U.S. Federal Trade Commission Investigates Whether Juul Marketed to Minors
According to media reports, the U.S. Federal Trade Commission (FTC) is investigating whether e-cigarette manufacturer Juul engaged in deceptive marketing practices targeting minors.
According to insiders, the FTC began its investigation into Juul in September 2018, focusing on marketing activities and is currently considering monetary compensation. Juul, founded in 2015, is a private company. Tobacco giant Altria later acquired a 35% stake in Juul for $12.8 billion. Following the news, Altria's stock price fell by over 3% on Thursday.
Reports indicate that regulators believe Juul has contributed to the rise in youth vaping and have reviewed Juul's early use of young models and colorful advertising campaigns. Critics argue that these images positioned e-cigarettes as a lifestyle brand appealing to young people.
Juul declined to comment on the investigation, stating in a statement that it is fully cooperating and is "transparent to any government agency or regulator interested in our category." The company added, "We have never marketed to young people, and our 2015 advertising campaign targeted adults aged 25-34 for six months."
The company stated, "If anyone looks at sales and revenue data, they will find no evidence of promoting youth use or other developments. However, we regret that this marketing implementation is considered secondary and attractive."
