From a consumer’s viewpoint, it has been incredible to watch the rapid evolution of the e-cigarette industry since its inception. All industries generally go through some sort of evolution process. But when dealing with technology related products, we tend to see a quicker transformation unfold. As such, this has been the case with the electronic cigarette market.
Customers obviously couldn’t be happier. They are receiving higher quality products over a faster time span than non-technology products. Of course, that’s a huge win for vapers worldwide, but what does this mean for the brands that are manufacturing these e-cigs?
As it turns out, we don’t have to look so far back to see what kind of impact this has had on the e-cig manufacturing industry. Forget about the fact that Green Smoke UK and EU shut its doors. Recently, the mammoth e-cig brand NJOY filed for bankruptcy in the United States. Remember, this was a company that was said to have been valued at close to $1 billion USD at one point in time. While there have been rumours that NJOY may make a comeback, that’s looking increasingly doubtful.
NJOY was certainly the largest of the e-cigarette brands to fall off the map. However, they are just one of several that have virtually disappeared. Remember Sky Cig that catered to the UK market? They were purchased by Blu E Cigs, but even though that was considered a win for Sky Cig, Blu didn’t walk out on top as you’d expect with any investment. Sky Cig fell off the map after the buyout and it’s been rumoured that Blu ended up taking a hefty loss on that deal. Other companies that have experienced a sizable reduction in sales are E-lites, Smoko, Cigees, Epuffer, and even JacVapour and UK E Cig Store.
Though there are some pretty large sized brands on that list, they don’t compare to the latest e-cigarette UK company that appears to be going bust: VIP Electronic Cigarettes.
Yes, you read that right. VIP – once heralded as *the* e-cig brand in the UK – is currently in administration, putting their 250+ workforce in jeopardy. VIP is probably the oldest electronic cigarette brand in the UK, as they were founded in 2009. If you’re in the world of vaping, you’ve heard of VIP. They have continually out-executed their competition, offering some of the best products and e-liquids money can buy. They have rightly earned their name VIP. And yet, this e-cig company that has hundreds of employees and retail outlets, in addition to a wide selection of premium vaping equipment, is now on the brink of collapse.
It’s true that the NJOY bankruptcy announcement sent shockwaves across the globe. But, the VIP news was equally as devastating for vaping enthusiasts specifically here in the UK. Not only was VIP offering truly quality products which attracted hundreds of thousands of customers, but they were consistently profitable…until recently. And that has to do with the progressively fast-paced evolution of the e-cig market.
We don’t want to say it but…who’s next?