Category: Shop talk

  • Vuse’s Market Share Lead Stays Static in December

    Vuse’s Market Share Lead Stays Static in December

    Credit: RJR Vapor Co.

    The latest Nielsen report shows that the market share of R.J. Reynolds’ top-selling Vuse e-cigarette remained flat at 42 percent in December at convenience stores.

    While Vuse’s market share was unchanged, No. 2 Juul dropped from 24.3 percent to 24.2 percent for the report covering the four-week period ending Dec. 30.

    As recently as May 2019, Juul held a 74.6 percent share in the U.S. electronic cigarette market. That’s when a series of regulatory actions led to product-reduction concessions, according to media reports.

    Meanwhile, Altria Group’s ownership of No. 3 NJoy hasn’t resulted in a meaningful market-share increase so far. Nielsen cited a research error by why it did not include an update for NJoy in the latest report. It was at 2.6 percent in the previous report.

    Fontem Ventures’ blu eCigs, an affiliate of Imperial Brands Plc, was unchanged at 1.2 percent.

    The overall e-cigarette category was down 9.9 percent.

  • Number of U.K. Vape Shops Up in 2023: Local Data

    Number of U.K. Vape Shops Up in 2023: Local Data

    The number of vape shops in the United Kingdom increased significantly last year, according to a reports in The Independent citing a survey by the Local Data Co. (LDC).

    The country currently has 3,573 specialist vape shops, 233 more than at the start of 2023. This compares with an increase of 61 shops in 2022 and a decline of 23 in 2020.

    The LCD figures exclude the numerous convenience stores, post office shops and news agents that also stock e-cigarettes and related products.

    Sales of vape products grew by £897.4 million ($1.14 billion) in 2023, according to data published by NIQ and trade The Grocer.

    The fastest growing vape brand in the U.K. was Lost Mary, which saw its sales grow by £310 million over 2022.

    The market for traditional tobacco products contracted in 2023. Sales of cigarettes and loose tobacco declined £849.1 million and £393.1 million, respectively.

    Keen to crack down on youth vaping, the government recently announced a consultation on how to protect children while encouraging adults to use e-cigarettes to quit.

    Its suggestions include restricting flavors and product descriptions that may be appealing to underage consumers, along with rules on how products are presented in stores.

    Jonne Dunne, director general of the U.K. Vaping Industry Association, said the rise in the number of specialist vape shops reflects the growing demand from smokers wanting to quit their cigarette habit.

    “Vapes are proven to be the most effective way for smokers to quit,” he was quoted as saying, adding that e-cigarettes are helping around 50,000 more smokers beat their habit every year.

  • Vapes Fastest Growing Category in UK Grocery Sales

    Vapes Fastest Growing Category in UK Grocery Sales

    Credit: Suppachok N

    Vaping products were the fastest growing category in U.K. grocery sales for the second year running in 2023, while sales of cigarettes, cigars and loose tobacco fell sharply, industry data showed.

    Britain’s government in October proposed banning younger generations from ever buying cigarettes and Prime Minister Rishi Sunak said it also needed to act on youth vaping, according to Reuters.

    Vaping products saw growth in value sales in Britain of 897.4 million pounds ($1.15 billion) in 2023, according to the data published on Saturday by market researcher NIQ and The Grocer.

    The Lost Mary brand, owned by Chinese vaping firm Heaven Gifts, was the UK’s fastest growing product with sales up by 310.6 million pounds on the previous year, the data showed.

    NIQ said vaping products also saw growth on a volume basis, or the amount people bought, while sales of cigarettes, cigars and loose tobacco were down 849.1 million pounds and 393.1 million pounds, respectively, on a sales value basis.

  • Vuse Market-Share Lead Over Juul Continues to Grow

    Vuse Market-Share Lead Over Juul Continues to Grow

    Credit: Konstiantyn Zapylaie

    R.J. Reynolds’ top-selling Vuse electronic cigarette saw an increase in market share after a recent small decline, according to the latest Nielsen convenience store report for the four-week period ending Dec. 2.

