UK Vape Market to Reach £1.4 Billion by 2026, PMI, JUUL and More Confirms

The UK vape market, currently valued at £1.2 billion, is projected to reach £1.4 billion in the next three years (ECigIntelligence). Disposable vapes are experiencing a surge in popularity, contributing to an increase in the number of UK vapers from 3.7 million in 2021 to 4.3 million in 2022. Tom Gully, Head of Consumer Marketing UK&I at Imperial Tobacco, recommends retailers capitalize on this trend by increasing in-store space for vaping products and frequently updating their range with popular items, such as the blu bar range.

Closed and basic open pod systems are also gaining traction, accounting for 17% of the UK vaping market (ITUK). To meet growing consumer demand, Imperial has introduced blu bar vapes. Imperial also offers support for retailers through sales advice, promotions, store visits, in-store furniture, and an Ignite app for news and training opportunities.

JUUL

Richard Cook, director of national accounts at JUUL, emphasizes the need for a balanced approach to vaping regulations, ensuring underage access is limited while acknowledging the potential of e-cigarettes for harm reduction. Cook welcomes recent government measures to restrict underage vaping, but also highlights the responsibility of the industry in this matter. JUUL's education platform provides training and support for preventing underage access to their products.

E-cigarettes are the fastest-growing reduced-risk alternative, contributing £60 million to category growth (IRI Total Market Value Sales to 26 Feb 2023). However, cigarettes and Roll-Your-Own tobacco still dominate the market. In response, Juul Labs has developed the JUUL2 system to offer adult smokers an enhanced vaping experience. Cook expects the government's plan to be smoke-free by 2030 will further stimulate the transition to vaping products.

PMI

Heat-not-burn products are expected to gain more recognition among adult smokers in 2023, with over half of UK convenience retailers projected to stock these items (KAM on behalf of PML). IQOS, the leading product in this category (Nielsen), is experiencing increased appeal due to its affordability and acceptance as a viable alternative to cigarettes.

Philip Morris Limited (PML) has introduced VEEBA, a premium e-vapour product that is recyclable and compliant with high quality standards. It offers a range of nine flavors and each batch is rigorously tested.

NEAFS

NEAFS, represented by CEO Adrian Everett, is set to invest £10m in UK marketing in 2023 to promote NEAFS’ products as a safer alternative to smoking. To support retailers, NEAFS provides a Countertop Display Unit (CDU) and is also launching a £10 million outdoor digital media campaign in the UK.

Aquavape

Aquavape's Managing Director, Ebrahim Kathrada, highlights the importance of regularly updating product ranges and implementing measures to prevent underage sales, such as the Challenge 25 policy. 

EDGE Vaping

EDGE Vaping, represented by Strategic Marketing Manager Peter Styles, acknowledges the disruption in the disposable vaping sub-category in 2023. Styles suggests retailers understand consumer goals to guide product offerings and marketing efforts. When launching new products, Styles recommends focusing on items that address unmet consumer needs.

Reference: 

https://grocerytrader.co.uk/expanding-category-the-vape-market-is-expected-to-reach-1-4bn-in-the-next-three-years/

Thumbnail source: Time