E-Cigarette Market - Global Outlook & Forecast 2024-2029

List of Tables

The global e-cigarette market is expected to grow at a CAGR of 3.36% from 2023 to 2029.

The European e-cigarette industry is expected to experience significant growth and higher adoption. The U.K. market is driven by public health policies that support e-cigarettes as a smoking cessation tool. France and Germany also have substantial e-cigarette markets, characterized by a wide range of products and flavors. Furthermore, some of the key developments in the global e-cigarette market include:

In June 2024, NJOY LLC announced that the US Food and Drug Administration (FDA) authorized the marketing of four e-cigarette products in the United States through the premarket tobacco product application (PMTA) pathway.
In July 2024, FDA's Marketing Granted Orders confirmed that Vuse Alto Device and Golden Tobacco and Rich Tobacco flavor pods at 1.8%, 2.4%, and 5% nicotine levels are appropriate for protecting public health.
Japan Tobacco International focuses on investing in reduced-risk products to expand offerings beyond traditional tobacco products.

MARKET TRENDS & OPPORTUNITIES

Growing Awareness of Smoking Risks

As awareness of the health hazards of traditional cigarettes has grown, so too has interest in alternative nicotine delivery systems, particularly e-cigarettes. E-cigarettes, or electronic nicotine delivery systems (ENDS), were introduced in the early 2000s as a safer alternative to smoking. These devices deliver nicotine through an aerosol (commonly referred to as vapor) that the user inhales without the harmful combustion of tobacco that occurs in traditional cigarettes. Also, e-cigarettes quickly gained popularity among smokers looking to reduce their health risks or quit smoking altogether. The perception that e-cigarettes are less harmful than traditional cigarettes has been a significant factor driving their adoption and supporting the e-cigarette industry's growth. Studies have suggested that e-cigarettes expose users to fewer toxicants than combustible cigarettes, although they are not without risks. This perception of reduced harm has been particularly appealing to smokers who are unable or unwilling to quit nicotine use entirely.

As awareness of the dangers of smoking has increased, more consumers have sought alternatives to traditional cigarettes. E-cigarettes have attracted a diverse consumer base, including long-term smokers seeking to reduce their health risks, as well as younger consumers who may have otherwise started smoking traditional cigarettes. The appeal of e-cigarettes is further enhanced by the variety of flavors available, which cater to a wide range of tastes.

Marketing & Advertising of E-cigarettes

The global e-cigarette market has experienced rapid growth, largely driven by sophisticated marketing and advertising strategies. E-cigarette companies have employed various techniques to promote their products, targeting specific demographics, emphasizing perceived benefits, and creating a distinct brand identity that appeals to current and new smokers. Also, e-cigarette companies have leveraged data-driven marketing techniques to tailor their advertising efforts to these groups, using digital platforms to reach potential customers where they are most active. This is considered one of the most effective aspects of e-cigarette marketing, with its ability to target specific demographics, particularly young adults and smokers looking to quit traditional cigarettes.

E-cigarette brands have notably targeted younger audiences through vibrant, modern, and trendy advertising campaigns. These campaigns often feature youthful imagery, social media influencers, and lifestyle associations that resonate with younger consumers. For instance, JUUL Labs, one of the leading e-cigarette companies, gained significant traction among young adults by employing sleek, minimalist designs and positioning its products as a cool, tech-savvy alternative to smoking. This approach not only attracted existing smokers but also appealed to non-smokers, contributing to the rapid uptake of e-cigarettes among youth.

INDUSTRY RESTRAINTS

Stringent Regulation Regarding Disposable E-cigarettes

The global e-cigarette market has been expanding rapidly over the past decade, driven by consumer demand for alternatives to traditional tobacco products. Among the different types of e-cigarettes, disposable e-cigarettes have gained popularity due to their convenience, ease of use, and accessibility. However, the rise of disposable e-cigarettes has also sparked significant global regulatory concerns. Governments and public health authorities have become increasingly concerned about the environmental impact, youth access, and public health implications associated with disposable e-cigarettes. As a result, stringent regulations regarding the production, distribution, and sale of these products have been introduced in various regions. These regulations pose a considerable challenge for the e-cigarette industry, impacting market growth, product innovation, and consumer access.

