Company dynamics

Ninety percent of the world's e-cigarettes are produced in shenzhen, but they smell good inside and

  At the end of 2018, JuulLabs, an e-cigarette company that had been overseas for a year, shocked the industry: 500 employees each received an average of $1.3 million.A company with a 75 per cent market share in the us has been valued at $38bn since glass pipes it was bought by us tobacco giant Altria Group for $12.8bn.

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  Shares in Ochia, an American tobacco giant, have reportedly fallen nearly 30% as the traditional cigarette market continues to shrink.But since altria acquired JuulLabs, the company's performance has taken a new turn.

  The maturity of the consumer market as a whole is behind the fortunes of the American giants.The United States is a major consumer of e-cigarettes, according to the world tobacco development report.The us accounted for 43.2 per cent of global e-cigarette sales since 2016, followed by the UK and Italy.As the birthplace of e-cigarettes in China, the proportion of e-cigarette consumption is only 6%!

  China has about 350 million smokers, nearly 30 percent of the world's total.According to tobacco online, domestic cigarette sales in 2017 were 4.737,800 cases, about 40 percent of the global total.However, penetration of e-cigarettes in China is not high oil rigs, accounting for about 150 million to 2 million e-cigarette consumers, or 0.47 percent of the total smoking population.

  Five million would create a brand with a low threshold and a profit margin of 60 percent.The number of Chinese companies, but with foreign countries as the main market, what kind of industry?

  The world's first e-cigarette was produced in 2003 - smog.More than $100 million was sold in the first year, and more than 300,000 e-cigarettes were sold in 2008 and listed in Hong Kong.However, in 2006, security issues, such as smoke, were "pushed down the altar" after CCTV exposed its fake smoking effects.

  Although swallowed by many tobacco alligators, Ruyan has become a kind of pathfinder, enabling many domestic manufacturers to follow suit.Currently, there are nearly 4,000 e-cigarette companies in China, producing more than 90 percent of the world's e-cigarettes.But in fact, the external and internal walls of the incense, 90% of the share is exported, and the domestic sales are only 5%.Meanwhile, the main manufacturers are located in shenzhen.

  With the rapid and slow development of the domestic e-cigarette market, not only the problems cool water pipes of the industry itself, but also the ambiguity of the policy is one of the reasons.

  "Domestic e-cigarette stores are still targeting e-cigarette players, not people who really want to replace cigarettes with e-cigarettes."The public's acceptance and awareness of e-cigarettes are not high, and the one-sided report on the safety of e-cigarettes by domestic media makes it difficult for e-cigarettes to attract public attention.But in fact, e-cigarettes like Yooz use nicotine-salt technology, which guarantees a higher degree of taste loss and addiction while placing less of a burden on the body.

  However, property rights in the e-cigarette market are not well protected, making it difficult to distinguish between real and fake e-cigarettes.At that time, even though milk tobacco was patented, there were so many analog products that there was a lack of follow-up.

  Most importantly, China's policy on e-cigarettes is blank.The state tobacco monopoly administration, the state security administration and the medical products administration have yet to reach an agreement on regulating e-cigarettes as tobacco or drugs.Although the smoking control regulations of shenzhen special economic zone (sez), which are being revised, include relevant provisions to ban e-cigarettes, the Beijing municipal authorities also said that they will strengthen the research on the harm and management mode of e-cigarettes in the future, but it is still in the exploratory stage.


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