The Vape Market Growth Is Increasing and Here’s What You Need to Know
What if you were letting your best business opportunity go up in "smoke?"
When it comes to vapes, the market growth in recent years has been very impressive. Between 2015 to 2018, vaping went from $304.2 million a year in sales to $2.06 billion a year in sales.
If you're an entrepreneur, it's not too late for you to become part of this growing market. Interested in seeing how far this career can take you? Keep reading to learn everything you need to know about the vape market!
How Many People Vape?
To really understand vape market growth, you need to understand the vape market size. In the United States, recent polls have shown that 9% of adults "regularly or occasionally vape."
As our guide will reveal, there is even stronger growth among more specific demographics. But if we use that 9% figure to determine vape market size, that means that over 23 million American adults vape.
This gives entrepreneurs a massive built-in audience for a prospective vaping business. And the number of those who regularly vape may well increase over time.
What Is the Market Growth of the Vape Industry?
Currently, the vaping market is valued at a little over $20 billion dollars. By 2027, however, the market value is likely to grow to $30 billion dollars. This means the market's compound annual growth rate is likely to be 4.5% from now through 2027.
Many factors have influenced the projected value of the market. One surprising factor was the COVID-19 pandemic.
Cigarette sales had been declining but actually increased in 2020, likely due to stress. And just as cigarette sales rose, sales of vapes rose as well.
Speaking of cigarettes, many consumers see vapes as a safer, healthier alternative to cigarettes. Therefore, some vape sales are fueled by consumers who are hoping to use these products to wean themselves off of nicotine.
Finally, the COVID-19 pandemic helped make online sales of various products more popular than ever. Vaping market entrepreneurs took advantage of this by setting up online storefronts and investing in online advertisements that helped transform their local market into a national market.
What Are Some of the Most Popular Vape Brands?
It's wise for any good vape shop to stock a variety of different brands (more on this later). In terms of sheer popularity, though, JUUL remains the most popular vaping choice for consumers.
When it comes to vapes with nicotine, JUUL sells the largest amount each year. The brand's closest competitors are Blu and Njoy, but neither of them represents a real threat to JUUL's market dominance.
Juul is also the favored brand among consumers when it comes to vape pen sales. Long story short? If you're opening your own smoke shop, you'd be wise to keep it well-stocked with JUUL products!
Interesting Facts About Vaping Demographics
Earlier, we covered the fact that 9% of the American adult population uses vapes. However, if you drill a little further into the data, there is some fascinating demographic information about vape market trends.
For example, men in the United States are nearly twice as likely to vape as women. This is one reason that much of the vape marketing you see predominately includes male actors.
Unfortunately, a large number of young people in America vape. Millions of high schoolers vape each year, but the number is on the decline. This may be due in part to the COVID-19 pandemic, but it likely has to do with more restrictive laws surrounding the vaping industry.
Which Group Vapes the Most?
When it comes to which demographics love vaping the most, millennials use vapes more than any other group, and this is followed close by Generation X. Therefore, despite media fear focusing on younger people vaping, entrepreneurs in this market are far better off targeting older demographics in order to maximize sales.
What makes vaping so popular among millennials and Generation X? Because these are generations that grew up hearing about the dangers of tobacco so much, many in these demographics perceive vaping as safer than using traditional tobacco. Additionally, these generations are more familiar with adapting to the use of technology, and many of them enjoy the modularity of reusable vape products.
What Has Made Vaping So Popular?
The vaping market has grown by leaps and bounds in recent years. And it has mostly grown in popularity thanks to curiosity, convenience, and branding.
Curiosity is a factor because vaping is still a "new kid on the block." Older demographics enjoy trying it as a trendy alternative to cigarettes. And younger demographics enjoy the sleek technology that powers these devices.
As devices go, vapes are very convenient. They are easy to store, easy to travel with, and easy to use. And given that vapor doesn't linger like tobacco smoke, you can take and use vapes in places where you can't take or use cigarettes.
Finally, many vapes have leaned into branding very effectively. The branding positions vapes and vaping as something sleek and trendy, and this has transformed what might be a quiet vice into a proud and popular lifestyle.
The Importance of Vape Market Diversity
Ready to open up your own vape shop? In that case, it's important to stock a wide variety of vapes and vape accessories.
The reason why is simple: vaping attracts different kinds of people because there are many different ways to vape. By stocking a variety of products, you can appeal to a variety of potential customers.
For example, some users will want user-friendly disposable vapes. Others will want reusable devices and accessories to take care of them. And no matter what kind of vape product it is, all of your customers will want you to have a wide variety of brands and flavors.
Start Your Own Vape Store Today
Now you know about the market growth of the vaping industry. But do you know who can answer all of your questions and help you get started?
Here at Smoker's World, we are vaping experts always happy to help others out. If you have any questions, all you have to do is contact us today!