The Growth of the Vaporizer Industry -Menovo
I am not a smoker of tobacco nor marijuana, but that doesn’t mean I don’t notice the big business of making money in both of these industries. Globally, cigarette retail value in 2014 was $744 billion. That represents sales of over $5.6 trillion cigarettes, to more than 1 billion smokers worldwide. Legal marijuana is the fastest growing industry in the United States, due to the legalization of marijuana in some states. The revenue reports for the 2014 U.S. market were $2.7 billion. Financial experts predict legal marijuana being a $30 billion industry by 2019 as others states follow along with legalizing marijuana.
When a particular product has so much money being generated from it, as with tobacco and marijuana, there are secondary products and services created to be a beneficiary of such a profitable market. For this particular article, we are going to focus on the vaporizer industry.
Vaporizers are devices used to heat up tobacco/ marijuana, releasing their active ingredients in a vapor form, rather than a smoke form. Vapor use is said to be much healthier than smoking since the substance does not have to be combusted, producing toxic particles in the process. As a result, many smokers are switching over to vaporizer products in order to enjoy their substance of choice, with significantly lower risk of harmful consequences. And what also makes vaporizers so appealing, is that it can be enjoyed personally are in a group setting. Such as with hookahs, that people tend to enjoy with a group of people. There are group vaporizers, that allow groups of people to enjoy their substance of choice, amongst their fellow smokers who want a healthier option to use.
Due to this healthier option of partaking tobacco and marijuana, the vaporizer industry is experiencing booming growth. This significant increase in growth can largely be contributed to the legalization of marijuana. Smokers already used vaporizers for tobacco, in order to enjoy nicotine without the negative side effects of smoking cigarettes. Also, because smoking in public places is becoming less acceptable. Now more marijuana users are gravitating towards the use of vaporizers, for the discreteness it provides and because of its high strength concentrates. Therefore, when a more potent high can be accomplished without detection of what is actually in the device, marijuana users choose to use vaporizers for their THC consumption.
As the growth of this market occurs, two things naturally occur: job creation and investments. The retail vaporizer industry is predicted to reach $3.5 billion this year. If the legal marijuana industry is expected to grow significantly within 5 years, vaporizer market growth will naturally coincide with legal marijuana’s growth. As this demand grows, suppliers must be in place to effectively supply the market’s consumers. Therefore, employees must be hired in order to handle the rapid expansion. For example, in Denver more than 600 people showed up for a job fair put on by a vaporizer device maker that was expanding staff. This demonstrates the real sustainable businesses being created in the vaporizer industry due to the legalization of marijuana.
Investors such as the ArcView Group are aggressively positioning themselves for the future growth of the hot vaporizer industry. There are Silicon Valley tech workers quitting their jobs so they can create vaporizer startups. And their ability to raise investor capital is not really difficult. This is because business minded investors recognize the demand associated with legal marijuana and how the vaporizer industry is attached to this demand. Then when you have celebrities such as Snoop Dogg endorsing vaporizers with his own line of product, it signifies that the vaporizer marketplace is very lucrative industry to be involved within.
When a slow economy begs for innovation and job creation I see no problem with the legalization of marijuana. If there is big money to be made, as seen with the vaporizer industry, then there is no reason to stifle economic productivity. Real business people recognize the demand and growth associated with the vaporizer industry and that demand is due to marijuana legalization. Free enterprise should have the opportunity to actually occur if real demand produces economic prosperity. The growing vaporizer industry is a perfect example of how this occurs.
REPUBILISH BY : Menovo