NEWS
MARKET RESEARCH EXPERTS PREDICT
GLOBAL VAPE MARKET WILL REACH OVER
$50 Billion By 2025
Research and Markets, the world’s largest market research
store, has predicted that the worldwide market for vape
products will reach approximately US$32 billion by 2021
and more than US $50 billion by 2025.
I
ts report “Global Vape Market Strategic Assessment and Forecast
Till 2021” says that factors driving
the growth of the market include
consumers’ perception of vapor
products as an alternative to
traditional tobacco cigarettes.
The report said: “There is increased
desire among consumers worldwide
to quit smoking tobacco and this has
made vaping a rapidly growing concept
worldwide. “The global sales volume of
traditional cigarettes has declined owing
to an increase in sales of e-cigarette and
vaping. The US witnessed about 19%
decline altogether in traditional cigarette
sales among adults, i.e., a drop from
20 of every 100 adults (19.8%) in
2008 to nearly 16 of every 100 adults
(15.7%) in 2015.
“Due to this, the majority of the global
players in the tobacco industry witnessed
a massive decline in the shipment of
traditional cigarettes in 2015, prompting
bigger tobacco companies like Altria
Group, Imperial Tobacco, and Reynolds
American to rush into the vapor
products market.
“Also, the increasing number of deaths
caused by smoking-related cancer
has propelled people to stop smoking
traditional cigarettes. For instance, as
per the US government, approximately
480,000 people, due to active smoking,
and nearly 42,000 people, due to passive
42 ISSUE 06 VAPOUROUND MAGAZINE
smoking, die in the country every year.
The tobacco smoking is attributed to one
in every five deaths in the US.”
It lists increasing government regulation
of the vaping industry as one of the
major challenges faced by the industry
and points out that vape products are
banned in many major economies such
as Brazil, Japan, and Indonesia.
It adds: “Also, the governments of
Poland and India are considering
imposing a complete ban on the sale and
use of these products.
“In March 2016, the US Department of
Transportation (DOT) banned the use of
e-cigarette, vape pens and vaporizer or
vapes in flights.
“Regulatory bodies are still not
clear on how much nicotine
or other chemicals are
actually being inhaled
by the body while vaping.
In addition, the
effectiveness of these
products in helping
people quit smoking
has not been
fully studied.”
In a second major report “Global
E-Cigarette & Vaporizer Market Analysis & Forecast Through 2015 to
2025” Research and Markets predicts
that the worldwide vape products market
will rise to US$50 billion by 2025.
It says: “The global e-cigarette market
is expected to grow over $50 billion by
2025, at an estimated compound annual
growth rate (CAGR) of 22.36% from
2015 to 2025.
“The market will witness a staggering
growth until 2017, by when most of
the regulatory and policy framework
will fall into place. The growth rate will
significantly increase thereafter, with
significant revenue generation from
evolving markets of APAC and Europe.
“Moreover, while disposable e-cigarettes
dominated the global e-cigarette
product market till 2014, rechargeable
e-cigarettes, followed by personal
vaporizers and mods will soon take
over the top market positions
in terms of revenue
generation.
“The U.S. market will
continue with its
dominance through
the forecast period,
however, China
is expected to
grow at the
fastest CAGR
to become
the second largest
revenue generating
co untry by the end of 2025.”