Smoking Rolling Papers = Billion Dollar Empire? How Don Levin Made OCB & Republic Brands Global Leaders

Within the complex universe of cannabis accessories, countless elements combine to define the ultimate smoking experience. However, one seemingly inconspicuous component consistently rises to prominence: the unpretentious rolling paper.

For Don Levin, the 72-year-old founder of D.R.L. Enterprises, owner of Republic Brands, this simple medium represents more than just a consumption vehicle. "It is not just a medium for smoking; it's an art form," he affirms, underlying the fact that this subtle product is, indeed, the cornerstone of his billion-dollar empire.

Join Benzinga Cannabis as we offer a fascinating insight into the creation of the most successful rolling paper brands worldwide and their rise as one of the highest-valued cannabis-related enterprises on the global stage.

An Unassuming Medium Of Artistic Expression

Everyday items often blend into the mundane until someone uncovers their hidden potential. This perfectly describes the journey of Don Levin, an industry giant who neither smokes nor knows how to roll a joint. Yet, he has skillfully crafted a narrative wherein rolling papers serve as a canvas for smokers to etch their experiences. Brands like e-z wider, Zig-Zag, OCB and JOB, all part of Levin's portfolio, stand testament to this. Each brand narrates a unique tale, morphing the rolling paper from a simple accessory into an instrument of personal expression.

Although he presides over an empire valued at an estimated $1.7 billion (as per Forbes), Levin remains grounded. The impressive global production of over 1.2 billion booklets of rolling paper each year under Republic Group is, as he humbly states, "a huge team effort," refusing to "take credit where credit is not due." This colossal output represents control over approximately one-third of the North American market, which boasts estimated annual sales at the wholesale level of about $550 million.

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Levin attributes this spectacular achievement not to his personal aptitude, but to his devoted team based primarily in France, as well as a robust network of distributors scattered across the globe, from Argentina to Sweden. His business approach champions transparency and honesty, nurturing trust within his broad network. This straightforward communication style not only fosters strong relationships but also extends to the company's dedication to supporting its distributors and retailers.

In an exclusive conversation, Levin emphasizes the importance of helping the company’s partners succeed. He mentions the company's efforts to provide information and marketing support to distributors and retailers, understanding the significance of their role in promoting and selling Republic Brands' products. By offering resources, guidance and collaborative partnerships, Republic Brands aims to ensure that its distributors and retailers have the tools and knowledge necessary to effectively showcase its rolling papers in the market.

A Paradigm Of Strategic Vertical Integration

Republic Brands stands as a model of strategic vertical integration, complete with factories that convert hemp, wood, bamboo and rice into paper, as well as manufacturing units that pack them into neat booklets. This comprehensive control over its supply chain empowers the company to consistently deliver high-quality products at affordable prices.

But one may wonder: Doesn't producing such differentiated products for each market make it difficult, burdensome, or more expensive? According to Levin, while the company does face these challenges, it continually adjusts its strategies and operations to ensure sufficient paper production and maintain profitability, even with a vast variety of paper types. This unconventional strategy prioritizes volume over profit per unit, aiming to satisfy a diverse, global customer base with top-notch rolling papers.

Looking beyond the realms of profit margins and market shares, the true spirit of Levin's journey harks back to the 1970s. Back then, Levin and a friend acquired a specialty store named Adam’s Apple. As he began selling rolling papers to smoke shops around the Midwest, customer demands for other cannabis paraphernalia expanded his business. This small store eventually blossomed into a thriving entrepreneurial venture, catering to the escalating demand for cannabis accessories.

The Story Of OCB: A Tale Of Acquisition And Expansion

As he delves deep into his life story, Levin narrates an intriguing yet defining chapter in his journey, the acquisition of OCB:

One day, I stumbled upon the JOB office, a brand dating back to 1838. They offered a deal: 5,000 boxes of fruity rolling paper. If I accepted, they'd make me their exclusive U.S. distributor. I took the deal, bringing JOB under my umbrella.

Fast forward to the '80s, Vincent Bolloré, owner of OCB, gets hold of Zig-Zag and JOB. However, things turn sour; a factory strike looms. So I fly to France, confront Bolloré and urge him to sell me the company. I was quite cocky at the time; I do regret it sometimes, but then think this may have been a pivotal moment.

While Bolloré declines due to his family business roots, he vows to sell to me if he ever decides to. 

During the 70’s the people in the industry truly believed that cannabis would be legalized in the very near future. Fifty years later we’re still waiting. In 1979 model legislation was pushed out to the states from the DEA. People in the industry fought all the way up to and through the Supreme Court, and while winning in the Appellate Court, the Supreme Court overturned the decision and allowed the state laws to stand. There were seizures and raids and people started going to jail. The social and political climate had changed.

At that time, I also decide to rebrand the company. Inspired by the transition from Southern Airways to Republic Airlines; I opt for Republic Tobacco, conveying solidity and establishment.  However, we were still raided, but by that time, we had exited the paraphernalia business and focused on rolling papers. 

By the 2000s, Bolloré has shifted his interest from paper to plastics. He's ready to sell, and true to his word, he sells to me. I also acquire his paper mills, Papeteries du Léman and Papeteries des Vosges.

