An open letter from ASVAPE to brick-and-mortar vape shops

Dear Vape Shop Owners:

The domestic e-cigarette industry is currently experiencing explosive and chaotic growth, leading to numerous market issues—price chaos, stockpiling, counterfeit products, and poor quality are rampant. The year 2016 saw a surge in domestic e-cigarette shops, but in 2017, these issues caused a severe impact, resulting in a sharp decline in stores. Faced with this market situation, ASVAPE, as one of the e-cigarette design and manufacturing companies, feels regret and pain; this is a tragedy for the industry.

ASVAPE has always taken it upon itself to maintain healthy market competition, yet it is also suffering from the arbitrary price damage caused by unauthorized channels. Therefore, we have mixed feelings about an article titled "Directly Addressing Physical Stores: A Letter to Manufacturers" published on the Blow Bar platform—are we excited? Finally, someone dares to speak out! Are we helpless? Seeing the shocking data presented, we feel ashamed as one of the brand owners and manufacturers. Are we worried? We love the e-cigarette industry; this is our career. How should we move forward? Who will walk with us and uphold the integrity of the industry? There are too many questions, too many feelings. Indeed, ASVAPE resonates with all the physical store operators who are dedicated to running their shops and adhering to industry ethics and rules, but the chaos in the industry is akin to maggots slowly infiltrating the healthy body of the industry. Should we evade? Ignore? Or join in? ASVAPE says no; we must face it to have a future! This concerns not only our survival but also the future of the entire industry.

Taking this opportunity, ASVAPE writes this open letter to express a few heartfelt words to our fellow physical store operators:

1. Store Qualification Certification, ASVAPE Means What It Says

The qualification certification of online and offline stores is the primary issue mentioned by physical store owners in "A Letter." Indeed, online and offline stores are the ones most familiar with the market and end consumers. For the qualification certification of online and offline stores, brand owners and manufacturers must have strict screening standards for their sales channels. The purpose of this is not only to protect the interests of online and offline stores but also to be deeply responsible to the players and users.

Since its establishment, ASVAPE has gradually established a comprehensive online and offline authorization certification standard and system, treating online and offline equally, conducting self-checks, mutual checks, and real-time monitoring to ensure multiple interests while demonstrating ASVAPE's attitude towards branding and product quality to our customers and players.

From business licenses to in-store product displays, all must meet the official standards set by ASVAPE before signing an authorization agreement. ASVAPE always regards online and offline stores as close partners, ensuring a good supply of quality products and efficient after-sales service, while also supporting themed activities conducted by the stores. ASVAPE understands the principle of "mutual dependence"; as an authorized store of ASVAPE, if harmed by third-party violations, ASVAPE considers it a harm to the ASVAPE brand itself. By joining ASVAPE, we are one entity, both a community of interests and companions on the road to maintaining the healthy development of the industry. Therefore, the qualification certification of online and offline stores is something ASVAPE means to uphold and will continue to do so.

2. Craftsmanship and Innovation Should Not Be Eroded by the "Fast Food Era"

We live in an era where everything is prioritized by "speed," but "speed" must also be viewed dialectically. For work, "speed" may guarantee efficiency; however, for manufacturers, seeking profit through "speed" while abandoning quality and neglecting innovation leads to a vicious cycle of "changing the soup but not the medicine" and infinite replication. This is not only irresponsible to the players and customers but will ultimately lead the brand and industry into an irretrievable abyss.

"Craftsmanship" can be summarized in a few simple strokes, yet it is an undying light in the pursuit of quality, which is gradually being eroded in this fast-paced era. Only by slowing down, using craftsmanship to create products, and winning by quality rather than quantity can we ensure the development of the brand and the progress of the industry. ASVAPE always adheres to the principle: a painting made in one day cannot be sold in a year; a painting made in a year can be sold in a day.

It is precisely because of our dedication to quality and our willingness to be demanding that ASVAPE's products, such as "Night Parade of One Hundred Demons," "The Pioneer," and "Cobra Atomizer," released in early 2017, have withstood the test of the market and players. Even in 2018, these "pioneering works" still maintain a stable market share.

In an era of relentless pursuit of "speed" and "profit," ASVAPE does not aim to be a "shade for the trees planted by others." What we aim to do is to always maintain a respectful heart, paying tribute to the classics while continuously innovating. The ASVAPE ZETA mouth-to-lung atomizer is a tribute to the classic mouth-to-lung atomizers of the past and another practice of ASVAPE's craftsmanship and innovation.

3. Professionalism is the Fundamental Guarantee for Brand Development.

For any brand, professionalism is the most important guarantee for product marketability. ASVAPE's control over the market and product development and positioning is based on precise marketing insights into the e-cigarette market.

