Interview with BAT: Market Prospects of Disposable
On September 15th, at the tobacco exhibition in Dortmund, two spokespersons from the German branch of British American Tobacco (BAT), Daniel Terveen, were interviewed regarding the future prospects of disposable e-cigarettes and the current state of the e-cigarette market in Germany.
According to Daniel Terveen, with the increase in e-liquid taxes in Germany, open systems have experienced a significant price increase due to their larger e-liquid capacity. In contrast, closed-system e-cigarettes, which only contain 2 milliliters of e-liquid, have seen a relatively smaller increase in price. As a result, consumers are more inclined to purchase closed-system e-cigarettes, as they are considered more cost-effective.
In the closed-loop product industry, Daniel Terveen is more bullish on the prospects of pod system products. He believes that disposable e-cigarettes face significant environmental pressure and cannot sustain long-term growth. Additionally, the European Union is about to introduce e-cigarette-related environmental regulations, requiring all e-cigarettes to have removable batteries. This regulation restricts the development potential of disposable and open systems, making the pod system likely to become the mainstream trend in the future.
When asked about how BAT balances its business with its new tobacco products, Daniel Terveen stated that the trend in tobacco products is moving from traditional cigarettes to heat-not-burn products, then progressing to vape, and ultimately towards oral tobacco. This represents a gradual reduction in harm. Therefore, BAT currently does not have a specific preference for its products but instead chooses to release different types simultaneously to meet the needs of harm-reducing tobacco users at various stages.
During this exhibition, 2FIRSTS conducted a test of BAT's pod-changing device VUSE PRO at their booth. The test revealed that the product has the capability to control power through an app and can also monitor the number of puffs in real-time. It is worth noting that VUSE PRO is currently the leading brand in the American e-cigarette market, "white customs clearance" in terms of market share.
2FIRSTS tests pod-changing device VUSE PRO on BAT's booth | Source: 2FIRSTS
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