprise – Bans Don’t Work

January 21, 2025
4 min read

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“Insanity is doing the same thing over and over again and expecting different results”
Attributed to Albert Einstein

We tried. And then we tried again. And again. It never works as intended, and still we try.

The Prohibition of the 1920s was supposed to eradicate drinking, but resulted in bootlegging, hoarding, mass poisoning, and the growth of organized crime syndicates.

The War on Drugs of the 1970s was supposed to eradicate drug use, but resulted in further surge in demand, followed by increased illicit supply of drugs, and further growth of organized crime syndicates.

The next prohibition is being enacted in the Commonwealth of Massachusetts, and it deals with flavored tobacco products, including menthol cigarettes. The state-wide ban was enacted on June 1, 2020, and now, four and a half years after, the experts say, “the data is clear: bans don’t work”.

Does it really take Einstein to figure it out?

As a result of this ill-placed attempt, Massachusetts currently ranks fourth in inbound smuggling activity at 39.7%, which costs the state an estimated $224 million annually. “Massachusetts is losing out on more than $100 million per year in sales tax revenue from menthol sales that are now going to New Hampshire and Rhode Island," stated Peter Brennan, executive director of the New England Convenience Store and Energy Marketers Association (NECSEMA). "We are seeing cartons of menthols being sold on our streets, unchecked. The data makes it crystal clear that the flavored tobacco ban in Massachusetts has been a complete failure. The numbers do not lie."

The retailers, including c-store operators, don’t have any control over the decisions made by the state legislatures or municipal powers. But it helps to be aware of the impact of any such decisions and act proactively, either by appealing to the legislators or by analyzing alternative products that can substitute the prohibited categories.

It takes a good understanding of your customer base, and, as we call it, KYC.

KYC – Know Your Customer – is a rule that came from the world of finance, where it mostly focuses on potential fraud indicators. But in retail, KYC means knowing the retail demographics analysis that will help you better satisfy their needs and wishes.

In addition to traditional demographic reports by address, you can now also get Traffic Flow Demographics, a set of data describing the drivers in the flow of traffic that passes by your store. Ticon’s new product is available with nationwide coverage and high granularity, at Ticon’s industry-leading accuracy and precision.

So, if you want to be ahead of the game, give us a call to talk about asset performance product selection optimization with Ticon’s highly granular data.

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