Justin Boggs of SigEcig wrote a fantastically insightful editorial about the new proposed FDA e-cig regulations and what they mean for the industry. We completely agree with Justin’s view that the proposed regulations are surprisingly positive signs for the health of our industry and community as a whole. From Justin’s editorial…
However, e-cigarette companies and brands have been waiting with bated breath for the introduction of FDA regulations. Given the nature of the product, it has always been an expectation, but to what extent nobody knew. It is a new age, one that includes a digital front; something to be considered as the “great leveler” against Big Tobacco. Plus, with the variety of flavors, it presents that “kid in a candy shop” appeal to the smoker or vapiing enthusiast looking for something new. But what if the FDA decides to introduce ecig regulations similar to the ones that Big Tobacco has? That has been the scary part for ecig companies. All of the sudden, the FDA could prevent the sale of e-cigarette products online; or they could eliminate the ability to product products in a variety of flavors. If that were to happen, millions of dollars in inventory and web properties would be worthless overnight. So, even while there has been a lot of success, and folks like Ashton Kutcher leading $70 Million rounds for Njoy at a $1B valuation, I’m sure that many investors have been sitting on the sidelines waiting to see what would happen when the FDA releases ecig regulations.
Last weak the FDA finally released the proposed regulations, and at first glance, not bad at all, actually a very positive first step for the reputable e-cigarette companies.
Read the Justin’s full editorial here.