Overview Of The E-cigarette Market in France in 2023

What are the latest trends in the French market?
There are currently about 20,000 smokers in France (4,4% of the population between 18 and 15%).

But the theoretical potential of the e-cigarette market is still very large. If 45% of smokers in France (more than 110,000 people aged 18 to 75 in total) switch to e-cigarettes, the market would account for almost 200 million euros, double the current market size.

However, this potential is very speculative, and there are many obstacles to overcome before it can become a reality. According to Xerfi, regulators are still reluctant to adopt e-cigarettes.

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This does not stop the tobacco giants from redoubling their efforts to try to convert French pods (closed systems), Xerfi concludes in his analysis. And this, despite the fact that the American Juul failed in the French market.

These pods actually appeal to newbies looking for simplicity. Another big advantage: these "closed" e-cigarettes are usually very small.

Pods are also of great benefit to manufacturers. The Liquid Pods brand generates de facto recurring revenue and generates significant profit margins. Against this backdrop, tobacco giants have no advantage in driving an open vaping market.

In preparation for the transition to "low-risk products", tobacco companies are consolidating their marketing networks. These are tobacconists, at more than 15 points of sale.

E-cigarettes are now one of the main growth engines for these tobacco retailers. In fact, some brands distribute almost exclusively through their networks, such as the French brands E-CG or Nhoss. It also allows them to differentiate themselves from specialty retailers.

If they continue to expand their product offerings, tobacco manufacturers will be well-positioned to capitalize on the shift from smokers to e-cigarettes in the coming years. After all, it is these customers who will drive the growth of the market in the future.

However, Xerfi Precepta estimates that around 3 specialty stores remain the main distribution channel, with a market share of between 000% and 55% in France. They are ahead of online retailers (65% to 20%) and tobacconists (30% to 10%). If the number of independent companies is large, then the three franchise networks (J-Well, Clopinette and Vapostore) bring together more than a hundred points of sale.

E-cigarettes in France have a bright future
In France, there are nearly 30,000 registered e-cigarette users. Many people turn to e-cigarettes for a number of reasons. The e-cigarette market is expected to grow at an annual rate of 5% to 10% through 2023. It is in the same year that the market turnover is expected to exceed the threshold of 13 billion euros.

According to France vapotage, at least 160,000 French people quit smoking thanks to e-cigarettes. At the same time, 190,000 people managed to reduce their tobacco consumption. E-cigarettes are more than just a fad, they are trending to become part of the French habit and become