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After deaths in the US: Dealers of e-cigarettes complain drastic loss of revenue

2019-10-27T10:25:42.353Z


So far, the market for e-cigarettes in Germany has boomed. But most recently, sales dropped significantly. An industry survey shows how much the business has changed after mysterious deaths and illnesses in the US.



Following deaths in the US in connection with e-cigarettes, the industry in Germany is complaining about a significant drop in sales. A survey of just over 600 e-cigarette retailers has shown that more than half of sales fall by 30 to 40 percent, according to the Alliance for Tobacco-free Enjoyment (BfTG). Almost a fifth even has losses of more than 50 percent.

"Customers are insecure," says BfTG boss Dustin Dahlmann, who is also head of the wholesaler Innocigs. The vast majority of surveyed retailers indicated that US reports had a negative impact on their business. According to recent data from the US Department of Health (CDC), 34 people have died in the United States in connection with the consumption of electronic cigarettes. In addition, there are around 1,600 confirmed illnesses.

Previously, the market for e-cigarettes in Germany had developed rapidly - with annual growth rates between 25 and 40 percent. Around 3,000 dealers are reportedly in Germany now, and the industry hopes so far on lucrative business.

For 2019 - based on an industry survey - a turnover of 570 million euros had been targeted, an increase of 24 percent over the previous year, said Dahlmann. But the business will no longer be as abundant as this: "Of course, we have to rethink our forecasts after the current business collapse."

Because the reports from the USA have unsettled many "steamer" in Germany, the industry is struggling in this country to mitigate damage. There is not a single case of suspicion in Europe, said Dahlmann. In the EU, there would be clear rules for ingredients for steam products at the latest since the tobacco product directive was introduced.

"Use products that comply with European rules"

E-cigarettes do not contain tobacco. As a rule, a nicotine-containing liquid (liquid) is heated, with the evaporation, it can be inhaled. According to the Federal Institute for Risk Assessment (BfR), e-cigarettes are, according to current knowledge, less harmful to health than conventional tobacco products, but they can not be considered as safe. (Read more about the risks and differences between the USA and Germany here.)

Commenting on the incidents in the US, BfR President Andreas Hensel said: "According to current information, consumers of e-cigarettes in Germany do not face increased risks if they use products that comply with European and German regulations." However, experts warn against unregistered self-mixing products that often contain no nicotine and are often marketed online. "Steamer" should also pay attention to symptoms such as difficulty breathing or chest pain, Hensel advises.

E-cigarettes are compared to conventional cigarettes still as a niche product: about 2.5 million "steamer" exist in Germany, estimates Dahlmann. The number of consumers of classic tobacco products is estimated at 16 to 18 million. Sales here in 2017 amounted to about 26 billion euros.

Source: spiegel

All business articles on 2019-10-27

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