European E-Liquid Market: Analysis & Forecast (2016-2025)

Market Research Report

A quick peek into the report

1.1	Scope of the Study
1.2	Research Methodology
1.2.1	Primary Data Sources
1.2.2	Secondary Data Sources

2.1	Introduction
2.2	Market Drivers
2.2.1	Increasing Demand of third generation Electronic Cigarette Devices
2.2.2	Growing Popularity of Vape Shops
2.2.3	Lack of Entry and Exit Barriers
2.2.4	Wide Variety of Flavour Options Available and the Option of Customization
2.3	Market Challenges
2.3.1	Apprehensions amongst end-users Regarding the E-Liquid Ingredients and Manufacturing
2.3.2	Increasing Number of Poisoning Incidents due to E-Liquid Consumption
2.3.3	Taxation on E-cigarettes and E-Liquids
2.3.4	Home to Conflicting Regulatory Regimes
2.3.5	Lobbying by big Pharmaceutical Companies
2.4	Market Opportunities
2.4.1	Potential to Build a Strong Brand Image with Product Innovation and Customization Features
2.4.2	Integration of Cannabis and the E-Cigarette Industry

3.1	Key Strategies and Developments
3.1.1	Mergers and Acquisitions
3.1.2	Partnership, Collaboration & Joint Ventures
3.1.3	Product Launch
3.1.4	Business Expansion
3.1.5	Others
3.2	Porter’s Five Forces Analysis
3.2.1	Threat of New Entrants
3.2.1.1	Economies of Scale
3.2.1.2	Product Differentiation
3.2.1.3	Entry Barriers
3.2.1.4	Capital Requirements
3.2.1.5	Access to Distribution Channels
3.2.2	Bargaining Power of Buyers
3.2.2.1	Concentration of Buyers
3.2.2.2	Differentiation of Outputs
3.2.2.3	Buyer’s Information about Supplier’s Product
3.2.2.4	Importance of Volume to Buyers
3.2.2.5	Threat of Backward Integration
3.2.3	Bargaining power of suppliers
3.2.3.1	Product Differentiation
3.2.3.2	Supplier Concentration
3.2.3.3	Threat of Forward Integration
3.2.3.4	Switching Cost
3.2.4	Intensity of Competitive Rivalry
3.2.4.1	Industry Concentration
3.2.4.2	Intermittent Over Capacity
3.2.4.3	Customer’s Loyalty Towards Brand
3.2.4.4	Product Differentiation
3.2.4.5	Entry Barriers
3.2.5	Presence of Substitutes
3.3	Buying Decision-Consumer Perspective
3.3.1	Choice of Bases/Carrier Liquid
3.3.2	Flavor
3.3.3	Nicotine Level
3.3.4	Approval & Standards
3.3.5	Cost
3.3.6	Branding
3.3.7	Packaging & Labelling

4.1	Introduction
4.2	Regulatory Bodies
4.2.1	The European Union Tobacco Products Directive (TPD)
4.2.1.1	Response to EU TPD
4.2.2	Medicines & Healthcare Products Regulatory Agency (MHRA)
4.2.3	World Health Organization-Framework Convention on Tobacco Control (WHO-FCTC)
4.3	Consortiums
4.3.1	Association Française de Normalisation (AFNOR)
4.3.2	British Medical Association (BMA)
4.3.3	Electronic Cigarette Industry Trade Association (ECITA)
4.3.4	Tobacco Vapor Electronic Cigarette Association (TVECA)
4.4	Compliance & Certification
4.4.1	International Organization for Standardization (ISO) Compliance
4.4.2	Conformité Européenne (CE)
4.4.3	Restriction of Hazardous Substances (RoHS) Compliance
4.5	Country-Wise Legal Framework for E-Liquid

5.1	Introduction
5.2	By Type
5.2.1	Market Statistics
5.2.2	Pre-Filled E-Liquid
5.2.2.1	Key Market Players
5.2.3	Bottled E-Liquid
5.2.3.1	Key Market Players
5.3	By Source of Origin
5.3.1	Market Statistics
5.4	By Key Countries
5.4.1	Market Statistics
5.4.2	The U.K.
5.4.3	Russia
5.4.4	Germany
5.4.5	France
5.4.6	Spain
5.4.7	Others