    Vuse’s market share rose from 41.5 percent to 42 percent, surpassing No. 2 Juul which dropped from 24.7 percent to 24.3 percent.

    In May 2019, Juul held a dominant 74.6 percent share of the U.S. e-cigarette market, but regulatory actions led to a decrease in product availability.

    Despite Altria Group’s ownership of No. 3 NJoy, their market share remained stagnant at 2.6 percent.

    Fontem Ventures’ blu eCigs, affiliated with Imperial Brands Plc, also had no change in market share at 1.2 percent. Overall, the e-cigarette category saw an 8 percent decline during this period.

  • FDA Increases Civil Monetary Penalties for Retailers

    FDA Increases Civil Monetary Penalties for Retailers

    The U.S. Food & Drug Administration (FDA) announced that it has increased the penalties that nicotine companies and retailers pay if found in violation of the various federal laws regarding nicotine products.

    The changes are part of the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, which requires the penalties to adjust with inflation.

    The updated penalties are:

    • First Violation — $0 (Warning Letter)
    • 2 within a 12-month period — $345 (Previously $320)
    • 3 within a 24-month period — $687 (Previously $638)
    • 4 within a 24-month period — $2,757 (Previously $2,559)
    • 5 within a 36-month period — $6,892 (Previously $6,397)
    • 6 within a 48-month period — $13,785 (Previously $12,794)

    The civil monetary penalties are handed out to vaping and other tobacco companies or retailers that are found to violate FDA’s rules regarding vaping and other tobacco products.

    Examples could range from an e-cigarette company failing to use a proper warning label to a retailer caught selling any nicotine product without checking the I.D. of an undercover buyer.

  • Louisiana Releases Approved Vape Products List

    Louisiana Releases Approved Vape Products List

    Credit: Steheap

    Louisiana’s new law bans retailers from selling vape products not listed on a state-approved registry, known as the V.A.P.E. Directory.

    To receive authorization, products need a marketing order from the U.S. Food and Drug Administration or must meet one of several narrow exceptions, which favor products that have been on the market since at least 2016.

    The state’s Office of Alcohol and Tobacco Control (ATC) released its list of nearly 400 approved vape products on Friday.

    The list’s release came after a 19th Judicial District Court judge decided not to grant a temporary restraining order that would have stopped the Louisiana ATC from halting the sale of specific products.

    Lawmakers during the 2023 legislative session passed HB 635. It increased the state’s tax rate on vape products and limited the sale of products to only those approved by the FDA.

    The law is being challenged by the Louisiana Convenience and Vape Association, which argues it is unconstitutional. Whether or not the law remains on the books will be determined by a judge at the 19th Judicial District Court who will decide whether to stop the ban on those products in the coming weeks.

    With the time both parties have until they return to court, plaintiffs will try to get the attorney general involved since a constitutional challenge is being made. We reached out to the LCVA for comment but did not hear back.

    Part of the law raised the tax on vape liquid from 5¢ to 15¢ per milliliter. Those extra tax dollars are designated for state trooper salaries. However, the LCVA argues the law will wipe out at least 60% of the products off their shelves and, therefore, not result in the revenue increase lawmakers expect.

  • Louisiana Ends Sales of Unauthorized E-cigarettes

    Louisiana Ends Sales of Unauthorized E-cigarettes

    Today is the day that any vaping product not authorized by the U.S. Food and Drug Administration must be removed from store shelves in Louisiana as the state’s new vaping law goes into effect.

    Act 414 also increased taxes on vaping products, which began on Oct. 1. Beginning today, only FDA-approved vapes and alternative nicotine products registered with Louisiana Alcohol and Tobacco Control (ATC) will be allowed to be sold in the state.

    For the products to be considered by the ATC, a $100 application fee per product is required as well as authorization by the FDA. A list of those approved products will be released today. It is expected to be a short list.

