Would you start an e-cig business in todays legal climate?

[Dee74]

With all the uncertainties in this market today and potential bans etc etc would you consider this as a business in the U.S today? Pros and cons? And where do you think the U.S may go in terms of regulation.
Just wondering what most of you think that have been around awhile.

 

[cozzicon]

With all the uncertainties in this market today and potential bans etc etc would you consider this as a business in the U.S today? Pros and cons? And where do you think the U.S may go in terms of regulation.
Just wondering what most of you think that have been around awhile.

Well I would... but....

Right now the products available to resell are pretty homogeneous- everything hardware comes from China under an OEM agreement or name brand resale. So yo are unable to distinguish yourself in the market- except for great customer service and pricing. But if you compete on price... you need money for huge merchandise buys.

Also there's a huge number of retailers online already. So competition is stiff.

However, the one way to "be different" from all the others is through juice. This is something that can be produced which can be original. This is one area where a company can stand out. And most of the successful retailers have their own line of juice, or esoteric juices available. Some of course only sell juice.

The problem (or risk) with the juice would be in two forms- possible FDA regulation that makes juice production very expensive or liability for the use by the customer.

There is one area where I see a future. If you can manufacture your own PV with a new design. Or a mod like the GG self feeder.

But in general- I would say.... nope. I looked into it right after the vaping bug hit. I was not early enough in the trend to see success.

 

[IMWylde]

I would definitely open a brick and mortar business if my locale was a little more progressive. I do not think competition on the web makes sense right now for reasons mentioned by the previous poster. A local retail establishment that was offering decent prices in many places could make a killing.

 

[Dee74]

Cozzicon, thanks or your opinions, some friends were chatting last night about folks losing jobs, the economy etc and what they could start if they lost their job. I did not mention e-cigs but thought about it later. Being a newbie to this I have no idea how long it has been around, what the competition is etc and you made many great points about how to stand out in the crowd. The other point I really wonder about as I'm sure many do is what type of regulation or banning may come down the road.

As Imwylde stated brick and mortar may be viable especially if someone already had a tobacco shop going already.

I'm a nurse so job not an issue for me yet but have many friends who are losing everything. Very sad to watch.

It will be interesting to see how this plays out. Hopefully I will be nicotine free before TPTB manage to kill it.

Was really interested to see what folks that have been around this e cig world for a while and know the legal history feel the future offers.

 

[Bella Chic]

I would in a heart beat that is for sure. Mine would be online cause I don't really have anywhere I could open an actual shop, but it would be awesome.

 

[kevbow]

If I could get my products here in the US, yes. If I had to get my products from China and go through all the hassle of customs and the risks of having my orders confiscated, no.

 

[sailorman]

Didn't the "PACT" act just make it illegal to ship tobacco? Assuming Njoy wins their case, how long do you think it will take the zealots to have it amended it to include e-cig parts and/or juice? PACT was ostensibly to "protect the children", and that's a major scare tactic against e-cigs.

Also, if Njoy wins, you can bet the farm that juices will be regulated so heavily, you'll have to be a full blown multi-million dollar lab to produce them for sale. Not to mention when BT gets through buying politicians, all that will be available is 10mg prefilled cartos with $1/each tax on them. Unflavored and sealed, of course, to prevent tampering (refilling). BT isn't going to allow menthol analogs to be banned while ecigs have all those flavors to choose from.

There is no way in the world I'd invest in an ecig business. It will be squashed in it's infancy by BT and BP, just like they squashed the RYO/MYO industry. For now, pipe tobacco is being used as a workaround, but they're eyeing that for a 2000% tax hike and inclusion in "PACT" will be not far behind. Don't forget, the Citizens United case has granted BT and BP the legal right to buy all the politicians they can afford now. And they can afford a lot more of them than the puny e-cig industry.

Stock up on atty's and nic juice. Learn to rebuild attys. Plan on hooking into the nic juice black market when your supply runs out if you want to keep on vaping anything with nic. in it.

 

[Dee74]

Sailorman, I think you are right they will find any excuse to kill it and BT and BP won't let this money get away. BT is working on a unit at this time I hear.If it stays it will only be the big players and once again the small biz will get crushed. And as you say it will be taxed to death and regulated heavily.

 

[JaYBoNeS]

I've been thinking about a hardware only thing up here in Canada. As juice is basically banned, and there aren't that many suppliers in my area it might be worthwhile. As it stands, most of us up here order juice from one supplier and hardware from another. And to be able to ship to the states and abroad, I wouldn't want any customs hassles. I may just make a big order and test the waters. I'm pretty sure that hardware will not be banned any time soon, I equate it to other "smoking" hardware where the subsatnce is banned but the hardware is not. And I have some interest from word of mouth and lots of people who don't order online and want me to do it for them. Maybe I'll just skip the middle man phase, stock up on some good hardware and see where it goes.