6.1	Introduction
6.1.1	Market Statistics
6.2	Online Distribution Channel
6.2.1	Online Resellers
6.2.2	Online Websites
6.3	Retail (Brick & Mortar Stores)
6.3.1	Market Statistics
6.3.2	Convenience Stores (C-Stores)
6.3.3	Vape Shops
6.3.4	Others (Pharmacies, Drug Stores and Gas Stations)

7.1	Global E-Liquid Company Profiles
7.1.1	Altria Group, Inc.
7.1.1.1	Company Overview
7.1.1.2	Mark Ten
7.1.1.3	Green Smoke Llc
7.1.1.4	Financials
7.1.1.4.1	Financial Summary
7.1.1.5	SWOT Analysis
7.1.2	British American Tobacco PLC (BAT)
7.1.2.1	Company Overview
7.1.2.1.1	Nicoventures Ltd.
7.1.2.2	VYPE Electronic Cigarettes
7.1.2.3	Voke Nicotine Inhaler
7.1.2.4	Ten Motives
7.1.2.5	Financials
7.1.2.6	Financial Summary
7.1.2.7	SWOT Analysis
7.1.3	Electronic Cigarettes International Group
7.1.3.1	Company Overview
7.1.3.2	E-cigarette Brands
7.1.3.2.1	Vapestick
7.1.3.2.2	Fin Branding
7.1.3.2.3	VIP
7.1.3.2.4	Victory E-cigarette
7.1.3.3	Financials
7.1.3.4	Financial Summary
7.1.3.5	SWOT Analysis
7.1.4	Gamucci Electronic Cigarettes
7.1.4.1	Company Overview
7.1.5	Imperial Tobacco Group Plc
7.1.5.1	Company Overview
7.1.5.2	Fontem Ventures
7.1.5.2.1	Company Overview
7.1.5.2.2	Puritane
7.1.5.2.3	Blu Ecigs
7.1.5.3	Financials
7.1.5.3.1	Financial Summary
7.1.5.4	SWOT Analysis
7.1.6	Japan Tobacco, Inc. (JT)
7.1.6.1	Company Overview
7.1.6.2	Financials
7.1.6.3	Financial Summary
7.1.7	Philip Morris International Inc. (Pmi)
7.1.7.1	Company Overview
7.1.7.2	Financials
7.1.7.3	Financial Summary
7.1.7.4	SWOT Analysis
7.1.8	Reynolds American Inc. (RAI)
7.1.8.1	Company Overview
7.1.8.2	VUSE Electronic Cigarettes
7.1.8.3	Financials
7.1.8.3.1	Financial Summary
7.1.8.4	SWOT Analysis
7.1.9	Shenzhen First Union Technology Co. Ltd
7.1.9.1	Company Overview
7.1.9.2	Financial Summary (Export Data by geography)
7.1.10	Shenzhen Smoore Technology Limited
7.1.10.1	Company Overview
7.2	Europe Based E-liquid Company (Overviews)
7.2.1	Alchem International
7.2.1.1	Company Overview
7.2.2	Atom Vapes
7.2.2.1	Company Overview
7.2.3	Bandz Srl
7.2.3.1	Company Overview
7.2.4	Beverly Hills Vapor
7.2.4.1	Company Overview
7.2.5	Changing Dekang Biotechnology SRL
7.2.5.1	Company Overview
7.2.6	CiVAP
7.2.6.1	Company Overview
7.2.7	E-cig Hellas
7.2.7.1	Company Overview
7.2.8	Elgarette
7.2.8.1	Company Overview
7.2.9	Ezsmoke
7.2.9.1	Company Overview
7.2.10	Flavourtec
7.2.10.1	Company Overview
7.2.11	Givismoke
7.2.11.1	Company Overview
7.2.12	Hangsen
7.2.12.1	Company Overview
7.2.13	Janty Technology Group Inc.
7.2.13.1	Company Overview
7.2.14	Liquideu
7.2.14.1	Company Overview
7.2.15	Rejuice
7.2.15.1	Company Overview
7.2.16	Skysmoke
7.2.16.1	Company Overview
7.2.17	Totally Wicked
7.2.17.1	Company Overview
7.2.18	Vinirette
7.2.18.1	Company Overview

