E-cigarette distributors: the Crucial Midfielder

Anti-vaping propaganda took root like a deadly virus and anti-vaping campaigns broke out like an epidemic. It seems the “High Command” of the nation, whether deluded by a false belief that E-cigarettes belong to tobacco products ,or bewitched by their paymasters from Big Tobacco, has set their minds and committed the full might of the Law-making machine to the restriction and ultimately, destruction of vaping. But, threatened as they have and strike as they may, vaping still lives. Under tremendous pressure of this unjustified persecution, the vaping community awakened to their precarious position and protested vigorously. Rightfully the devotion of numerous vapers who hold firmly onto their passion was demonstrated, and justly the deathtrap that awaits E-cigarettes manufactures was much discussed and condemned.

In this prolonged struggle led by vapers and vape shop owners, as someone who actually has working experience in the E-cigarette distribution industry, I feel we have neglected to do justice to the many E-cigarette distributors, our brethrens who are equally persecuted, hedged in from all sides facing the ruthless onslaught of FDA and TPD regulations. As in a football match, it is usually the strikers who are acknowledged and exalted while the midfielders, though responsible for setting the pace for the match, are somehow overlooked in the glory of their scoring teammates. But the lack of applause does not diminish their importance; it is the midfielders who initiate every move offensive and defensive. I would like to compare the function of E-cigarette distributors in the vaping industry to that of midfielders in a football match, with good reason.

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Before we look into the specific role of distributors, it is of great importance to understand the necessity of distributors’ existence in this particular industry. My argument is that distributors are indispensable for the proper functioning of the vaping industry and this is why: E-cigarette manufacturers do not sell to small retailers or individual users. For economic reasons, manufacturers prefer mass production and sell in large quantities. On the other hand, individual users do not all like the same brand or the same model and local retailers, in order to serve the needs of individual users who are the source of their income, have to supply E-cigarette products in a wide variety and that means, less of each brand or model in quantity. It would be impossible for a local retailer to place an order of 50 atomizers to big manufacturers like Joyetech and SMOK who require a minimum order quantity of 1000 units.

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Let us not rest content until the specific functions of E-cigarettes are more deeply explored. By serving as a bridge between manufacturers and customers, E-cigarette distributors purchase in bulk from the former and sell in small quantities to the latter, meeting the requirements of both. By specializing in the art of distributing and promoting, E-cigarette distributors considerably expedite response time and enhance the reach of manufacturers.

Say a customer placed an order of 1000 atomizers from Joyetech, a big E-cigarette manufacturer in China; the chances are that he would have to wait a long time before his order is delivered, and here are the reasons. Although his order quantity meets the minimum requirement, being minimum means being at the bottom of a long waitlist because premium manufacturers like Joyetech receive orders all the time and apparently they prioritize only the larger orders. Also because this customer may very likely be a one-time buyer, manufacturers consequently would have less incentive to make a priority of his order. Finally, most manufacturers are not specialized in distributing, and therefore it is not within their competence to reach far and deliver wide.

All of these problems are solved by E-cigarette distributors, whose first emergence was aimed at facilitating all possible difficulties in the transactions between manufacturers and customers. Firstly, E-cigarette distributors purchase in large quantity (atomizers, batteries, accessories alike) and for that reason their orders are more likely to be prioritized. Secondly, E-cigarette distributors are by far the largest and most regular customers of manufacturers and some wholesalers like Cacuq play such a vital role in the vaping industry due to their large market share and reputable services that many manufacturers grant them VIP status, ensuring the priority of their orders. Thirdly, one of the core competencies of E-cigarette distributors is fast and cheap delivery. They compete on that for their survival. Add lower purchasing price to every point argued above, it is only reasonable to conclude that E-cigarette distributors have a vastly beneficial influence on the vaping market.

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Also to be taken into account is the fact that some E-cigarette distributors have revolutionized their business models by radically increasing their reliance on the Internet industry. This is not simply incorporating some elements of the Internet to boost performance, for example, using ERP systems for more efficient day-to-day business activities management, or upgrading their websites to improve online shopping experience. The reforms these E-cigarette distributors envisioned and carried out involve changes far deeper and broader than many may think.

Take Cacuq, a leading Chinese E-cigarette distributor, as an example here. Already a pioneer in the E-cigarette wholesaling industry, Cacuq strives to establish a cutting edge advantage that cannot be easily mitigated or cloned by building their whole business system on the Internet from the ground up. Equipped with the most sophisticated ERP system which enables them to manage their procurement with improved efficiency and enhanced collaboration at lower operational costs and an updated Magneto system that helps them integrate front end and back end management seamlessly into one single platform, Cacuq also employs full scale SNS promotion (Facebook, Instagram, and various vaping forums and blogs) and intensive Search Engine Optimization to further their reach to overseas customers. Because of its excellent promoting capability, Cacuq has been granted brand authorizations and VIP status by most of the leading E-cigarette manufacturers in China (quite a big deal since it is estimated that 90% of the E-cigarettes sold are manufactured in China) and enjoys priority of their orders as well as significantly lower purchasing price than many of its contemporaries.

With all the assets mentioned above, Cacuq is arguably one of the few E-cigarette distributors capable of supplying a vast assortment of premium brands with below-average prices to the advantage of customers.

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With all my humble knowledge and analysis, I am of the opinion that E-cigarette distributors are a most central factor in the vaping industry. They are the indispensible pillar that upholds the whole structure; more than that, they are the roaring engine that drives the mechanism forward. They are the Crucial Midfielder in the match.

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