|Status : Published||Published On : May, 2019||Report Code : VRSME9056||Industry : Semiconductor & Electronics||Available Format :||Page : 104|
The Asia-Pacific e-cigarette market is expected to grow at a CAGR of 26.7% during the forecast period with its market size predicted to reach USD 13.5 billion by 2024. The Asia-Pacific e-cigarette market is driven by factors such as increasing awareness among consumers, government initiatives to curb tobacco use, increasing tobacco and drug abuse in the region, and upsurge in the e-commerce industry. Disposable cig-a-like, rechargeable cig-a-like, and open tank vaporizer are the major contributor to the Asia-Pacific e-cigarette market size.
Insight by Product
The cig-a-like, vaporizer and vape mode are the products offered by e-cigarette manufacturers. Among all these products, cig-a-like category accounted for the largest revenue in the Asia-Pacific e-cigarette market. The primary factors for the largest share of the cig-a-like category are its lower prices and availability as disposable as well as rechargeable category. Cig-a-like e-cigarette market is further segmented into disposable and rechargeable cig-a-like, of which disposable category is more popular in Asia-Pacific due to their low cost. The vaporizer market is categorized into open tank and closed system vaporizer. Among the two categories, open tank vaporizer market is anticipated to witness higher growth during the forecast period.
Vape mods are gaining huge popularity in the Asia-Pacific countries and are anticipated to witness the highest growth in its market size. The research and development leading to the product innovation have led to the development of highly differentiated vape mod, thus creating huge traction among consumers.
Insight by Distribution Channel
Based on distribution channel, the market is subdivided into supermarkets, online, vape shops, and tobacconists. In 2018, the majority of e-cigarettes were distributed through vape shops and the trend is anticipated to remain the same during the forecast period. However, with the increasing number of supermarkets and the emergence of e-commerce, significant portion of sales will be through supermarkets and online sales channels.
E-Cigarette Aftermarket Insights
The aftermarket for e-cigarette holds immense opportunities for the industry players, with its market anticipated to observe the higher growth than the actual e-cigarette market. Of the different aftermarket products, majority of sales are of refill and it is anticipated to remain during the forecast period.
Increasing awareness among consumers, government initiatives to curb tobacco use, increasing tobacco and drug abuse in the region, and upsurge in the e-commerce industry are driving the Asia-Pacific e-cigarette market. According to the World Health Organization (WHO), smoking causes 1 million cardiovascular deaths in Asia Pacific each year. Nearly 1 in 4 people in the Region are smokers, which puts them at risk of cardiovascular disease. However, non-smokers who are exposed to second-hand smoke also face an increased risk of heart disease and stroke, resulting in some 168 000 deaths in the Region each year.
As e-cigarette is less harmful than a regular cigarette, it has resulted in the development of alternatives that have helped consumers quit conventional cigarettes. Therefore, Asia-Pacific offers opportunities for e-cigarettes manufacturers to generate revenue and explore their presence in the region.
Although governments in Asian countries are taking initiatives to curb smoking and tobacco use, the implementation of government regulations have been the major challenge. Moreover, the high cost of e-cigarettes is the key factor hindering the growth of the Asia-Pacific e-cigarette market.
Among different countries, China is the largest market for e-cigarettes in Asia-Pacific. The primary factors leading to the adoption of e-cigarettes in China are the increasing awareness among the smokers to quit smoking, promotion or marketing of e-cigarettes as an alternative or as smoking cessation by manufacturers, technological advancements, and high prevalence of smoking-related diseases.
According to the WHO, there are 300 million smokers in China, which illustrates that one in every three cigarettes smoked in the World is smoked in China. Moreover, the issue of second-hand smoke or passive smoke is also very critical in the country as it kills approximately 100,000 people every year in China. Similarly, in Japan, Korea and other Asian countries, the prevalence of tobacco use is very high.
The key players operating in the Asia-Pacific e-cigarette market are China National Tobacco Corporation, Turning Point Brands, Inc. (International Vapor Group), British American Tobacco plc, VMR Products LLC, Altria Group Inc., Japan Tobacco Inc., Philip Morris International Inc., Imperial Brands plc, VAPETASIA, Puff E-Cig, ITC Limited, and Boluvaper Technology Co., Ltd.
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