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5 million can make a brand, where is the threshold of the glass pipes industry?

  

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  Currently, there are three types of new e-cigarettes on the market: heated, non-flammable rainbow glass pipe, soot-type e-cigarettes and energy sticks.The third type of nicotine product is not strictly an addictive nicotine product.For example, there are sleep bars with melatonin, taurine, caffeine anti-fatigue energy bars, and vitamin beauty bars.Tobacco is not obvious, but it has great potential. It is more like food. In some developed countries, such as Japan, the tobacco industry has gradually matured and people accept a strong concept.

  Second, heated, non-flammable e-cigarettes represent iQOS, made internationally by FEMO, the world's largest tobacco company, to develop new forms of harm reduction tobacco.These heated, noncombustible cigarette bombs contain traditional consumables, are closer to the true taste of traditional cigarettes, and are more acceptable to smokers.However, these consumables are tobacco products, which are regulated by the state, are allowed to be exported and cannot be sold domestically.

  The third category of soot e-cigarettes is an important direction for entrepreneurship in China.Its basic structure includes battery assembly, atomizer and smoke bomb.The oil in a cigarette bomb is usually a mixture of nicotine, propylene glycol, glycerin and flavoring.Unlike cigarettes, it contains no tar.Powered by a battery stick, the atomizer converts the liquid nicotine in a smoke grenade into fog, giving diners a similar smoking sensation.

  From a health point of view: the main harm to human health from ordinary cigarettes comes from the burning process.The general combustion temperature of cigarette is 800℃, combustion is not enough, tar can affect the health of the lungs, carbon monoxide can affect the health of the heart, there are more than 40 kinds of chemical carcinogens.In addition, cigarettes have become the main source of indoor PM2.Form secondhand smoke.Beijing has imposed the strictest smoking ban in its history, and glass tube pipe are not included in the ban.The combustion temperature of e-cigarette is about 200℃, the way of combustion is through the atomizer to heat the smoke liquid into steam, does not contain tar and carbon monoxide, the harm to human body is small, will not produce second-hand smoke.

  However, this does not mean that e-cigarettes are healthy and harmless.The food and drug administration (FDA) has detected traces of nitrosamines and other potentially harmful substances in e-cigarettes.Internationally, the health effects of the materials (ceramic/fiberglass) used in the soot-type e-fume core are controversial.

  In terms of price, the average selling price of e-cigarettes is higher than that of traditional cigarettes.In addition to purchasing equipment, you also need to purchase consumables.The price of most retail equipment ranges from 100 yuan to 10,000 yuan, with tobacco oil selling for 80 yuan to 200 yuan, depending on milliliters and brands.The average price of a pack of cigarettes is about 12 yuan in Beijing, 20 yuan in chengdu and 14 yuan in Shanghai.

  There are more than 600 eye glass pipe manufacturers in China, and the new third board represents companies such as yingwei department store, McWeill, five wheel electronics, SiGray and yingxue technology.In addition, the overall scale is not large, 95 percent of the products are mainly sold abroad, the proportion of the domestic market is small.Here are the 100 million euro e-cigarette brands that have been announced in the last three years. We can see that 2018 is the year of concentrated financing for the e-cigarette industry.&;Have spent".

  Why are so many investors bullish on e-cigarettes?The authors speculate that there may be three reasons:

  1. There are successful cases of e-cigarettes in foreign countries.

  In July, Juul, a us start-up e-cigarette brand, was valued at $15bn.Its 68 per cent share of the us e-cigarette market is half the valuation of imperial tobacco, the tobacco company, a century ago, making it the sixth-largest us start-up.Similarly, FEMO international began announcing this year that its vision for the future was "smoke-free," and iQOS products were launched in response to that trend.

  The consumer group of e-cigarettes is young people, which is forming a fashionable culture.

  As a fashion product, e-cigarette is beautifully designed and has gradually formed a trend culture.They taste richer, are healthier than traditional cigarettes, and star endorsements and engagement have made e-cigarettes more acceptable to young people.In the advanced circle of players, combustion equipment, DIY fume, fancy smoke rings and other trends are on the rise.

  Tobacco is an addictive commodity

  E-cigarette products contain nicotine, taurine or caffeine, are addictive and are often more profitable than cigarettes, so it's a good business.

  In addition to investment institutions selling e-cigarettes, domestic Chinese tobacco groups are also gaining strength.Nearly 10 local tobacco factories owned by China national tobacco corp. are also developing e-cigarettes.However, it is mainly in the experimental stage and only exports a small amount to South Korea and Japan.