SEGMENTATION INSIGHTS

INSIGHTS BY PRODUCT

The global e-cigarette market by product is segmented into rechargeable and disposable. In 2023, the rechargeable e-cigarette dominated the market share. This segment is particularly dominant in markets like Asia-Pacific, where consumers value long-term savings and the ability to personalize their vaping experience. Major players in this segment include brands like JUUL, SMOK, and Vaporesso, which offer a variety of devices catering to different user preferences. Furthermore, disposable e-cigarettes have gained significant traction, especially among new and casual users, due to their convenience and ease of use. The strong, sweet flavors in disposable e-cigarettes also significantly affect their appeal. Many users are drawn to disposables' intense flavor profiles, often more pronounced than those found in refillable devices.

Segmentation by Product

Rechargeable
Disposable

INSIGHTS BY FLAVOR

The global e-cigarette market by flavor is segmented into non-tobacco and tobacco. In 2023, non-tobacco-flavored e-cigarettes held the majority of the segmental share. The non-tobacco flavored segment of the e-cigarette industry has seen explosive growth, driven by the diversity of flavors and their appeal to a wide range of consumers. This segment includes various flavors, such as fruit, dessert, menthol, candy, and beverage-inspired options, catering to varying tastes and preferences. The ability to choose from a multitude of flavors is a key factor attracting both new vapers and former smokers who seek a different experience from traditional tobacco. Among vendors, Vaporesso, a well-known e-cigarette manufacturer, offers a broad range of devices that allow users to customize their vaping experience by choosing from thousands of e-liquid flavors available on the market.

Segmentation by Flavor

Non-Tobacco
Tobacco

INSIGHTS BY DISTRIBUTION CHANNEL

Despite the rise of e-commerce, offline distribution channels remain a vital component of the global e-cigarette market. Traditional retail outlets, including convenience stores, vape shops, supermarkets, and specialty tobacco stores, continue to be the go-to places for consumers to purchase e-cigarettes and related products. However, offline distribution channels face challenges, particularly from the rise of e-commerce. The convenience of online shopping, coupled with the often-wider selection and competitive online pricing, has drawn some consumers away from offline stores. Despite these challenges, offline retail remains a crucial distribution channel, especially in regions where e-commerce infrastructure is less developed or where consumers prefer the tactile in-store shopping experience.

Segmentation by Distribution Channel

Offline
Online

GEOGRAPHICAL ANALYSIS

Europe dominated the global e-cigarette market, accounting for a share of over 51% in 2023. The European market is highly fragmented, with strong demand in countries like the U.K., France, and Germany. Increasing adoption of e-cigarette products as a smoking cessation tool is one of the major trends in the European industry. Many smokers view e-cigarettes as a less harmful alternative to combustible cigarettes, which has significantly contributed to their rising popularity. Introducing new technologies and designs, including compact and user-friendly devices, has broadened their appeal. Additionally, the demand for various nicotine strengths and flavored e-liquids drives regional market growth.

North America, particularly the U.S., is one of the largest and most mature e-cigarette industries. The region has seen significant adoption of e-cigarettes due to a combination of high smoking rates, increased health awareness, and strong consumer interest in smoking alternatives. Furthermore, factors such as rising consumer awareness, increasing disposable incomes, and changing smoking habits are driving the e-cigarette industry in the APAC region. The APAC market is one of the most dynamic and rapidly evolving regions globally. Driven by changing consumer preferences, increasing awareness of the harmful effects of traditional smoking, and supportive regulations in some markets, the region is experiencing significant growth in the e-cigarette sector.

Segmentation by Geography

Europe
- The U.K.
- France
- Poland
- Belgium
- Spain
- Italy
- Germany
North America
- The U.S.
- Canada
APAC
- China
- Australia
- South Korea
- New Zealand
- Philippines
Middle East & Africa
- Saudi Arabia
- UAE
- Kenya
- Egypt
Latin America
- Algeria
- Chile

COMPETITIVE LANDSCAPE

The global e-cigarette market is highly competitive and characterized by key players with substantial influence over the industry. The global e-cigarette market is dominated by several large, multinational companies, including Altria Group, British American Tobacco (BAT), Imperial Brands, and Japan Tobacco International (JTI). These companies, with their extensive resources, broad product portfolios, and strategic market approaches, play a pivotal role in shaping the dynamics of the global e-cigarette market. These key vendors have adopted strategies to capture industry share, from acquisitions and partnerships to innovation and regulatory navigation. Furthermore, the involvement of major tobacco companies heavily influences the e-cigarette industry. Recognizing the declining sales of traditional cigarettes due to increasing health awareness and regulatory pressures, these companies have aggressively entered the e-cigarette industry. Prominent players such as British American Tobacco (BAT), Philip Morris International (PMI), Altria Group, and Japan Tobacco International (JTI) have made significant investments in e-cigarette technology and brands.