Table 3.1	Key Mergers & Acquisitions (2014-2016)
Table 3.2	Key Partnerships & Collaborations (2014-16)
Table 3.3	Key Product Launches (2014-16)
Table 3.4	Key Business Expansion Activities (2014-16)
Table 3.5	Key Lawsuits (2015-16)
Table 3.6	Key Events (2015-16)
Table 3.7	Comparison of Propylene Glycol (PG) and Vegetable Glycol (VG) as Carrier Liquid in E-Cigarette
Table 4.1	Country-Wise Regulations for E-Liquid
Table 5.1	Europe E-liquid Market Value ($ Billion), By Type, 2015-2025
Table 5.2	Pre-Filled E-Liquid Pricing by Key Vendors
Table 5.3	Bottled E-Liquid Pricing by Key Vendors
Table 5.4	Europe E-liquid Market Value ($Billion), by Source of Origin, 2015-2025
Table 5.5	European E-liquid Market Value ($Billion), by Countries, 2015-2025
Table 6.1	E-Liquid Brands & Their Sales Channel
Table 6.2	E-Cigarette by Location of Purchase in Eu Member States
Table 6.3	The European E-liquid Market Value ($Million), by Distribution Channel, 2015-2025
Table 6.4	The European E-liquid Retail Distribution Channel Market Value ($Million), 2015-2025
Table 7.1	Share of Export Revenue
Table 7.2	F.O.B. Price of products

Figure 1	European E-Liquid Market, by Type ($Million), 2015-2025
Figure 2	European E-Liquid Market by Countries: 2015 and 2025
Figure 3	Europe E-Liquid Market Value by Distribution Channel Comparison, 2015-2025
Figure 1.1	The Europe E-Liquid Market Scope
Figure 3.1	Porters Five Forces Analysis
Figure 3.2	Consumer Advocates for Smoke-Free Alternatives Association (CASAA): Research Results
Figure 3.3	Types of Prevalent E-Liquid Flavours
Figure 3.4	Choosing the Right Level of Nicotine in E-Cigarette
Figure 3.5	Prevalent Nicotine Distribution Levels
Figure 3.6	Label Requirement for E-Liquid Packaging
Figure 4.1	EU TPD Regulations
Figure 4.2	Health Risks of Electronic Nicotine Delivery Systems (Ends) to Users and Non Users
Figure 4.3	Efficacy of Electronic Nicotine Delivery Systems (ENDS) as a Smoking Cessation Tool
Figure 4.4	Regulations by TVECA for E-Liquid Firms
Figure 4.5	General Principles of CE Marking
Figure 5.1	Advantages & Disadvantages of Pre-Filled E-Liquid
Figure 5.2	Advantages & Disadvantages of Bottled E-Liquid
Figure 6.1	Advantages of Online Sales Channel
Figure 6.2	Advantages of Retail Sales Channel
Figure 7.1	Altria Group, Inc.: Overall Financials, 2013-2015 ($Billion)
Figure 7.2	Altria group, Inc.: Net revenue by Business Segments, 2013-2015 ($Million)
Figure 7.3	British American Tobacco P.l.c (BAT): Overall Financials ($Billion); 2013-2015
Figure 7.4	British American Tobacco P.L.C. (BAT): Geography Revenue Mix ($Billion); 2013-2015
Figure 7.5	ECIG: Overall Financials 2013-2015 ($Million)
Figure 7.6	Imperial Tobacco Group PLC: Overall Financials, ($Billion); 2013-2015
Figure 7.7	Imperial Tobacco Group PLC: Geography Revenue Mix, ($Billion); 2013-2015
Figure 7.8	Japan Tobacco Incorporation (JTI): Overall Financials, 2013-2015 ($Billion)
Figure 7.9	Japan Tobacco Incorporation (JTI): Net Revenue by Business Segments, 2013-2015 ($Billion)
Figure 7.10	Philip Morris International Inc. (PMI): Overall Financials, 2013-2015 ($Billion)
Figure 7.11	Philip Morris International Inc. (PMI): Net Revenue by Geography, 2013-2015 ($Billion)
Figure 7.12	Reynolds American Inc. (RAI): overall financials, 2013-2015 ($Billion)

Report Description

Europe stands at the forefront of the legal scenario of the global e-cigarette market with a series of laws and regulations for e-cigarette and e-liquid manufacturing, sales, distribution, advertising, and marketing. The e-cigarette industry has been growing exponentially in Europe which is home to some of the largest markets in terms of revenue generation such as the U.K., Germany and France among others. However, a significant share of the European population is still unaware of the pros and cons of e-cigarettes and its components. Consortiums and associations are present to provide awareness among the consumers and the suppliers in order to get familiar with the ongoing changes within the rapidly growing industry. The prominent consortiums discussed in this segment are The Medicines and Healthcare Products Regulatory Agency (MHRA), Tobacco Vapor E-cigarette Association (TVECA) and British Medical Association among others.

