Data revealed by Grand View Research, a BI enabled market research database, is indicating that the innovation taking place across the e-cigarette industry, will lead to significant growth during the time period 2020-27.
In 2019, the global e-cigarette and vape market size stood at USD 12.41 billion, yet has since faced significant setbacks, first with the said teen vaping “epidemic” and EVALI outbreak in North America, and then due to the COVID pandemic. Despite this, reports Grand View Research, the market is expected to witness a growth at a CAGR of 23.8% from now to 2027.
The main reason quoted for this expected growth, is the availability of a variety and innovation of vaping products. This is brought about by the development of new brands and different technologies, such as the the emergence of nicotine pods and heated tobacco products in the last few years. Amongst the major markets for e-cigarettes are France, the UK and the US.
Detrimental harsh licensing and restricting measures
Meanwhile, other entities are expecting the US market to take a hit since the local Family Smoking Prevention & Tobacco Control Act is requiring all vape products to acquire a PreMarket Tobacco Authorization (PMTA) application, before they can be sold across the country. Sadly, the PMTA process was designed for product manufacturers who can afford the time and financial costs that come with it, leaving many of the smaller businesses in ruins.
Moreover, reports from across the globe are indicating that a wave of new harsh e-cig regulations are resulting in vapers resorting to using illicit channels to obtain their preferred and unavailable products. A recent study by researchers from the University of East Anglia in the UK, found that recent EU e-cigarette restrictions, namely the Tobacco Products Directive (TPD) have pushed many vapers to the black market.