Today, I oversee the entire operation: paper manufacture, booklet production, distribution. As Bolloré says, "I thought Don was the best to take it over and he’s proved it." Well, I've kept the wheels turning ever since. Like I always say, "If it weren’t for Bolloré, I’d be selling pencils." I bought what Bolloré did. It’s not that I’m that smart, I just know I always have to keep trying.

Nowadays, Republic Brands, especially its OCB line, enjoys global recognition. As Levin states, "All one needs to do is go abroad, anywhere, and chances are the only rolling paper brand you recognize at stores is OCB." And this is true: OCB is omnipresent in dozens of countries, much more so than any of its rivals.

Defining Success Through Quality And Customer Experience

Republic Brands prides itself on the distinctiveness of its product, a defining feature that sets it apart in the market. While the company could potentially benefit from selling its paper to other brands, it makes a conscious choice not to do so extensively. As Levin explains, "We might sell our paper to a select few, but the essence is that no one can produce the paper we can. For example, as far as I'm aware, no one else creates paper with a significant percentage of actual rice fibers. And no one comes close to our bamboo paper. Both variants offer a silky-smooth experience, far superior in taste and feel than wood or hemp papers. Our gum is special too. It's a unique blend of Acacia gums, not just one kind, which ensures it always sticks."

Levin emphasizes, "The distinct nature of our paper, I believe, is the real story. If we sourced our paper from the commercial market, we'd be no different from the rest."

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On the environmental front, Republic Brands' commitment is both genuine and steadfast. Levin states, "It's undeniable that we prioritize the environment with features like our biomass boilers, water purification, and our carbon neutrality. But this is because we believe in these values, not just to make a statement. While a large portion of our materials, including packaging, is sourced or produced within 500 kilometers of our factory, there are exceptions. For instance, our Acacia gum and certain woods in our papers come from places like Africa and South America." This commitment is far from mere virtue signaling; it's a deep-seated dedication to preserving the environment.

The company has also steadily produced papers that minimize odor, guaranteeing a pristine, genuine experience for consumers. This approach, together with the company's commitment to quality and value for money, has launched the company to massive global sales in a market worth between $2 billion and $3 billion per year. Notwithstanding, Republic Brands doesn't rank profit per booklet highly. Echoing this sentiment, Levin says, "We make quality democratic. We make less per booklet than almost anyone else, yet we've become insanely successful."

Creating A Legacy With (Just) Rolling Papers

The world of rolling papers may appear simple and unassuming, but Don Levin's journey unveils a compelling narrative of perseverance, innovation and strategic acumen. The empire he has created is more than just a reflection of his shrewd business prowess. It's a testament to the power of listening to customers and honoring their needs with quality products, affordable pricing and genuine environmental respect.

In an industry marked by fierce competition and constant upheaval, Levin has achieved a rare feat: He has built an empire on the humble rolling paper, transforming it from a mere accessory into a canvas for artistic expression. His journey, marked by quiet resilience and unyielding dedication, resonates deeply in the bustling cannabis industry.

Republic Brands has been able to cut through the noise and claim an impressive share of the global market; and its legacy is one of ingenuity and tenacity. Levin reflects, "I don't claim to be a genius, but I know when to seize an opportunity. Whether it was 5,000 boxes of fruity rolling paper or acquiring the rights to JOB and OCB, we've always found a way to turn a challenge into a stepping stone."

Levin's humility and matter-of-fact demeanor belie the fact that he is the mastermind behind a billion-dollar empire. He has not just created a successful business but has also managed to transform the perception of the simplest of smoking accessories.

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This essence of creativity and artistry runs deep in Republic Brands' ethos. Its commitment to providing smokers with a distinctive experience, rather than just another product, has made it a beloved choice for many.

In a world often obsessed with profit margins and bottom lines, Levin's guiding principles provide a refreshing perspective. He stresses, "Our success isn't just about the numbers. It's about the connections we make, the trust we build, and the experiences we create for our customers. That's the heart and soul of Republic Brands."

The remarkable journey of Republic Brands reflects the power of persistence, strategic acumen and the ability to see potential where others don't. Levin's success is not only attributable to the unique brands he's developed but to the foundational belief in the product he has championed. As Levin reiterates once and again, a rolling paper is not just an accessory: it's a conduit to a unique experience, a tangible embodiment of individuality. What's more, it's a testament to his enduring vision.

As Republic Brands continues to thrive and innovate in an ever-evolving industry, the company is undoubtedly guided by the ethos imprinted by Levin. From his modest start selling papers from a specialty store to leading a multi-billion-dollar global enterprise, Levin has remained true to his core beliefs and values, paving the way for an enduring legacy.

In a world increasingly filled with noise and complexity, Levin's quiet yet resolute approach offers a compelling blueprint for success. Just as the humble rolling paper serves as a canvas for smokers' creative expressions, Levin's journey serves as an inspiration for those who dare to dream, reimagine, and create their own unique narratives.

So, the next time you light up, remember: behind every rolled joint, there's a story of artistry, resilience, and innovation. It's a story told through the silent yet resounding success of Don Levin and his rolling paper empire. And it's a story that continues to unfold, one booklet at a time.

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Image by Plastiboy