Key Company Profiles

Altria Group
British American Tobacco (BAT)
Imperial Brands
Japan Tobacco International

Other Prominent Vendors

EDGE
FEELM
Halo
JWell
Pro Vape
EPUFFER
Shenzhen IVPS Technology
Shenzhen Kanger Technology
Vaporesso
Joyetech
Geekvape
VOOPOO
Aspire (Shenzhen Eigate Technology)
Eleaf
Super E-Cig
Innokin Technology
Dinner Lady
Aromes et Liquides
SKE Crystal Bar
Lost Mary
Darwin CBD

KEY QUESTIONS ANSWERED:

1. How big is the global e-cigarette market?

2. What is the growth rate of the global e-cigarette market?

3. Which region dominates the global e-cigarette market share?

4. What are the significant trends in the e-cigarette industry?

5. Who are the key players in the global e-cigarette market?

Product Code: ARZ240901

1. SCOPE & COVERAGE

1.1. MARKET DEFINITION
- 1.1.1. INCLUSIONS
- 1.1.2. EXCLUSIONS
- 1.1.3. MARKET ESTIMATION CAVEATS
1.2. SEGMENTS COVERED & DEFINITION
- 1.1.1 MARKET SEGMENTATION BY PRODUCT
- 1.1.2 MARKET SEGMENTATION BY FLAVOR
- 1.1.3 MARKET SEGMENTATION BY DISTRIBUTION CHANNEL
- 1.1.4 REGIONS & COUNTRIES COVERED
1.3. MARKET DERIVATION
- 1.3.1. HISTORIC, BASE, & FORECAST YEARS

2. PREMIUM INSIGHTS

2.1. OPPORTUNITY POCKETS
- 2.1.1. MARKET MATURITY INDICATOR
- 2.1.2. REGIONAL INSIGHTS
- 2.1.3. MARKET DEFINITION
- 2.1.4. REPORT OVERVIEW
- 2.1.5. OPPORTUNITY AND CHALLENGE ANALYSIS
- 2.1.6. SEGMENT ANALYSIS
- 2.1.7. REGIONAL ANALYSIS
- 2.1.8. COMPETITIVE LANDSCAPE
- 2.1.9. KEY QUESTIONS ANSWERED IN THE REPORT

3. MARKET AT A GLANCE

4. INTRODUCTION

4.1. OVERVIEW
4.2. HEALTH EFFECTS OF VAPING
4.3. REGULATIONS ON E-CIGARETTE
4.4. VALUE CHAIN ANALYSIS
- 4.4.1. RAW MATERIAL SOURCING
- 4.4.2. DESIGN, DEVELOPMENT, AND MANUFACTURING
- 4.4.3. DISTRIBUTION
- 4.4.4. END USERS

5. MARKET OPPORTUNITIES & TRENDS

5.1. INCREASED AWARENESS OF SMOKING RISKS
5.2. RISING PREVALENCE AMONG YOUNG GENERATION
5.3. AVAILABILITY OF DIFFERENT FLAVORS OF E-CIGARETTES

6. MARKET GROWTH ENABLERS

6.1. PERCEPTION OF A SAFER ALTERNATIVE
6.2. MARKETING & ADVERTISING OF E-CIGARETTES
6.3. HIGH ADOPTION OF RECHARGEABLE E-CIGARETTES

7. MARKET RESTRAINTS

7.1. HIGH DEPENDENCY ON CHINA FOR MANUFACTURING
7.2. HIGH COST OF E-CIGARETTES
7.3. INCREASED HEALTH RISKS DUE TO SMOKING
7.4. STRINGENT REGULATIONS REGARDING DISPOSABLE E-CIGARETTES

