LOGIC Technology, developers of premium electronic cigarettes, held the first annual electronic cigarette summit this past weekend (October 24-27), bringing together industry experts and sales executives from around the country.
The nation’s largest retailers were in attendance to learn more about the growing category and its tremendous profit potential. Participants had the opportunity to hear from analysts and executives about key industry dynamics, regulatory updates, and the successes of their peers in regards to electronic cigarette sales.
“We are excited to have debuted and hosted what will become an annual event, allowing industry insiders and retailers to meet, discuss and maximize the opportunities offered within this rapidly growing category,” said Miguel Martin, president of LOGIC Technology. “This Summit serves as a great forum to inform our trade partners about new ways to reach their adult consumers.”
Participants noted that this summit, the first of its kind, was invaluable in illustrating the exponential growth already underway within the category. Attendees had the opportunity to hear an industry overview from leading Goldman Sachs analyst Judy Hong as well as a regulatory and tax update from Thomas Briant, an executive from the National Association of Tobacco Outlets.
Following the LOGIC E-Cig Summit, the Global Investment Research Division of Goldman Sachs issued an Equity Research report this week stating, “A number of retailers have embraced the e-cig category, are allocating more space to e-cigs by compressing the cigarette space and are seeing double-digit to triple-digit sales growth on e-cigs. The market also appears to be consolidating relatively quickly into three e-cig brands (blu, NJOY and LOGIC currently account for nearly 80% of market share in the c-store channel).” The report goes on to say, “LOGIC is gaining ground as the No. 3 player, with nearly 19% unit share, up from 9% at the beginning of the year.”
“It is impressive and important that leading e-cig company LOGIC brought together all of these resources, allowing retailers to make better decisions about a category that is critical to our profitability,” said one retailer. “It tells me a lot about who my partners are as I move forward in successfully managing this high margin product.”
In addition, participants attended a presentation from Martin, as well as reviewed reports on industry best practices from leading national retailers.