E-cigarette Market To Reach $84.43 Billion by 2025

The global e-cigarette market is expected to reach $84.43 billion in 2025, progressing at a compound annual growth rate (CAGR) of 17.65 percent over the period 2021–2025, according to a new report in Research and Markets.

Growth in the e-cigarette market has accrued due to the changing consumer perception toward combustible cigarettes, upsurge in working population, decline in consumption of cigarettes, mounting-up prices of tobacco cigarettes and peer influence on youth.

The market is anticipated to experience certain trends like upswing in Gen Z income, emergence of flavored e-cigarettes, increasing influence of social media and rise in technological developments by e-cigarette manufacturers. However, the growth of the market would be challenged by stringent regulations, nicotine exposure in e-cigarettes and surging concerns over side effects of e-cigarettes and vapor products.

The fastest-growing regional market is the U.S. due to increasing awareness of safer tobacco alternatives, continuous efforts of anti-smoking organizations shifting the tobacco consumers to alternative forms, i.e., e-cigarettes and increased customer acceptance due to cost-efficiency of these devices.

Further, the sudden outbreak of Covid-19 is causing an adverse disruption on the overall economy through halted production and logistics activities, affecting the demand and supply of e-cigarettes across the world.