Some U.S. states appear under-served by vape stores while others may have too many already, according to a new analysis by ECigIntelligence.
A detailed comparison of store listings with demographic data and Internet traffic records reveals that two states – California and Texas – are among the leaders in independent e-cigarette retail on many criteria.
High levels of e-cig-related Internet traffic also appear to correlate to vape store numbers, an indicator of strong interest in vaping within certain states, according to the research – available exclusively to ECigIntelligence subscribers with a Gold or Silver-level subscription.
By contrast, the report says, “a number of states seem under-served in terms of retail outlets, which may present a business opportunity. Many of these are in the east of the U.S.” And still others are over-served, it adds.
The report also considers the structure of the vape store market in the U.S.
“Many retail outlets remain independent, and few chains comprise more than a handful of stores,” it says. “But we identify potential factors both in favour of consolidation and against it, so how the multiple e-cig retailers will develop remains an open question.
“High numbers of vape stores alone are not an indicator of a sustainable market, because the category is at the mercy of consumer demand and government action,” it continues.
“But in the meantime it seems clear that there are disparities in their distribution which imply both opportunities and challenges for the e-cigarette retail business.”
– Barnaby Page ECigIntelligence staff