Introduction
In the world of rolling papers, one name reigns supreme – Don Levin, the man behind an empire that has conquered the rolling paper industry for over half a century. With iconic brands like Zig-Zag, E-Z Wider, and OCB under his belt, Levin has achieved billionaire status despite a rather surprising fact: he doesn’t smoke pot. This article delves into the fascinating journey of Don Levin, the unassuming billionaire who built a rolling paper dynasty.
The Rise of Don Levin
Don Levin’s remarkable journey to becoming the king of rolling papers spans five decades. His portfolio boasts legendary brands like E-Z Wider, Zig-Zag, and OCB, all of which are synonymous with stoner culture around the world. Yet, here’s the twist: Levin himself is not a cannabis enthusiast, and he freely admits that he doesn’t know how to roll a joint.
But how did a man with no inclination for cannabis-related activities build such an empire? The story begins with Levin’s venture into the world of cannabis paraphernalia.
From Car Salesman to Cannabis Entrepreneur
Don Levin’s entrepreneurial journey commenced after a stint in the Marines Corps Reserves and a General Motors’ training program. He didn’t attend college, but he discovered his knack for selling cars, adopting an unconventional tactic to close deals. Levin’s flair for sales eventually led him to his destiny, albeit in a roundabout way.
In the early 1970s, Levin stumbled upon a specialty store named Adams Apple in Chicago’s Rogers Park, which was up for sale. He initially perceived it as a boutique that sold items like bell-bottom jeans and music records. However, there was one inventory item he initially disregarded – rolling papers.
It didn’t take long for Levin to realize that rolling papers were the store’s hot commodity. He quickly adapted, bought the neglected rolling paper inventory, and promptly discovered the burgeoning demand. This marked the inception of his journey into the world of cannabis paraphernalia.
The Evolution of Adams Apple
Under Levin’s guidance, Adams Apple evolved from a boutique into what Levin affectionately referred to as the “Sears of paraphernalia.” The 1970s saw his business flourish, as it stocked various cannabis paraphernalia, satisfying the growing demand of a vibrant counterculture.
The Turning Point: Focusing on Rolling Papers
As the 1970s came to a close, the federal government started enforcing anti-paraphernalia laws, targeting items like bongs and pot pipes but not rolling papers. Levin observed peers and friends in the industry facing legal repercussions due to the changing legal landscape. Realizing the risks, Levin made a strategic decision to narrow his business focus to rolling papers exclusively.
In this era of shifting regulations, he distanced himself from the sale of other paraphernalia items, disposing of his entire inventory. It was a prudent move, considering that his Chicago warehouse was eventually raided by law enforcement, but they found nothing except rolling papers.
A Strategic Expansion
Levin’s shrewd business acumen continued to drive his success. Over the years, he executed a roll-up strategy, acquiring other major paper brands to complement his portfolio. Among these acquisitions was the iconic E-Z Wider, which Levin purchased in 2018 from Imperial.
With each strategic move, Levin’s company, now known as Republic Brands, expanded its market presence. Today, Republic controls about one-third of the North American rolling paper market with brands like E-Z Wider, OCB, JOB, and Top.
The Opaque Industry
Despite being a giant in the rolling paper industry, it remains a largely opaque and hazy sector. Most of the mills are privately held across various countries, making it challenging to gauge the industry’s true size and scope. While the global rolling paper market is estimated to be worth between $2 billion and $3 billion annually, precise figures are elusive.
Republic’s Dominance
Republic Brands boasts impressive figures, manufacturing over 1.2 billion booklets of rolling paper annually, which translates into a staggering 3.7 million miles of paper. One of its famous brands, E-Z Wider, was originally created by former billionaire Bob Stiller. When Stiller sold the company in 1981, it was already producing enough paper to circumnavigate the Earth nine times. Today, Levin’s mills churn out enough rolling paper to wrap the planet 150 times a year.
The Business of Rolling Papers
One might wonder, what makes the rolling paper business so profitable? It comes down to the nature of the product. Rolling papers are designed to be discreet and essentially tasteless, allowing the substance being smoked to take center stage. In a business where the product is meant to be barely noticeable, marketing and brand recognition are paramount.
Trademark litigation is a key element of Republic’s strategy, protecting its brands from counterfeiters. The rolling paper industry faces challenges from counterfeiters in China, but U.S.-based counterfeiters are also in Republic’s crosshairs. They have won significant judgments in cases against counterfeiters, reinforcing their commitment to protecting their brands.
The Levin Legacy
After half a century of shaping the rolling paper industry, Don Levin is now considering his legacy and succession plan. His son, Robert, is unlikely to take over the business, as he doesn’t possess the entrepreneurial spirit of his father. Levin is adamant about not selling the company to private equity firms, fearing they would prioritize profits over the well-being of the employees. He is determined to preserve the company’s legacy.
In conclusion, Don Levin’s journey from a non-smoking car salesman to the billionaire king of rolling papers is a testament to entrepreneurial vision and adaptability. His story underscores the lasting influence of an industry that has thrived in the shadows, providing the essential tool for cannabis enthusiasts worldwide, all while remaining nearly invisible itself.