The regulation of electronic cigarettes is increasing in many countries around the world.
The e-cigarette policy is tightening and online channels will be blocked.
It was learned that on the afternoon of November 1, the State Tobacco Monopoly Administration and the State Administration of Market Supervision issued the Circular on Further Protecting Minors from E-cigarettes (hereinafter referred to as the Notice), urging e-cigarette production, The sales company or individual promptly closes the e-cigarette Internet sales website or client; urges the e-commerce platform to close the e-cigarette store in time and remove the e-cigarette product in time; urges the e-cigarette production and sales enterprise or individual to withdraw the e-cigarette released through the Internet ad.
The content of the Notice shows that it mainly restricts the sale and marketing of e-cigarette online channels in order to protect minors. Online is the place where minors are the easiest to get e-cigarettes.
The China Center for Disease Control and Prevention released the results of the 2018 China Adult Tobacco Survey, which shows that the most important way to obtain e-cigarettes is the Internet (45.4%). But this year, the industry as a whole has penetrated offline, and the online ratio has decreased. It is understood that the head manufacturer’s online channel contribution revenue accounts for about 10%. Therefore, limiting online channels has a greater impact on some emerging brands.
Industry sources, Besides the first-line brand is more standardized on raw materials, many emerging brands don’t care about inclusions, find a factory to OEM The brand came out, and this policy may be introduced to avoid problems like the death of American black market products. He expects that the policy level may close first, and then gradually open after adjusting the screening.
As of now, In 48 states and one territory in the United States, 21 deaths related to e-cigarette use have occurred. Although the impact of black market marijuana is not ruled out, the case of e-cigarette death still raises many concerns. It is worth mentioning that since the advent of electronic cigarettes in 2004, it has attracted consumer groups with the concept of harm reduction, and the market scale has continued to expand. However, whether e-cigarettes can reduce harm is still controversial.
In addition, although this policy restricts the marketing and shipping of online channels, it actually has a joint effect on offline. The industry said that e-cigarettes as an emerging industry need to be popular, and selling well online is helpful to the entire industry. In the last one or two months, the news of the death of electronic cigarettes in the United States has had a great impact on offline consumption. Consumers are afraid to buy, and channel dealers are afraid to purchase goods. People around them will also discourage smoking.
At present, the supervision of electronic cigarettes in many countries around the world is increasing. Some states in the United States, Thailand, Brazil, and India have all banned electronic cigarettes. In China, e-cigarettes have been completely banned in Hong Kong, and Shenzhen and Hangzhou have also included them in the “Tobacco Control Order”.
But there are also countries that encourage the development of e-cigarettes, such as the United Kingdom,The British Ministry of Public Health last year recommended that hospitals should sell e-cigarettes to encourage people to switch from traditional tobacco to e-cigarettes. E-cigarettes have less health damage than traditional tobacco, but the UK is still supervising the quality of e-cigarettes.
Since last year, e-cigarettes have gradually changed from a niche product to a mass consumer product. Entrepreneurial thresholds and large profit margins have triggered a boom in entrepreneurship. The barbaric growth of the industry is also a mess. At present, the national standard has not yet been introduced. Tianfeng Securities previously reported that With the landing and implementation of the national standard, domestic e-cigarettes will usher in a second take-off. At that time, upstream manufacturers and downstream channels will be in the case of industry standards and clear regulations. Both will have “there are laws to follow”,
The industry has ushered in a benign and sustainable development.
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