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Electronic Cigarette Sales Decline in US Convenience Stores Amid FDA Regulations
According to data from Circana, e-cigarettes, including disposable vapes, prefilled pod system, refillable pod system and other type of electronic vaping devices, generated nearly $7 billion in sales in convenience stores across the US from April 23, 2022 to April 23, 2023, with a growth rate of 4.5%. However, this growth has recently declined, with sales declining by 3.5% year-on-year in the 12 cycles ending April 23, and a 5.1% decline in the 4-week review period. Unit sales also fell by 15.6% and 17%, respectively.
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Analysis suggests that this change is mainly due to market uncertainty brought about by the FDA’s increased regulation of e-cigarettes. However, data shows that VUSE Alto continues to maintain its leading position in its sub-market. According to a report by NielsenIQ cited by Goldman Sachs, VUSE sales in all retail channels totaled over $2.1 billion in the 52 weeks ending April 8, an increase of 36.8% in US dollars, with transaction volumes increasing by over 11% during the same period.