Industry Analysis

Market Overview

The vaping market has experienced significant growth in recent years, driven by shifting consumer preferences, regulatory changes, and innovations in product offerings.

As of 2023, the global vaping market is valued at approximately $20 billion and is expected to continue expanding at a compound annual growth rate (CAGR) of around 28% through 2028.

This growth is fueled by the increasing popularity of e-cigarettes and vape devices as alternatives to traditional tobacco products.

Transitioning 1.3 Billion Smokers to Vaping

Theres currently 1.3 billion smokers world wide. 50 million of these people use vapes. As of recent estimates, approximately 20-25% of Gen Z (those born roughly between 1997 and 2012) report using vaping products. We believe eventually the entire market for smokers will use vapes and e cigarettes.

• Health Benefits: A study in The New England Journal of Medicine found that smokers who switched to vaping had a 95% reduction in exposure to harmful chemicals like formaldehyde and acrolein.

• Cessation Rates: Public Health England reports that vaping is nearly twice as effective as traditional nicotine replacement therapies, with a success rate of about 18% compared to 9% for other methods.

• Consumer Adoption: The World Health Organization estimates that around 50 million adults currently use e-cigarettes, showing a growing acceptance of vaping. In the U.S., about 6% of adults and 20% of high school students reported using e-cigarettes, indicating a shift in preference.

• Regulatory Environment: Many countries, including the UK, endorse vaping as a less harmful alternative, integrating it into public health strategies aimed at reducing smoking rates.

These points collectively demonstrate the potential for a significant shift from smoking to vaping, promoting improved health outcomes for millions.