8. MARKET LANDSCAPE

8.1. MARKET OVERVIEW
8.2. MARKET SIZE & FORECAST
8.3. PRODUCT
- 8.3.1. MARKET SIZE & FORECAST
8.4. FLAVOR
- 8.4.1. MARKET SIZE & FORECAST
8.5. DISTRIBUTION CHANNEL
- 8.5.1. MARKET SIZE & FORECAST
8.6. FIVE FORCES ANALYSIS
- 8.6.1. THREAT OF NEW ENTRANTS
- 8.6.2. BARGAINING POWER OF SUPPLIERS
- 8.6.3. BARGAINING POWER OF BUYERS
- 8.6.4. THREAT OF SUBSTITUTES
- 8.6.5. COMPETITIVE RIVALRY

9. PRODUCT

9.1. MARKET SNAPSHOT & GROWTH ENGINE
9.2. MARKET OVERVIEW
9.3. RECHARGEABLE
- 9.3.1. MARKET OVERVIEW
- 9.3.2. MARKET SIZE & FORECAST
- 9.3.3. MARKET BY GEOGRAPHY
9.4. DISPOSABLE
- 9.4.1. MARKET OVERVIEW
- 9.4.2. MARKET SIZE & FORECAST
- 9.4.3. MARKET BY GEOGRAPHY

10. FLAVOR

10.1. MARKET SNAPSHOT & GROWTH ENGINE
10.2. MARKET OVERVIEW
10.3. NON-TOBACCO
- 10.3.1. MARKET OVERVIEW
- 10.3.2. MARKET SIZE & FORECAST
- 10.3.3. MARKET BY GEOGRAPHY
10.4. TOBACCO
- 10.4.1. MARKET OVERVIEW
- 10.4.2. MARKET SIZE & FORECAST
- 10.4.3. MARKET BY GEOGRAPHY

11. DISTRIBUTION CHANNEL

11.1. MARKET SNAPSHOT & GROWTH ENGINE
11.2. MARKET OVERVIEW
11.3. OFFLINE
- 11.3.1. MARKET OVERVIEW
- 11.3.2. MARKET SIZE & FORECAST
- 11.3.3. MARKET BY GEOGRAPHY
11.4. ONLINE
- 11.4.1. MARKET OVERVIEW
- 11.4.2. MARKET SIZE & FORECAST
- 11.4.3. MARKET BY GEOGRAPHY

12. GEOGRAPHY

12.1. MARKET SNAPSHOT & GROWTH ENGINE
12.2. GEOGRAPHIC OVERVIEW

13. EUROPE

13.1. MARKET OVERVIEW
13.2. MARKET SIZE & FORECAST
13.3. PRODUCT
- 13.3.1. MARKET SIZE & FORECAST
13.4. FLAVOR
- 13.4.1. MARKET SIZE & FORECAST
13.5. DISTRIBUTION CHANNEL
- 13.5.1. MARKET SIZE & FORECAST
13.6. KEY COUNTRIES
13.7. UK: MARKET SIZE & FORECAST
13.8. FRANCE: MARKET SIZE & FORECAST
13.9. POLAND: MARKET SIZE & FORECAST
13.10. BELGIUM: MARKET SIZE & FORECAST
13.11. SPAIN: MARKET SIZE & FORECAST
13.12. ITALY: MARKET SIZE & FORECAST
13.13. GERMANY: MARKET SIZE & FORECAST

14. NORTH AMERICA

14.1. MARKET OVERVIEW
14.2. MARKET SIZE & FORECAST
14.3. PRODUCT
- 14.3.1. MARKET SIZE & FORECAST
14.4. FLAVOR
- 14.4.1. MARKET SIZE & FORECAST
14.5. DISTRIBUTION CHANNEL
- 14.5.1. MARKET SIZE & FORECAST
14.6. KEY COUNTRIES
14.7. US: MARKET SIZE & FORECAST
14.8. CANADA: MARKET SIZE & FORECAST

15. APAC

15.1. MARKET OVERVIEW
15.2. MARKET SIZE & FORECAST
15.3. PRODUCT
- 15.3.1. MARKET SIZE & FORECAST
15.4. FLAVOR
- 15.4.1. MARKET SIZE & FORECAST
15.5. DISTRIBUTION CHANNEL
- 15.5.1. MARKET SIZE & FORECAST
15.6. KEY COUNTRIES
15.7. CHINA: MARKET SIZE & FORECAST
15.8. AUSTRALIA: MARKET SIZE & FORECAST
15.9. SOUTH KOREA: MARKET SIZE & FORECAST
15.10. NEW ZEALAND: MARKET SIZE & FORECAST
15.11. PHILIPPINES: MARKET SIZE & FORECAST

