E-cigarettes majorly include nicotine, propylene, glycol, glycerin, and flavorings in liquid form that gets vaporized. They are made up of a cartridge, a battery, e-liquid and an atomizer that heats up ingredients in cartridge that creates a vapor inhaled by the consumer. They are tobacco free and do not produce any combustion, smoke, and odor. E-cigarettes function similar to normal cigarettes with visible vapor and an LED light produced when the user draws on an e-cigarette, E-cigarettes tend to offer a sensation (nicotine hit) similar to conventional tobacco cigarettes. According to the US Food and Drugs Administration (FDA), e-cigarettes convert the chemicals such as nicotine into an aerosol that is inhaled by the user.
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Global E-Cigarettes Market Taxonomy:
Global E-cigarettes market is segmented into:
By Product Type:
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Modular
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Rechargeable
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Disposable
By Distribution Channel:
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Hypermarkets
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Supermarkets
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Specialty stores
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Online Stores
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Others
Among product type, modular e-cigarettes segment witnessed a significant market share in 2016. The modular e-cigarettes are available in various flavors can be refilled by the user, and also allow the user to adjust the power that is delivered from the e-battery to the atomizer. E-cigarettes are gaining significant traction owing to wide availability of different flavors and improved inhaling experience, which in turn is driving growth of the e- cigarettes market.
Global E-cigarette Market Outlook:
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North America region is leading global e-cigarettes market. Increasing educational campaigns coupled with ban on smoking in public places in the U.S. has resulted in an approximate 31% drop in the sale of conventional cigarettes since 2005. This has created a large scale opportunity for e-cigarettes manufacturers in the U.S. thereby resulting in the growth of the market in North America. According to the National Youth Tobacco Survey (NYTS), an estimated 27.1% of U.S. adolescents used of e-cigarettes in 2015. This has resulted in 41 states banning the sale of e-cigarettes to minors due to the increasing number of health complications associated with it. These factors could greatly hamper the growth of the e-cigarettes market in North America.
Manufacturers are adopting strategies such as mergers and acquisitions in order to increase their share in the global e-cigarettes market. For instance Philip Morris International (PMI) merged with Altria in 2013 in order to market e-cigarettes. This resulted in PMI gaining the right to sell Altria’s e-cigarettes outside the U.S.
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Key players in Global E-cigarettes Market
Some of the key players operating in the global e-cigarette market include Japan Tobacco Inc., Reynolds American, Philip Morris International, Altria Group Inc. VMR products, and British American Tobacco.
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