Bloomberg opinion article July 16 2014 - E-Cig Sales Slide as Regular Smokers Return to Real Thing

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csardaz

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[h=1]E-Cig Sales Slide as Regular Smokers Return to Real Thing[/h]By Duane D. Stanford Jul 16, 2014 2:57 PM ET


E-cigs have hit a wall.
After at least five years of steady growth, sales of the U.S. tobacco industry’s most-hyped product since menthol fell for the first time in May and June. That’s potentially bad news for an industry struggling to offset falling sales of traditional smokes. It also presents a challenge to Reynolds American Inc., which agreed to sell the popular Blu e-cig brand as part of its proposed acquisition of Lorillard Inc. The newly merged company would be left to rely on Vuse, an e-cig line created by Reynolds that’s only now being widely distributed.

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ht tp://www.bloomberg.com/news/2014-07-16/e-cig-sales-slide-as-regular-smokers-return-to-real-thing.html

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They refer to cig-alikes as E-cigs and stronger vaporizers as "refillable vaporizers" which are in competition with the cig-alikes or 'packaged e-cigs".

cig-alike sales fell. No mention of a corresponding increase in cigarette sales - another problem for them is "the industry is grappling with rising competition from generic vaporizers that can be refilled with nicotine liquid of many flavors."

I doubt they have good figures on sales for vape storefronts or e-stores at all. This sounds like "chain-stores report cigalikes aren't selling as well"

Basically - cigalikes suck so potential customers drop them for regular cigs or APV's.
 
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DrMA

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I agree with your analysis, csardaz. The Bloomberg article is fatally flawed, because it does not quantify the sales of any APVs (basically nothing except cigalikes). There is no indication of an uptick in combustible cigarette sales, so the downturn in cigalike sales is most accurately interpreted as a market-wide shift towards refillables and APVs.
 

Steamix

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Well,well,well...

e-cig users turning to the 'real thing' alright. The real thing isn't analogs. The 'real thing' is decent mods with decent - as you call it coyly - "refillable vaporizers".

Neatly attemptig to hide that fact by intertwining still rising sales of refillables with the slump of 'packaged' products...

Nice try, putzo :)

Shouldn't come as a surprise to BT, though. Cigalikes are overpriced and simply don't pack enough ooomph to be really satisfying.
Size does matter in that respect ;) . Just not enough room in cigalike for delivering...

Why spend for a bike when the guy next door sells me a car for the same money :)

Fooled us once.... :)
 
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