Food & Beverage

FTC asks five e-cigarette firms, including Juul, to turn over more sales and advertising data

Key Points
  • The FTC is issuing orders to five e-cigarette companies including Juul and R.J. Reynolds for information on 2019-2020 sales, advertising and promotional data.
  • The FTC has been investigating the e-cigarette industry's marketing practices.
  • The requested information includes annual sales data and promotions such as giveaways, social media and college campus programs, and influencer and affiliate programs.
Nick Gregory, a 26-year-old manager, vapes on a JUUL at Botany Bay in Lexington, Ky.
Charles Bertram | Tribune News Service | Getty Images

The Federal Trade Commission said Monday that it requested five e-cigarette makers provide the agency with sales and advertising data for 2019 and 2020.

The companies cited by the FTC were Juul, R.J. Reynolds Vapor Co., Fontem, Logic Technology Development and NJOY.

In October 2019, the FTC asked the e-cigarette makers to provide similar marketing data from 2015 to 2018. The FTC is examining annual sales data, product flavors, giveaways, social media, college campus programs, and influencer and affiliate programs.

E-cigarette maker Juul has previously been under the spotlight for its marketing practices, especially toward youth. Early last year, 39 states investigated the company's marketing and sales tactics amid lawsuits from teenagers who claim to have grown addicted to Juul's products. In 2019, the FDA criticized the company for illegally marketing its vapes as safer alternatives to cigarettes.

At the end of 2019, Juul announced it would cease all product advertising in broadcast, print and digital channels in the U.S.

Juul, R.J. Reynolds Vapor Company and NJOY did not immediately respond to CNBC's requests for comment.

"We have been working with the FTC on our response and look forward to sharing it with them on or before the deadline," said Kelly Cushman, a spokeswoman for Fontem's parent ITG Brands, in an email.

Logic, a unit of Japan Tobacco, echoed that response.

"Logic takes regulatory compliance seriously and, as a responsible company, regularly receives requests for information and cooperates with government agencies," said spokeswoman Michele Maron.

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