Since ecigs emerged ten years ago, the world has seen a shocking growth in vaping revenue. While ecigarettes were once rare and marginalized, today they are widely accepted and used by current and former smokers worldwide. Now experts from Euromonitor have released new revenue predictions that show ecig revenue reaching $50 billion by 2030.
From 2013 to 2014, ecig revenue almost doubled with $6 billion in sales last year. The United States is topping out the charts with the most ecig sales worldwide. American vapers account for almost half of global ecig revenue. Of course, countries like the UK, France, Poland, and Italy are not too far behind.
Zora Milenkovic, the tobacco research head for the Euromonitor International, said the vaping industry has seen unprecedented growth and change in only a decade. “Since its introduction to the market in 2005, vapor products have grown by nearly 70 percent, eclipsing nicotine replacement therapy products, which in comparison stood at $2.4 billion in global sales in 2014.”
Shane MacGuill, senior tobacco analyst, points to health-conscious consumers as the cause for the sudden spike in vaping interest. He believes that today’s smokers are well aware of the dangers of tobacco use and they are using ecigs as an alternative to help them ditch tobacco and gradually reduce nicotine intake.
“The number of sole or dual users of vapor products surged to 13 million globally in 2014, meaning consumers are choosing traditional tobacco products alongside vapor devices,” MacGuill explained. “The majority of all vapor users are current or former adult smokers.”
Along with mounting sales, ecigs are also showing major advancements in technology. Just a few years ago, the market was heavily dominated by cigalikes, small ecigs that look a lot like regular cigarettes. However, today’s vapers seem to prefer the more advanced open tank systems that allow them to customize their vaping experience with varied nicotine levels and flavors.
The Euromonitor forecast shows that today’s growth is only the beginning. Counries like Egypt, Switzerland, Japan, and Bosnia-Herzegovina show a startling uptick in ecig revenue. Of course, the United States is still leading the world as the fastest growing marketing for e-cigarettes.
Milenkovic said that the growth is solid, but there could be trouble looming on the horizon if regulators don’t act with careful consideration. “The outstanding predictions for vapor’s future could easily vanish if legislation moves forward with tobacco-level taxation, demands for child-proofing or public vaping bans; however, if the legislation remains as it is, Euromonitor predicts the vapor market can reach more than $50 billion by 2030,” Milenkovic said.
Do you think ecig revenue will continue to climb in the next few years or will regulations eventually kill the progress and slow the industry down?