The August issue of NACS Magazine included an article, excerpted here, written with support from R.J. Reynolds Tobacco Company, a NACS Hunter Club member. The complete article is available here.

Anyone doing business in the convenience store industry knows all too well that regulation and legislation can considerably influence a retailer’s bottom line. Elected officials at all levels of government (federal, state and local) wield powerful influence over many of your most profitable products—including, of course, tobacco. Sales of tobacco products comprise more than 37% of in-store revenue dollars for convenience stores, according to the most recent NACS State of the Industry data, so it’s a category well worth protecting.

To do so, it’s critical to proactively build and maintain relationships with elected officials, so that any eventual legislative action is balanced with your business interests in mind. That’s not just wishful thinking: This advice has yielded proven results.

“Over the past five years there have been 112 proposals to increase cigarette taxes at the state level, of which 97 were defeated,” said Steve Kottak, director of external relations, trade marketing, for R.J. Reynolds Tobacco Company (RJRT). “This strong track record of success (86%) is due in large part to trade partners getting involved and making their opinions known through meetings with legislators, testifying at committee hearings and in working with R.J. Reynolds on grassroots and advocacy programs.”

For many companies, grassroots engagement and politicking with legislators may seem far beyond their pay grade, yet for NACS members, it’s a necessity to educate elected officials—and in the process, help shape policy—on matters that impact their business. “This industry can and should be one of the strongest grassroots voices in the country. It has a huge effect on the economy and on people’s lives. Convenience stores are on every street corner,” said Lyle Beckwith, senior vice president of government relations at NACS.

There is no shortage of issues that could profoundly affect your business—card fees, menu labeling and online lottery to name a few. Looking at just tobacco, this year alone 29 states proposed cigarette and moist snuff tobacco tax increases, 30 states proposed taxes on vapor/e-cigarette products, and cities and counties across the country continue to push punitive tobacco restrictions. Given that tobacco products represent more than one-third of in-store sales, it is critical to make your voice heard as elected officials consider these measures.

With NACS remaining keenly focused on issues at the federal level, retailer engagement should extend to the state and even local levels, where regulations are equally impactful and legislators still need to have a clear idea of the convenience retailing industry’s platform.

“It’s important for your community and its elected officials to understand what issues are important to you,” said Graham Bennett, president of Quality Oil based in Winston-Salem, North Carolina, with stores throughout the southeastern United States. “They see so many points of view, it’s critical that they understand our side.”

To help facilitate connections between industry retailers and their elected officials, RJRT developed TransformTobacco.com, a website that provides background information about tobacco-related issues while laying out a simple, yet effective, process for political engagement (irrespective of the legislative issue).