Entercom Says No To E-Cig Ads As JUUL CEO Quits

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BOCA RATON, FLA. — The use of electronic cigarettes, known as vaping, has generated much controversy of late.


Reports of lung illness linked to vaping products have filled newscasts in recent weeks, with six deaths linked to the products.

The products have come in such flavors as “Dinner Lady Lemon Sherbet,” “Vapetasia Killer Kustard” and “Aqua Sweet Cereal Milk.”

Now, the sale of such products is already off-limits in New York and Michigan. On Tuesday, Massachusetts Gov. Charlie Baker declared a public health emergency and ordered a four-month prohibition on the sale of all vaping products.

Entercom Communications has reacted. It’s no longer accepting any ads from e-cigarette companies — a revelation that came via an internal memo distributed just as the CEO of one the biggest e-cig makers said he is stepping down.

In a “timely update” on vaping distributed to Entercom staff on Wednesday and obtained by RBR+TVBR, President/CEO David Field noted that his company “has a long-standing commitment to being a responsible corporate citizen serving our communities.”

In light of the growing concerns posed by vaping products, including electronic cigarettes, “we are revising our policy on this matter and we will no longer accept advertising in this category.”

Field did not elaborate on the subject, and directed Entercom AEs and staff to speak with their respective Market Manager for further instructions.

With radio industry attendees and many Washington-based communications attorneys in Dallas for the 2019 Radio Show, the topic of vaping and advertising is bound to be another hot one — along with the Third Circuit Court of Appeals decision Monday to remand the FCC’s cross-ownership rule revision.

As reported by The Washington Post, JUUL CEO Kevin Burns is stepping down. The main reason, according to the Post, is increased underage use of the vaping products, and not the growing health concern.

But, the company confirmed that it would not fight a proposed Federal ban on nearly all flavored electronic cigarette products.

And, in a move that could be tied to that of Entercom’s, JUUL said it would be “suspending” all broadcast, print and digital advertising in the U.S.

According to The New York Times, Juul controls more than 70% of the e-cigarette market.

Taking Burns’ role is Altria SVP/Chief Strategy and Growth K.C. Crostwaite, a central figure in gaining regulatory approval of a “heat-not-burn” cigarette made by Philip Morris International and marketed across the U.S. by Altria, which has a 35% stake in Juul.

Vaping among high school students reportedly surged in 2019, the Post said.

On Capitol Hill on Tuesday (9/24), Anne Schuchat of the Centers for Disease Control and Prevention told a House panel that Juul’s nicotine-filled products could adversely affect young people whose brains are still developing.

Mint and menthol flavored Juul products could continue, although there is some lack of clarity as to whether or not they would be included as banned flavors.

As Schuchat spoke in Washington, Massachusetts Gov. Charlie Baker ordered a public health emergency and put a four-month freeze on the sale of any vaping product in the state. “I’m declaring this public health emergency because medical and disease control experts have been tracking a rapidly increasing number of vaping-related illnesses that in some cases have led to death,” Baker said during a Tuesday news conference.

Later in the day the California Department of Health requested that Californians refrain from all vaping “no matter the substance or source, until current investigations are complete.”

Nine people nationwide have died from vaping-related illnesses; more than 530 are believed to have fallen ill from e-cigarette use.

According to Nielsen, for the four week period ending Sept. 14, product sales fell in each of those weeks by 2.6%, 2.1%, 8%, and 7.5%, respectively.

Through June 30, Juul saw $1.2 billion in profits. Should the Federal ban on most flavored e-cigarettes transpire, an 80% loss in sales could transpire.

There is a potential fight against Massachusetts’ action already in progress.

Speaking to the New York Times, Juul spokesman Austin Finan said banning the products would push people back to cigarettes and would “create a thriving black market” of fake and unregulated products.

American Vaping Association President Gregory Conley asked, “If a governor is permitted to just ban e-cigarettes for four months, what else could they ban?”

Then, there are the retailers, largely owned by individuals responsible for employees and rent, among other expenses.

Questions concerning JUUL and its product use among teens first arose a year ago. This led JUUL to cease use of its Facebook page as of Nov. 13, 2018.