16. MIDDLE EAST & AFRICA

16.1. MARKET OVERVIEW
16.2. MARKET SIZE & FORECAST
16.3. PRODUCT
- 16.3.1. MARKET SIZE & FORECAST
16.4. FLAVOR
- 16.4.1. MARKET SIZE & FORECAST
16.5. DISTRIBUTION CHANNEL
- 16.5.1. MARKET SIZE & FORECAST
16.6. KEY COUNTRIES
16.7. SAUDI ARABIA: MARKET SIZE & FORECAST
16.8. UAE: MARKET SIZE & FORECAST
16.9. KENYA: MARKET SIZE & FORECAST
16.10. EGYPT: MARKET SIZE & FORECAST

17. LATIN AMERICA

17.1. MARKET OVERVIEW
17.2. MARKET SIZE & FORECAST
17.3. PRODUCT
- 17.3.1. MARKET SIZE & FORECAST
17.4. FLAVOR
- 17.4.1. MARKET SIZE & FORECAST
17.5. DISTRIBUTION CHANNEL
- 17.5.1. MARKET SIZE & FORECAST
17.6. KEY COUNTRIES
17.7. COLOMBIA: MARKET SIZE & FORECAST
17.8. CHILE: MARKET SIZE & FORECAST

18. COMPETITIVE LANDSCAPE

18.1. COMPETITION OVERVIEW
18.2. MARKET SHARE ANALYSIS

19. KEY COMPANY PROFILES

19.1. ALTRIA GROUP
- 19.1.1. BUSINESS OVERVIEW
- 19.1.2. PHILIP MORRIS INTERNATIONAL: PRODUCT OFFERINGS
- 19.1.3. NJOY: PRODUCT OFFERINGS
- 19.1.4. KEY STRATEGIES
- 19.1.5. KEY STRENGTHS
- 19.1.6. KEY OPPORTUNITIES
19.2. BRITISH AMERICAN TOBACCO (BAT)
- 19.2.1. BUSINESS OVERVIEW
- 19.2.2. VUSE: PRODUCT OFFERINGS
- 19.2.3. GLO: PRODUCT OFFERINGS
- 19.2.4. KEY STRATEGIES
- 19.2.5. KEY STRENGTHS
- 19.2.6. KEY OPPORTUNITIES
19.3. IMPERIAL BRANDS
- 19.3.1. BUSINESS OVERVIEW
- 19.3.2. BLU: PRODUCT OFFERINGS
- 19.3.3. KEY STRATEGIES
- 19.3.4. KEY STRENGTHS
- 19.3.5. KEY OPPORTUNITIES
19.4. JAPAN TOBACCO INTERNATIONAL
- 19.4.1. BUSINESS OVERVIEW
- 19.4.2. LOGIC: PRODUCT OFFERINGS
- 19.4.3. KEY STRATEGIES
- 19.4.4. KEY STRENGTHS
- 19.4.5. KEY OPPORTUNITIES

