E-cigarettes are electronic products that mimic cigarettes, with a similar appearance, smoke, taste, and feel to cigarettes. The E-cigarette is mainly composed of four parts: tobacco oil (which may contain nicotine, essence, solvent propylene glycol, etc.), heating system, power supply, and filter tip. The aerosol with a specific smell is generated through heating and atomization for people to smoke.

Overview of Market Development and Analysis of Segmented Markets

As an alternative to smoking cessation, e-cigarettes are less harmful and meet the needs of consumers for nicotine, making them widely popular in the US market. In recent years, the US e-cigarette market has shown a significant growth trend. According to our research data, the size of the US e-cigarette market was $9.95 billion in 2023 and is expected to increase to $19.86 billion by 2026.

From the perspective of product types, E-cigarettes can mainly be divided into disposable e-cigarettes, rechargeable e-cigarettes, and modular E-cigarettes. Among them, rechargeable e-cigarettes dominate the market. According to our data, the segment market size of rechargeable E-cigarettes in the US in 2023 was $6.85 billion, with a market share of 68.77%.

Source: www.globalmarketmonitor.com

Analysis of Market Driving Factors

Consumer awareness enhancement: With the deepening of public awareness of the harmful effects of cigarettes, more and more consumers are starting to seek alternatives. E-cigarettes, as a relatively healthy choice, are gradually being favored by people.

Smoking cessation effect: Studies have shown that e-cigarettes are more effective than nicotine replacement therapy in helping people quit smoking. This has enabled E-cigarettes to occupy a place in the smoking cessation market.

Innovation and R&D: E-cigarette manufacturers continuously introduce new products and technologies to meet the diverse needs of consumers. For example, some e-cigarette products incorporate various flavors and nicotine content choices, making e-cigarettes more attractive.

Analysis of Market Competition Pattern

From the perspective of market competition, the concentration of the US e-cigarette market is high. Data shows that in 2023, the top 3 companies in the industry achieved a total revenue of $8362 million in the E-cigarette market, with a total revenue share of 84.01%. The top three companies were Juul Labs, Inc., British American Tobacco, and Logic. In 2023, these three companies accounted for 62.22%, 15.88%, and 5.91% of the US e-cigarette market revenue, respectively.

E-cigarette Market Revenue and Share of Main Companies in 2023

Companies	Market Revenue (Million USD)	Share
Juul Labs, Inc.	6193	62.22%
British American Tobacco	1581	15.88%
Logic	588	5.91%
Top3	8362	84.01%

Source: www.globalmarketmonitor.com