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TOBACCO BUSINESS INTERNATIONAL
MARCH/APRIL 2016
Cigarettes, Vapor and More
CATEGORY MANAGER
Vapor Market Breakdown by Sub-segment
(Sales mix for the 52 weeks ending January 23, 2016)
5%
Liquids
17%
Kits
23%
Disposables
55%
Rechargeable
Refills
Source: Wells Fargo Securities
Spotlight on the Vape Shop Channel
The vape shop channel remains a formidable competitor to tobacco outlets, according the 2015 Vape Shop Index,
a recent report released by ECigIntelligence, Roebling Research, E-Cigarette Forum and the Smoke-Free Alternatives
Trade Association (SFATA). The report, which analyzed financial, product and brand-level data from 540 vape shops
across 42 states, found that average monthly revenue per vape shop was $25,600.
However, both the vape shop channel and the vapor marketplace are still relatively fragmented. More than two-thirds
of respondents (69 percent) were single-store owners, while 16 percent owned two shops and just 15 percent had three
or more stores. The report noted that e-liquids account for the bulk of sales (60 percent) in vape shops, with fruit and
dessert flavors ranking as top-sellers. Asked to identify the top-selling products in their stores, respondents named a
total of 532 brands of e-liquid against just 52 brands of tanks and atomizers and 42 brands of mods, suggesting that no
one company has emerged as dominating in brand penetration.