Why is there no big e-liquid companies and only small ones ?

[DC2]

Didn't one of the big tobacco companies buy a juice outfit? Johnson creek maybe? Not sure on this at all.

Republic Tobacco takes 50% stake in Johnson Creek Enterprises

 

[WillyZee]

Be patient grasshoppers ... when BG hands vaping over to BT on a silver platter ... we will all wonder where the small well loved vendors are.


Sent via iPhone

 

[TaketheRedPill]

i wonder why e-liquids are still a small business affair ? if there was less small and more big companies, price would be a lot cheapers and quality too. With the rise of the sub-ohm tank people will be burning more liquid much faster and e-liquid prices will really become a problem. e-liquid are quite cheap when done at home, so big company should be able to sell at a more reasonable price.

I wonder if fear of regulation is the main reason why no big player is emerging with big lab, good cooks and good price ?

I disagree that fewer companies would mean cheaper prices.When there's a monopoly, the monopoly can set any price they want. Competition drives price. In Jakarta, you likely have the ability to order from Kanger or DeKang or Hangsen - the three largest manufacturers of eliquid in the world. Their prices used to be almost identical. They only dropped their prices when American and EU manufacturers came onto the scene about 4 or 5 years ago, forcing them to become competitive. They're only now starting to catch up with improved flavors - away from the original 'scratch-and-sniff' perfume-quality taste of early fruity eliquids and 'what type of burnt nut shell is it?" quality of "tobacco" eliquids to something more palatable to American/westerner tastes.

At a price for a pack of smokes exceeding US $6/day in many places, for a reformed smoker, spending $3/day on eliquid is still a savings. For a never-smoker, who views e-cigs as a hobby, it is an additional expense. But I don't know of many 'hobbies' that are cheap. I doubt 'sub-ohm' vaping will go main-stream. It's too complicated for Joe Average who just wants a simple, easy, cigarette-alike, with as few moving parts as necessary.

 

[SingedVapor]

I dunno. I'm surprised nobody mention Nicoticket but from what I understand they are pretty big. At least in the concern of they have always been able to meet the supply for their demand

 

[bobdoll]

I do my liquid myself too, i know how cheap it is, yet you still have a lot of vendors selling $20/$30 30ml bottles, this makes it a very high margin business (therefore tones of companies go in the biz). My point is that big companies with well oiled distribution channels would most likely sell the same good "premium" liquid at a fraction of today's price since their production cost would be extremely low and with volume they don't need to make sure a high margin to pay for the cost of operation.

Compared to other industries, who makes so much margin ? production cost c50 sale price $20 ? who does that ? only small companies with low volume, a margin of 20% for the producer and and other 20/30% for the distributor seems more standard to me.

What is a big company : One that supplier wallmart, target, ...

 

[DesmondTheMoonbear]

The reason the larger companies are so expensive is purely out of a want for money.

Too many companies labeling their liquid as "premium" and charging $22 bucks for 30ml when I could do better in my kitchen.

 

[kkahmann]

I live next door to an Indian Reserve so 3 months ago I was spending $50 TO $70 bucks a week on cigarettes. No way I vape that much!

Here's a plan--lets get some big companies involved--along with the attending regulations.

I'm sittin here shaking my head!

 

[Thespis]

There's a local B&M here that does buy two get one free on 30ml bottles and their flavors are great. I get 90ml for about $21. I'm OK with that.