The Economics Of Electronic Cigarettes

If you are a serious vaping enthusiast, then you might be starting to think about the economics of e-cigs and the possibility of going into it as a business. This is a lot easier than before thanks to their wide availability and impressive variety. Choose a channel that you are comfortable with. There are local sellers that accept both retail and wholesale orders. You may also deal directly with Chinese partners but that would entail a great amount of risk. Start small and ramp up naturally as sales pick up. Study your target market. Learn more about the current reach, sales figures, and marketing tactics in the industry.

Reach

For something that started as a personal project, the reach of electronic cigarettes today is quite impressive. The device has evolved into a number of types and these are now being sold all over the world. There are about 500 brands competing in the market. They are enjoyed by millions of people from different age groups. Most beginners get disposable ecigs which are very easy to use. They are pre-loaded with flavored liquid so there’s nothing more to add. They are also pre-charged. All the user has to do is to turn it on, wait for it to heat up and inhale the vapor.

More advanced users move on to eGos which are a little bit bigger and have a bigger refillable tank. You can start buying e-liquids of your choice. This makes the experience exciting as you can choose from thousands of flavors on the market. This is an aspect in which ecigs shine over tobacco products. The most experienced users get mods which is a term for modified products or those that are built from the ground up. By picking this route, a person can turn the device to perform exactly as he wants it to.

Sales

Some might have thought that ecigs are just a fad that will fade in time. From the looks of it, however, it isn’t fading anytime soon. In fact, the figures show that the number of products sold every year has continued to increase. This is likely going to plateau as it reaches a stable figure. In 2014, the worldwide sales amounted to $7 billion. It is interesting that such a large portion of the sales occur through e-commerce. This is perhaps due to the way it spread around the world. People initially had to order from China using online stores. Only a handful were devoted fans so putting up a brick-and-mortar store did not make sense. Local pioneers sold online as well and maintained a devoted following. Only later did stalls pop up in malls.

Today, most of the hardware is still made in China but e-liquids have been dominated by local sellers who were quick to create their own blends. E liquid discounts entice shoppers to buy more. Check out the VEX 75 coupon. Even tobacco companies have felt the tide shift and are selling their own e-cig products. They are able to use their existing networks to push these to the consumers. For instance, they put their products in convenience stores alongside regular cigarettes. Sales of these have recently taken a hit as people gravitate towards vapor/tank/mods or VTMs.

Marketing

Part of the rise in popularity of these ecigs can be attributed to aggressive marketing campaigns. Companies are spending millions to get the word out about their products and the ad dollars are working. The main message is that these are safe and healthy alternatives to smoking. This is true in a way. A study of the toxic substances contained in each reveal that those in ecigs are less than 1% of those found in tobacco. In other words, they are still present but the risks are vastly reduced.

Owing to their novelty, e-cigs face little in terms of regulation. They can be advertised freely on all media in many countries, unlike tobacco which is usually restricted. Some critics say that smoking is being glamorized by these ads owing to the similarity of the products. Many of these are also run on channels that target the youth. Indeed, a substantial number of vaping enthusiasts are not smokers who are trying to quit but young people who have never had a puff but wish to try it out.