Since 2012, the market has undergone a transformation, due to a series of major acquisitions, product launches, and partnerships taking place among other market activities. European countries have established a reputation of following rigid policies and consequentially certain restrictions have already been implemented by the European Union- Tobacco Products Directive (EU-TPD), in regards to updating the laws, rules and regulations governing the e-cigarette industry.

The report on the ‘Europe E-liquid Market’ is a meticulous compilation of the various facets of the e-liquid industry. After a thorough analysis of the current trends, the market dynamic chapter includes the key push and pull forces prevailing in the Europe e-liquid market. The chapter also includes the consumer’s perspective and buying decision covering aspects that influence consumer behavior. Owing to the dependency of the market growth on the legal and regulatory framework, the report at each step has considered the effect of laws (both implemented and anticipated) in terms of regulations and taxation in estimation and forecast of the market size. Moreover, the key consortiums and compliance influencing the e-cigarette and e-liquid market across the continent have also been included in the report.

The report involves a mix of 50+ companies chosen on the basis of their market developments, revenue generation and market share in the industry. The companies profiled in the report include Altria, Imperial Tobacco, Japan Tobacco, Reynolds American Inc, British American Tobacco and ECIG International among others.

Key Questions Answered in this Report

Key Questions answered in the report:

• How will the key market players leverage on key developments such as acquisitions, partnerships, and product launch among others?
• How will the intensity of competitive rivalry evolve through the forecast period?
• Which factors will be driving the market through the forecast period?
• What factors are currently challenging the Europe e-cigarette and e-liquid market and how can they be addressed through the forecast period?
• Which consortiums are active in the Europe e-liquid market?
• How are the regulatory bodies such as the MHRA, EU-TPD and WHO among others participating in the industry?
• Which compliances and certifications are necessary to make a product acceptable among the users (especially the first time vapers)?
• What are the prevalent e-liquid types and what is the market size for each of them?
• Who are the key players in the E-liquid e-cigarette market?

Market Overview

With the implementation of smoking bans in public spaces and rise in cigarette taxes, e-cigarette sales have been surging in Europe. As smokers seek to kick the habit, they have been increasingly turn to vaporizers and mods. Thereby, creating a large demand for e-liquids used in these refillable devices. Although, the implementation of EU-TPD has forced a number of smaller players to quit the e-liquid market, the market as a whole will continue to flourish.

While North America previously dominated the e-liquid market in terms of revenue generation, Europe now holds the largest market share of the global market with a value of $XX billion. UK is the largest market in Europe, with a revenue generation of $xx million, and will continue to be so throughout the forecast period. It is followed by Germany, which with its over 2 million vapers, contributes $XX million to the e-liquid market. While Russia, despite having a high prevalence of smokers, has not caught the e-cigarette hype. Less than 1% of Russian currently use e-cigarettes, the country thus presents a large potential e-liquid market for companies to tap into.

The market is expected to be driven by their lack of restriction in public use in contrast to cigarettes, their easy availability, and their cheap cost among others, while it is impeded by increasing regulation and taxation policies. The e-liquid market in Europe is being driven by an increasing number of vape shops that are opening up in different countries. However, owing to the anticipated taxes that might be imposed on the sales of e-cigarettes and e-liquids, many of these shops might actually exit from the market. Moreover, newer players are resorting to online distribution channels since brick-and-mortar shops require capital investments such as rent and other infrastructure set-up.

Several concerns have been raised and statements released regarding the sale of flavors of e-liquids that bear close resemblance to products from the food and beverage industry. As these e-liquids are usually marketed with captivating names resembling eatables, they appeal to youngsters and may lead to the development of a long term habit of e-cigarette use among adolescents. Moreover, they are often mistaken to be edible products by children, among whom several adverse incidents of intake of fatal amount of e-liquids have been reported in the past years. The increasing prevalence of e-cigarette use among youngsters has instigated to ban the sale and use of e-cigarettes and related products to minors.