Leading independent traders' website WholesaleNews.co.uk have reviewed the impact of new display legislations due to come into force across the UK in 2012 and how this will affect the tobacco industry and the related industries, including the electronic cigarette manufacturers. Being the leading UK brand and with product available in many stores, E-Lites were asked for their input and director Mike Ryan highlights how these changes will help to offer new opportunities for the brand in the UK.

Below is the excerpt from the full article:

electric alternative

With smoking banned in public places and tax and duty hiking prices, electronic alternatives are growing in popularity. Michael Ryan, co-founder and director of E-Lites, says: "The growth of the electronic cigarettes market in the UK has been astonishing. Overall, we estimate there are about 250,000 regular buyers of electronic cigarettes in the UK. E-Lites has about a third of that market, and we're seeing average monthly sales rises of 18%."

He says that E-Lites contain a pure liquid form of nicotine that, when someone inhales from the device, is converted into a vapour. Since there is no smoke and no smell, E-Lites can be legally used anywhere, whether indoors or outdoors.

Ryan says that margins on E-Lites are much higher than for tobacco products, and the company has tailored its products to wholesalers and retailers needs. "From the size of the packs, which are very similar to conventional cigarette packs, to the price points and customer support lines, we have prioritised convenience. Initially, we will be introducing the E40 disposable electronic cigarette. These provide the equivalent of about 40 cigarettes, which, at less than £10, is a very attractive proposition."

Ryan says E-Lites has arranged promotional campaigns with its official partner, the National Federation of Retail Newsagents (NFRN), and is currently agreeing a campaign with Booker to help with the launch of its E40 product. The company also arranges roadshows in the US for BJ's wholesale club, and this is something it will be considering for the UK.

He adds: "Booker is just the start for us here in the UK. We're rapidly approaching a tipping point. In the next year to 18 months, we expect electronic cigarettes to become fairly widespread among smokers. We need to ensure that the wholesale market is prepared for this by making our products more widely available."

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