Do you own an e-cigarette business? If so, you can expect massive growth in the e-cigarette market in years to come. A new research report by P&S Market Research has revealed that the global e-cigarette market is forecasted to attain a value of $70 billion by 2023 – up from a market size of $15 billion in 2017. This same report credits an increasing demand for smokeless and ashless vaping and the surge in the number of vape shops and designated stores as the drivers of this growth.
The e-cig market can be broadly categorized into: cig-a-like, vape mods, vaporizer and t-vapor product types. During the forecasted period, t-vapor is expected to experience the fastest growth of around 45%. A new category that uses real tobacco, t-vapor products are sold into two versions: heat-not-burn and infused. Of the major distribution channels, vape shops are projected to be the most successful.
The e-cigarette market in the U.S. is not the only one that has been tremendously successful. As of right now, the Asia-Pacific region has ample growth opportunities for e-cig vendors. In addition, China was shown to be the third largest e-cigarette market (after the U.S. and the U.K) globally in 2017, with an estimated 40.3%.
The E-Cigarette Market’s Biggest Challenge
It has been hard for e-cig merchants in the U.S. to secure the business funding and payment processing solutions they need. Unwilling to work with the risks of the e-cig market, banks turn these merchants away. Without these services, they are left with little to no cash to grow and no way to safely process customers’ payments. Seeing this ever-growing need, alternative lenders like EMerchantBroker.com have stepped in to offer a solution: the e-cigarette merchant account.
What is an E-Cigarette Merchant Account?
An e-cigarette merchant account offers a far, cost-effective payment solution. This account is specifically tailored to meet the needs of the e-cig industry and the many challenges these business face (e.g. ongoing regulatory changes and the high chargeback ratios). As a high-risk merchant account provider, EMB specializes in working with the e-cigarette industry. A dedicated team of experts guide merchants through the simple, hassle-free application process. Merchants are approved in as little as 24 hours. While other accounts may involve certain limits (e.g. funding delay, a monthly credit card cap, a rolling reserve, etc.), EMB can remove these limits after the first three months.
E-Cigarette Merchant Account Requirements
Unlike working with a traditional provider, EMB’s application requirements are easy and straightforward. To move swiftly through the application process, you should have this short list of items on hand:
- A valid, government-issued ID (e.g. driver’s license)
- A bank letter or a pre-printed voided check
- 3 months of the most recent bank statements
- If applicable, 3 months of the most recent processing statements
- A social security number (SSN) or employer identification number (EIN)
- Chargebacks must be under 2%
Once you have submitted an application, you will hear back in 24 to 48 hours. The streamlined application process ensures your business can quickly secure the cash and payment processing services it needs. Fund your business’ growth and offer your customers multiple payment processing options. With EMerchantBroker, you can expect:
- No application fees
- Competitive rates
- No Visa/MasterCard required
- Multiple Secure Payment Gateway Options
The e-cigarette market is not only booming but will continue to do so over the next several years. Make sure your business has the tools and solutions it needs to take advantage of the many opportunities that will come your way. To learn more about our e-cigarette merchant account, contact our team of experts today.