Let me provide a small defense of the local B&M and their pricing structure.
1. Yes, they have to pay the excise and other taxes on the pipe tobacco they carry. From what I understand I think this also includes an inventory tax in some states. These taxes are passed on to the consumer.
2. Most B&Ms are stocked based on what is selling fast. The reason why their selections are sometimes limited is that pipe tobacco may not be selling as fast as the cigars in the walk-in humidor are selling.
Basically, in the retail world, shelf space equals money. If a product isn't constantly have to be restocked, then it is not selling. If it's not selling, the B&M is not making money.
3. Overhead. In addition to the federal, state and local excise tobacco taxes (not including the sales tax), most B&Ms have to pay rent or building upkeep, pay their employees (and associated employee taxes), pay utilities, pay for amenities, property taxes, etc. The big on-line retailers also have overhead but the overhead may not be as high simply due to the volume of product they sale. (This is how store like Walmart has lower prices than a locally owned grocery store, for example. They get a bigger price break for buying 100,000 cans of vegetables than the local grocery gets for buying 100 cans of the same vegetables)
We have our monthly pipe club meeting at a local B&M. The selection has dwindled over the past four years and the prices have incrementally gone up. I don't visit the store more than once or twice a month but I spend at least $20 each time I walk in the door.