US Vape Industry Today: Makers Shift to PPE, Retailers Sell Drinks and Snacks

On May 14, news from Vapingpost reported that the impact of the coronavirus pandemic on the U.S. vaping industry has been uneven, partly due to varying regulations implemented by different states and partly due to the different responses of various companies.

 

In Colorado, the vaping industry is struggling as vape shops are considered non-essential businesses in the state. As a result, two shops have currently closed, and manufacturer Jvapes E-liquid has had to announce layoffs. However, the chain has opened stores in Arizona and Oklahoma, which remain operational.

 

To compensate for the losses from store closures, the company is making every effort to boost online sales. Nevertheless, the company's sales have still declined by 30%. Founder Amanda Wheele stated in an interview: "I believe my business will succeed this time, but I suspect that many vaping companies will not recover from the economic losses of prolonged closures."

 

In South Carolina, vape shops were initially not classified as essential businesses according to state regulations. However, along with thousands of car dealerships, cleaning companies, and other businesses, several vaping companies collectively won approval from the state Department of Commerce to remain open.

 

In Washington state, some vape shops managed to stay open by reclassifying themselves as convenience stores, which are deemed essential. According to the owner of one vape shop: "We have always sold Red Bull to our customers for convenience. So we stocked some snacks, and we are a convenience store now."

 

Other retailers and manufacturers in other states have begun producing hand sanitizers and other hygiene-related products. Georgia-based VR Labs has started selling 60ml bottles of aloe hand sanitizer and has pledged to donate one bottle for every two sold. Between March 27 and April 5, the company donated a total of 850 bottles.

 

In the UK, vape shops are considered non-essential and have been forced to close nationwide. As a result, many small independent vape businesses are worried about their survival, while their customers are concerned about access to smoking cessation aids.

 

To survive, most professional online vape shops and hybrid retailers have reorganized their retail operations to offer home delivery services. Retailers have increased warehouse space, expanded customer service teams, and established online and phone consultation channels for vapers and smokers.

 

Naturally, the demand for online retailers has surged significantly. One retailer, Vape Club, reported a business growth of 150-200%. "Typically, when we encounter a larger order volume than usual (like during Christmas), we would increase staffing to cope. However, due to this situation, that was not possible. Instead, we extended shifts and added shifts on weekends," said Managing Director Dan Marchant.