Altria To Debut Electronic Cigarette

Altria Group Inc., the largest seller of tobacco in the U.S., is getting into the e-cig business. The company announced that its subsidiary Nu Mark is planning to introduce an electronic cigarette in the second half of 2013, Bloomberg reported.

The electronic cigarette will be sold in an undisclosed market.

As demand traditional cigarette sales are declining, electronic cigarettes are inching closer to the mainstream. Chief Executive Officer Martin Barrington is aiming to catch up to smaller rivals, such as NJOY and Lorillard Inc. (LO), which says its blu eCigs brand controls more than 40% of the U.S. market. Reynolds American Inc. (RAI) said this week it plans to expand its Vuse e-cigarette this year, according to Bloomberg.

Lorillard CEO Murray Kessler told analysts yesterday the company estimates that electronic cigarette sales displaced consumption of about 600 million cigarettes in the first quarter. That totals an annual rate of roughly 2.4 billion cigarettes, accounting for about 1% of the U.S. market, according to Kenneth Shea, a Bloomberg Industries analyst in Skillman, N.J.

 

  • http://www.HaloCigs.com/ Halo Cigs

    It was only a matter of time until Altria (Philip Morris), Lorillard, and Reynolds decided to enter the e-cigarette market through acquisition or launching their own product lines. Since the electronic cigarette market is still in a state of infancy it has low barriers of entry and is saturated. Pending regulations and these big tobacco companies may force the industry to shape up in the short-term.

    Robert Monroe
    Halo Cigs

  • http://www.optimacigs.com/starter-kits.html Steven Jeffrey

    I knew this would happen, these tobacco companies doesn’t have any other choice besides jumping in the business of electronic cigarettes.

  • http://internationalvaporgroup.com/compare-all-brands.html International Vapor Group

    It is a great sign that more and more companies are introducing electronic cigarettes, the market is getting tougher.

  • http://www.clickacig.com/ Clickacig

    Well yeah, what’s stopping Altria Group and other Big Tobacco from joining the e-cigarette industry? Nothing actually… In fact, they’d be making the world a better place to live in if they start making it instead of being against it…plus it would mean wider market…:)

  • http://buyelectroniccigaretteonline.org/ Karen

    Yeah, I think it’s a good move and most definitely necessary one.

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