In January 2018, ASVAPE launched the G series—an entry-level universal product line with high cost performance. Since then, ASVAPE has officially divided its product lines into Master (high-end custom series), Selected (mid-to-high-end selected products), and General (high cost-performance entry-level product series). The goal is to provide different age groups and needs within the e-cigarette-loving consumer base with a more precise and suitable vaping experience. As the closest role to the consumer terminal, ASVAPE places great importance on every sales feedback to timely improve and refine products. ASVAPE promises: our products are like our children; we will take full responsibility for them.

Additionally, the promotion of e-cigarettes should not be a responsibility that physical stores bear alone; it requires brand owners and manufacturers to take the lead in working together to eliminate misunderstandings about e-cigarettes and jointly promote the vapor culture we are passionate about.

ASVAPE invests a significant amount of funds each year in promotion, actively participating in exhibitions and cross-industry activities, using these platforms and opportunities to help more people understand e-cigarettes and quit smoking. In the vapor culture, we experience more fun. As a member of the industry, ASVAPE has the responsibility and obligation to create a positive image for the e-cigarette industry and to tirelessly work to eliminate the stereotype that e-cigarettes are merely about "cloud chasing." The theme promotional video "For the Children, Please Say Goodbye to Cigarettes" launched by ASVAPE in early 2018 is the best embodiment of this commitment.

Understanding players and market needs, and promoting the positive image of e-cigarettes from multiple angles, should be a collaborative effort among manufacturers, physical stores, and even various e-cigarette media. Moving too fast can easily lead to losing direction; taking a moment to pause allows us to discern the future. Moving slowly is not frightening, as long as we are on the right path.

4. "Chaos" and "Control" are a Game

While the e-cigarette industry has rapidly risen in China, it has inevitably given rise to chaos; "chaos" and "control" are destined to be a game.

In November 2017, ASVAPE conducted a strict rectification of stockpiling and price chaos, contributing to maintaining a healthy e-cigarette market order. It is encouraging that ASVAPE has received support and recognition from players and the industry. The "High Standard Online and Offline Store Authorization Method" launched in 2018 has severely cracked down on price chaos and violations of market rules in the community, blocking these issues at the source. We take our rights seriously.

In this protracted battle, controlling prices cannot be an instant remedy; every step is challenging, as the market is vast, with visible price control and hidden price chaos. The determination of whether price control is "effective" is a long-term process, but ASVAPE believes that if we never take action, evade problems, and do not act, it is tantamount to acquiescence and aiding chaos. We hope we are not fighting alone; we firmly believe that more conscientious manufacturers and insightful individuals will join us, united in purpose, and our industry and market will recover from its ailments. Ignoring problems will only lead to repeating past mistakes; ASVAPE will uphold its bottom line and remain true to its original intention to achieve lasting success.

The road of price control and maintaining market order is long and arduous. However, ASVAPE firmly believes that "the waves wash away the sand, and the gold remains." In today's relatively unregulated domestic e-cigarette market, only by uniting brand owners, manufacturers, e-commerce, and physical stores to self-regulate and collectively say no to chaos can we create a "blue sky" for the e-cigarette industry; when comprehensive e-cigarette market regulations are introduced, our self-discipline will withstand the test.

"Chaos" and "control" are a game, but just as evil cannot triumph over good, the chaotic pricing behavior that violates market rules will ultimately be eliminated by the market. This is just the beginning; there is still much we can do.

5. Comprehensive After-Sales Service is the Most Solid Sense of Security

A comprehensive after-sales experience is the greatest guarantee for brand owners and consumers. ASVAPE does not operate as an e-cigarette manufacturer that sells and forgets.

ASVAPE has opened transparent and efficient after-sales channels for consumers and physical stores, allowing consumers or authorized stores to communicate directly with manufacturers, saving consumers' time and striving to resolve various after-sales issues as quickly as possible. Among these, ASVAPE also provides a 6-month warranty or replacement service for products damaged due to non-human factors, and even offers lifetime after-sales service for ASVAPE's first small device, S.ONE. This is our commitment, ensuring that when consumers see ASVAPE's name on the shelf, they feel a sense of security.

The rapid development of e-cigarettes in China has caused many to lose their way. ASVAPE calls on all manufacturers, online retailers, and physical stores that truly care about e-cigarettes to join ASVAPE, working together to confront chaos and progress together, ensuring quality control from the source to maintain a good market order for e-cigarettes.

Hereby:

ASVAPE salutes the online sales channels and physical store colleagues who are striving to maintain market order!

ASVAPE salutes the frontline designers and craftsmen who have remained true to their design intentions!

ASVAPE salutes the brands or individuals who tirelessly promote vapor culture!

ASVAPE salutes the organizations or individuals who have always loved vapor culture!

ASVAPE fights for the original dream and does not wish to bear a sigh many years later.