According to the latest report released by the Federal Trade Commission (FTC) on April 3, 2024, the total sales of cartridge-based and disposable e-cigarette products sold to US consumers by the nine leading manufacturers increased by approximately $370 million from 2020 to 2021, reaching a total of over $2.67 billion. These e-cigarette companies increased their expenditure on advertising and promoting products by $90.6 million in 2021 compared to 2020.
The report focuses on two main types of e-cigarettes. Some e-cigarettes are equipped with rechargeable batteries and replaceable pre-filled e-liquid cartridges, while others are disposable and can be discarded after the battery or e-liquid is depleted.
Sales of cartridge-based products increased from $2.13 billion in 2020 to $2.5 billion in 2021, while sales of disposable, non-refillable e-cigarette products increased from $261.9 million in 2020 to $267.1 million in 2021.
The 2021 report also provides detailed information on the characteristics of e-cigarette products, including flavors, nicotine concentrations, and packaging of components in cartridge-based systems. The data shows that in 2021, 69.2% of cartridge-based products sold or given away contained menthol-flavored e-liquids, with the remainder being tobacco-flavored.
Disposable e-cigarettes were not subject to flavor restrictions by the Food and Drug Administration (FDA). In 2021, “other” flavors of devices accounted for 71% of all disposable devices sold or given away, with the most popular subcategories being fruity and fruity with mint/menthol flavors. These two subcategories alone accounted for over half of all disposable e-cigarette devices sold or given away in 2021.
According to the report, expenditures on e-cigarette advertising and promotion increased from $768.8 million in 2020 to $859.4 million in 2021, with the top three expenditure categories being price discounts, distribution channel promotion fees, and point-of-sale advertising. These three categories accounted for nearly two-thirds of expenditures in 2021.
Finally, the report discusses the steps taken by e-cigarette companies in 2021 to prevent or deter underage consumers from accessing their websites, subscribing to mailing lists and loyalty programs, or purchasing e-cigarette products online. These steps include using online self-certification to verify that users are at least 21 years old and complying with state requirements for adult signatures upon delivery of e-cigarette products.
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