Will niche brands disappear after vape is formalized?
Perhaps you have discovered a special phenomenon in the vape industry, that is, some brands that were very popular in the past year or two have suddenly disappeared, much like these brands have never appeared before. This special situation in the vape industry is mainly because vape is suddenly controlled and prohibited from selling online, and offline sales costs are too high. Many companies did not have corresponding sales channels before, and then there is vape. Because the industry is competitive with the tobacco industry and national policies are unclear, companies engaged in vape production and sales are speculative. Once any unfavorable control policies are released, they will easily stop losses and exit the vape industry in time.
When vape was first popular, it was not under effective control. At that time, the vape market was very chaotic. Various well-known and unknown vape and e-liquid brands exploded in growth, sometimes within a month. Hundreds of vape brands have been released, and the way to release a new vape or e-liquid brand is also very simple. Just take a brand name, create a logo, and find vape or e-liquid manufacturers can customize it. Usually, the cost of this customization is very low. You can customize a brand of your own for tens of thousands of dollars. If the brand wants its own brand to develop for a long time, it will also submit a trademark to the Trademark Office. After the registration, then customize your own brand.
Therefore, after the country suddenly announced the prohibition of online sales of vape products in 2019, many vape and e-liquid brands dumped their inventory and withdrew from the vape industry. Many vape brands have gradually disappeared after the vape gradually became formal. At present, some of the more common vape brands on the market are still relatively high, because they have their own brand stores, and niche brands usually It will be mixed in some brand specialty stores or ordinary vape physical stores. It can be said that vape products of niche brands are difficult to survive. If vape is truly standardized in the future, will these niche brands disappear?
If we want to look forward to the future of vape and explore the question of whether niche brands will disappear after vape is formalized, then we must know a proposal in March. The main content of the proposal is to add to the original regulations. One: "vape and other new tobacco products shall be implemented with reference to the relevant regulations on cigarettes in these regulations." Obviously, after the vape is standardized, the production and sales of vape should be implemented in the same way as cigarettes.
It can be seen that after the formalization of vape, the threshold and freedom of the vape industry will be greatly restricted. However, the strength of some niche brands is limited, and it is estimated that most of them cannot obtain production and sales licenses. Coupled with the taxation of cigarettes, the profit margin of niche brands is narrower, but niche brands still have certain advantages, such as: faster update, more flavors, and affordable prices. These advantages are destined to still be affected by niche brands. Many people are welcome.
So I personally think that after vape is formalized, niche brands will disappear a lot, but the vape market is huge after all, and niche brands still have room for survival.
Prev:Can the development of vape go smoothly?
Next:The physical store is the future of vape
