Major Events in the E-Cigarette Industry in 2019

In 2019, the most bustling industry was undoubtedly e-cigarettes! On one side, companies were busy raising funds for e-cigarette products, while on the other, e-cigarettes were included in smoking bans. The two seem contradictory, but e-cigarettes quickly became a hot topic. Here, the Heated Tobacco Information Network has compiled several major events in the e-cigarette industry since 2019 for reference.

1. Influencers and celebrities boldly entered the e-cigarette market

At the beginning of 2019, many entrepreneurs, including Luo Yonghao from Smartisan Technology and Cai Yuedong, the founder of Tongdao Dashi, entered the e-cigarette market.

Luo Yonghao, a unique figure, has always been at the forefront of public opinion. From teacher to smartphone, he has added a touch of legend to his products with his distinctive personal style. After the Smartisan phone fell silent, his next business target was the currently popular e-cigarette. Although the government has tightened regulations on e-cigarettes, Luo announced that the Xiaoye e-cigarette No. 1 was officially launched for pre-sale on JD.com.
 
Just three months earlier, on January 20, Cai Yuedong announced in his WeChat Moments the launch of his brand "YOOZ" e-cigarettes for immediate sale. According to data provided by YOOZ, relying on the reposts and promotions from WeChat Moments, KOLs, and influencers, the sales revenue on the first day of immediate sales reached 5 million.

Yes, e-cigarettes have been thoroughly "ignited" by them.

2. E-cigarettes were named in the 3.15 Gala

Just as the e-cigarette industry was heating up, CCTV poured a bucket of cold water on it.

The CCTV 3.15 Gala exposed a series of products that harm consumer rights, and e-cigarettes were named. Experts stated that compared to traditional cigarettes, e-cigarettes still contain nicotine, which can easily lead to addiction. After using e-cigarettes, teenagers have a high probability of turning to traditional cigarettes. Tests found that the nicotine content in e-liquids far exceeds the labeling on the packaging, which may lead to excessive nicotine intake.

Some netizens joked, "If it weren't for being named by '3.15', we wouldn't have known e-cigarettes were so popular."

After the CCTV exposure, e-commerce platforms like Suning, Tmall, and JD.com quickly blocked the keyword "e-cigarette" within an hour. However, within a day, some e-commerce platforms quietly "unblocked" e-cigarettes. Tmall and JD.com have restored normal searches for e-cigarette products.

3. IECIE E-Cigarette Expo held in Shenzhen on April 16
 
Despite being named by CCTV, the heat of the e-cigarette industry seems undiminished, as the IECIE E-Cigarette Expo was held as scheduled in Shenzhen on April 16. Shenzhen, which accounts for nearly 90% of the domestic e-cigarette industry's production capacity, has hosted this expo for the fifth time since its inception in 2015.

With the rapid advancement of the e-cigarette industry, the scale of the IECIE E-Cigarette Expo has grown from an exhibition area of 15,000 square meters, 183 exhibitors, and over 40,000 attendees in 2015 to an exhibition area of 40,000 square meters, 1,500 brands from 45 countries and regions, and 50,000 professional attendees in 2019.

This IECIE E-Cigarette Expo in Shenzhen aims to help more newcomers in the industry and the vast smoking population correctly understand the e-cigarette industry. It has launched the country's first "E-Cigarette Museum" showcasing the history and culture of e-cigarettes, displaying the industry's development since the first e-cigarette was born in 2003. During the expo, there will also be eye-catching activities such as a creative short video competition, precise wire-wrapping competition, and fancy smoke performance.

4. Shenzhen to introduce the strictest "smoking ban": e-cigarettes included in the smoking ban

Regulations are still to be improved. On April 23, the "Shenzhen Special Economic Zone Smoking Control Regulations Amendment (Draft)" was first submitted to the 33rd meeting of the Standing Committee of the Sixth Shenzhen Municipal People's Congress for review. The Shenzhen municipal and district governments will also establish a joint meeting system to incorporate smoking control into urban development planning as one of the government's performance assessments. The draft amendment clearly states that tobacco products include e-cigarettes, and smoking includes the use of e-cigarettes.

Not only Shenzhen, but earlier, regions like Hong Kong and Hangzhou also introduced related bans. Hong Kong prohibits the use of e-cigarettes, while Hangzhou has included e-cigarettes in the smoking ban, with violators facing fines of up to 20,000 yuan. Even earlier, bans on e-cigarettes had already been implemented in regions like Singapore and the United States.

5. The e-cigarette industry remains favored by capital

On one side, the "Damocles' sword" of domestic regulation on e-cigarettes hangs overhead, while on the other, companies are pushed to new peaks of public opinion by capital.

In January this year, Wel completed a Pre-A round of financing worth tens of millions. In late February, Yishuang Technology received tens of millions in angel round financing. In March, RELX completed a new round of financing, and VPO completed a Pre-A round financing of tens of millions of yuan. On April 24, Yuntun Technology announced that it had completed financing of several tens of millions, with investment institutions including Original Capital and Haofang Venture Capital. After this round of financing, Yuntun Technology will invest funds in research and development to launch its first-generation e-cigarette.