    To date, the FDA has only authorized 23 tobacco-flavored e-cigarette products and devices, which are the only e-cigarettes that currently may be lawfully sold or distributed in the U.S. Many of those products are outdated and all are owned by major tobacco companies.

  • Deadline is Nov. 1 for Louisiana Vape Product Registration

    Deadline is Nov. 1 for Louisiana Vape Product Registration

    Credit: VFHNB12

    A strict new vape law goes into effect on Nov. 1 in Louisiana. It will require every vapor product manufacturer to register their products with the Louisiana Alcohol and Tobacco Commission (ATC).

    Store owners say the impact could be devastating for sales since fewer vape products will occupy shelf space as products not approved by the ATC can not be legally sold in the state.

    “Every store will take about a 30, 40 percent hit. It will impact us not only through sales but also through payroll, keeping up with our expenses, different things like that will definitely affect business in a worse way than we could imagine,” Lit Vape and Smoke Owner Bilal Wardariya told KPLCTV.

    The legislation stemmed from a bill to increase the vape tax, which tripled this year, but Wardariya said limiting the usage of vapes is taking it too far.

    “I think this vape ban negatively impacts the state in many different ways, not just people, but the state itself because we give so much tax revenue. As a whole, I’d like to see this thing get resolved and hopefully, we can still sell and keep the same process we’ve been having for many many years,” he said.

    Other vape shops in the area agree that it will affect business but believe the state and customers will suffer as well.

    “We pay thousands of dollars in taxes between all of our stores, so they’re going to lose that, and it affects our customers because a lot of them genuinely need this to stop smoking cigarettes and stuff,” Smoke 360 Manager Joshua Snyder said.

    For the products to be considered by the ATC, a $100 application fee per product is required as well as approval by the FDA. A list of those approved will be released on Nov. 1.

    To date, the FDA has authorized 23 tobacco-flavored e-cigarette products and devices, which are the only e-cigarettes that currently may be lawfully sold or distributed in the U.S. Many of those products are outdated and all are owned by major tobacco companies.

  • Grocer’s Lobby Wants ‘Nuanced Debate’ on Vapes

    Grocer’s Lobby Wants ‘Nuanced Debate’ on Vapes

    The Scottish Grocers’ Federation (SGF) trade association has written to Scotland’s public health minister Jenni Minto MSP, following the Programme for Government announcement, which said restrictions on vaping in Scotland will be considered.

    The SGF outlined a number of measures which it believes can reduce vaping among children, while also ensuring adult smokers looking to quit have access to alternative forms of nicotine, according to media reports.

    It said packaging and naming of vape brands should be changed to make them less appealing to children, but said it opposes restrictions on flavor.

    The SGF said flavor is shown to be the key factor which helps people switch from smoking to vaping – an alternative it argues is less harmful.

  • VPZ Expected to Open 15 More Stores by End of 2023

    VPZ Expected to Open 15 More Stores by End of 2023

    Doug Mutter
    Doug Mutter/Photo: VPZ

    VPZ, the largest vaping retailer in the UK, announced it would be increasing its footprint to over 160 stores by opening 15 new stores across the UK by the end of 2023.

    The growth comes amidst VPZ’s launch of its new vape recycling service in partnership with WasteCare across all its stores in response to the rising environmental concerns over disposable vapes.

    “We are delighted to be continuing our brand expansion and mission of supporting adult smokers to quit whilst bringing our own innovative recycling services to tackle the negative environmental impact of disposable vaping,” said Doug Mutter, director at VPZ.

    VPZ is also calling on both the UK Government to introduce tighter controls and licensing for selling vaping products both in physical and online retail environments.

    To date, Edinburgh-based VPZ has already helped over 700k smokers in the UK quit since it was established in 2012, according to the retailer.

    In March VPZ said it planned to have opened 20 additional stores by the end of the year as its expansion plans continue.