20. OTHER PROMINENT VENDORS

20.1. EDGE
- 20.1.1. BUSINESS OVERVIEW
- 20.1.2. PRODUCT OFFERINGS
20.2. FEELM
- 20.2.1. BUSINESS OVERVIEW
- 20.2.2. PRODUCT OFFERINGS
20.3. HALO
- 20.3.1. BUSINESS OVERVIEW
- 20.3.2. PRODUCT OFFERINGS
20.4. JWELL
- 20.4.1. BUSINESS OVERVIEW
- 20.4.2. PRODUCT OFFERINGS
20.5. PRO VAPE
- 20.5.1. BUSINESS OVERVIEW
- 20.5.2. PRODUCT OFFERINGS
20.6. EPUFFER
- 20.6.1. BUSINESS OVERVIEW
- 20.6.2. PRODUCT OFFERINGS
20.7. SHENZHEN IVPS TECHNOLOGY
- 20.7.1. BUSINESS OVERVIEW
- 20.7.2. PRODUCT OFFERINGS
20.8. SHENZHEN KANGER TECHNOLOGY
- 20.8.1. BUSINESS OVERVIEW
- 20.8.2. PRODUCT OFFERINGS
20.9. VAPORESSO
- 20.9.1. BUSINESS OVERVIEW
- 20.9.2. PRODUCT OFFERINGS
20.10. JOYETECH
- 20.10.1. BUSINESS OVERVIEW
- 20.10.2. PRODUCT OFFERINGS
20.11. GEEKVAPE
- 20.11.1. BUSINESS OVERVIEW
- 20.11.2. PRODUCT OFFERINGS
20.12. VOOPOO
- 20.12.1. BUSINESS OVERVIEW
- 20.12.2. PRODUCT OFFERINGS
20.13. ASPIRE (SHENZHEN EIGATE TECHNOLOGY)
- 20.13.1. BUSINESS OVERVIEW
- 20.13.2. PRODUCT OFFERINGS
20.14. ELEAF
- 20.14.1. BUSINESS OVERVIEW
- 20.14.2. PRODUCT OFFERINGS
20.15. SUPER E-CIG
- 20.15.1. BUSINESS OVERVIEW
- 20.15.2. PRODUCT OFFERINGS
20.16. INNOKIN TECHNOLOGY
- 20.16.1. BUSINESS OVERVIEW
- 20.16.2. PRODUCT OFFERINGS
20.17. DINNER LADY
- 20.17.1. BUSINESS OVERVIEW
- 20.17.2. PRODUCT OFFERINGS
20.18. AROMES ET LIQUIDES
- 20.18.1. BUSINESS OVERVIEW
- 20.18.2. PRODUCT OFFERINGS
20.19. SKE CRYSTAL BAR
- 20.19.1. BUSINESS OVERVIEW
- 20.19.2. PRODUCT OFFERINGS
20.20. LOST MARY
- 20.20.1. BUSINESS OVERVIEW
- 20.20.2. PRODUCT OFFERINGS
20.21. DARWIN CBD
- 20.21.1. BUSINESS OVERVIEW
- 20.21.2. PRODUCT OFFERINGS

21. REPORT SUMMARY

21.1. KEY TAKEAWAYS
21.2. STRATEGIC RECOMMENDATIONS

22. QUANTITATIVE SUMMARY

22.1. MARKET BY GEOGRAPHY
22.2. EUROPE
- 22.2.1. PRODUCT: MARKET SIZE & FORECAST
- 22.2.2. FLAVOR: MARKET SIZE & FORECAST
- 22.2.3. DISTIBUTION CHANNEL: MARKET SIZE & FORECAST
22.3. NORTH AMERICA
- 22.3.1. PRODUCT:MARKET SIZE & FORECAST
- 22.3.2. FLAVOR: MARKET SIZE & FORECAST
- 22.3.3. DISTRIBUTION CHANNEL: MARKET SIZE & FORECAST
22.4. APAC
- 22.4.1. PRODUCT:MARKET SIZE & FORECAST
- 22.4.2. FLAVOR: MARKET SIZE & FORECAST
- 22.4.3. DISTRIBUTION CHANNEL: MARKET SIZE & FORECAST
22.5. MIDDLE EAST & AFRICA
- 22.5.1. PRODUCT:MARKET SIZE & FORECAST
- 22.5.2. FLAVOR: MARKET SIZE & FORECAST
- 22.5.3. DISTRIBUTION CHANNEL: MARKET SIZE & FORECAST
22.6. LATIN AMERICA
- 22.6.1. PRODUCT: MARKET SIZE & FORECAST
- 22.6.2. FLAVOR: MARKET SIZE & FORECAST
- 22.6.3. DISTRIBUTION CHANNEL: MARKET SIZE & FORECAST
22.7. PRODUCT
- 22.7.1. MARKET SIZE & FORECAST
22.8. FLAVOR
- 22.8.1. MARKET SIZE & FORECAST
22.9. DISTRIBUTION CHANNEL
- 22.9.1. MARKET SIZE & FORECAST

23. APPENDIX

23.1. RESEARCH METHODOLOGY
23.2. RESEARCH PROCESS
23.3. REPORT ASSUMPTIONS & CAVEATS
- 23.3.1. KEY CAVEATS
- 23.3.2. CURRENCY CONVERSION
23.4. ABBREVIATIONS