Vaping is one of the fastest-growing industries in the world. More and more smokers are switching to a safer alternative. Vaping gains and holds the buyers with the customization aspect – there’re hundreds of electronic smoking devices and thousands of e-juice flavors available. Add the fun of cooking your own e-liquid or building a vaporizer, and you have the qualities that make vaping a lasting industry.
Choosing this area for realizing your entrepreneurial ambitions will bring you several unique benefits, as well as several challenges. Read on to know what they are.
The advantages of starting the vaping business
1. You’ll have a choice between many business opportunities.
Vaping is not just an alternative to smoking. It has seen a big boom in the cannabis market as cbd vape is becoming a preferable choice for green stuff lovers. Non-smokers also enjoy using e-cigs. There’s a demand, and you can satisfy it.
There’re several opportunities for a beginning entrepreneur in the vaping market:
– Opening an online vape shop
– Opening a brick-and-mortar vape shop
– Creating your own brand of e-liquids
– Creating your own brand of vaporizers.
If you already have a cannabis business and sell such products as bongs and water pipes, you can expand the range of products with a cbd vape pen (https://vapingdaily.com/vaporizers/weed-pens/best-cbd-vape-pens/ gives more info) and oils.
2. Vaping business is lucrative.
Vaping has been on the rise over the past few years. It’s a correct approach for you as an entrepreneur to put your focus on the area where the profit may be high.
The global vape global vapor products market was worth $22.6 billion in 2018 (versus $4.2 billion in 2013). And it’s expected to be worth $61.4 billion in 2025, which is a 20% growth.
Note that you won’t start to make a profit at once. It will take 6-12 months to return on the initial investment and start earning money.
3. You’ll help smokers quit and improve their lives.
The vaping industry is a purveyor of the technology that has already saved lives and improved the health of millions of ex-smokers. For many vape shop owners, it’s not just a business but a mission.
According to Public Health England, the vapor is 95% cleaner than tobacco smoke. A 2017 study found out that ex-smokers who used only e-cigarettes for half a year had lower levels of carcinogens and other toxic compounds than smokers who continued to smoke tobacco cigarettes.
The main reason why vaping is so popular is that many consumers hope to quit smoking combustible cigarettes with the help of e-cigs. A recent study shows that e-cigarettes are twice as effective for smoking cessation as nicotine products approved as smoking-cessation treatments (patches, gums, etc.).
Vaping cbd oil has numerous health benefits. According to a rigorous review conducted by the National Academies of Sciences, Engineering, and Medicine, cannabis can relieve chronic pain, chemotherapy-induced nausea and vomiting, multiple sclerosis symptoms, and many other symptoms of various illnesses. If you’re planning to sell cbd oil vape and cbd pen, you’d better research this topic more deeply. Customers will ask you about that.
4. Being a vaping entrepreneur is exciting.
There’s no routine when it comes to entrepreneurship these days. You’ll have to face new challenges every day and solve new problems. The time of spending whole days doing a monotonous work goes away.
But this business is not only about handing the ordinary entrepreneur’s tasks. It’s about discussing cloud-chasing competitions and other vape events with your customers. It’s about visiting these events to promote your company. It’s about testing new products. There’s always something new and exciting going on in the vaping world.
The disadvantages of starting the vaping business
1. Getting funds may be tough.
Expenses involved in owning a vape shop may range $25,000-$50,000 per month. It will be difficult to get funding.
Firstly, most banks put vaping entrepreneurship in the same high-risk category for loans as the adult entertainment industry. Even if you’re lucky to gain approval from the financial institution that gives the loans, you’ll have to pay excessive fees and rates. Secondly, banks generally don’t fund startups, period.
So, going to the bank is not an option. Fortunately, there’re other options available out there – peer-to-peer lending, online loan providers, independent investors, and crowdfunding platforms.
2. The laws regulating vaping are constantly changing.
As an entrepreneur, you must be able to adapt to ever-changing vaping laws. The federal regulations in the U.S. are quite straightforward. FDA regulations have already made it more difficult to run the vaping business. And the organization is planning to offer a new anti-vaping agenda in a few years.
The state and local rules may vary greatly. Learning them will influence some of your decisions. For example, many cities don’t allow opening a vape store near a park or school. You’ll have to consider this when choosing a location. Due to excessive taxation in some states, brick-and-mortar vape stores are disadvantaged in comparison with competing with online business with their lower prices.
3. There’re a lot of unscrupulous manufacturers in the vaping business.
It’s crucial to find a reputable wholesaler, the one who won’t run out of the products you sell and provide quality items. Do some online research and ask around at your favorite vape shops.
Once you launch a vape shop, you’ll start getting a lot of e-mails from no-name overseas manufacturers offering products at incredibly low wholesale prices. These are mainly companies who make counterfeits. Avoid selling fake e-cigs and liquids and ruining your reputation.
4. The competition is high.
More than 3,500 independent vape shops exist around the country. And the number keeps growing. Vaping products are also sold at gas stations and convenience stores. So, staying competitive is critical for a small business.
You’ll need to differentiate your business from others in your area in order to build a solid customer base and be profitable. You should focus on important such important aspects as:
– Choosing a high-trafficked location
– Providing exceptional customer service (which includes being acknowledged in studies on vaping, the latest trends, etc.)
– Promoting your vape business online (via social networking) and at vape events (exhibitions and contests)
– Providing quality and exclusive products as it is key to success in any business.
Remember that running the vaping business is an extensive process. If you don’t do it correctly, it will knock you out.