Wholesale Information 2018-05-19T16:42:31+00:00

Wholesale Information

Nicovape is the leading wholesaler of electronic cigarette devices and refill products in the Australasian market. Even though at present there are no labelling requirements for our industry, we have taken a forward thinking, and socially responsible approach by including safety warnings, ingredients, storage instructions, usage directions, batch numbers, expiry dates, customer service numbers, and GS1 issued barcodes printed on all of our packaging. All of our refills come in child-resistant, tamper evident pods, and are supplied in medical grade blister packs for added security.

We pride ourselves on being the only supplier currently servicing the Australian general retail sector who provides the required security of an Australian issued product liability insurance coverage. This is a concerning, commonly overlooked risk for master franchisors and independent retailers entering this emerging industry, as most incorrectly assume the other suppliers hold the usual product liability insurance coverage needed to protect them, placing their business, and their customers at risk.

The Australian retail tobacco industry was worth $17 billion in 2017, with 86% of Australia’s 3 million smokers reporting they had tried to change their smoking behaviour in the last year. According to a 2017 survey conducted by the Australian Association of Convenience Stores of 4000 smokers, 68% said they would adopt e-cigarettes the moment they became conveniently accessible, legal, and cheaper than tobacco. With Tobacco prices set to increase by 12.5% on Sept 1 every year until 2020, the market adoption rate of these products is expected to be rapid and sustained. At present, there is no store loyalty for tobacco products as they are strictly a convenience product, but there is however strong brand loyalty. We have the opportunity to change this paradigm, as our refill packs last an average user 3-5 days. To grasp the commercial significance of this opportunity, retail Tobacco sales account for 38% of the convenience sectors overall sales.

There are several news stories on this issue everyday lately, but we have just reached an inflection point where the conversation is shifting (thanks to a lot of PR effort) from the incorrect stories claiming all e-cigarette products are banned, to the actual fact that only the nicotine eliquids are restricted, and that there is in fact a legal way to access the nicotine inclusive products via doctors. What this means is that the 3 million smokers around Australia will need somewhere convenient to purchase their starter pack (device & nicotine free pods) prior to them purchasing the nicotine inclusive refills online direct from us. Surveys show however that 40% of e-cigarette users don’t use nicotine, as they likely don’t have an actual nicotine addiction and potentially just “smoke when they drink”. These users would have no need to purchase direct from us, and could continue to simply purchase their nicotine free refills in store. The Nicotine users will also need ongoing local convenient distribution to purchase their replacement devices, as they will get misplaced or damaged, similar to cigarette lighters.

As a young business launching a new product into a new market, our standard is to go above and beyond to satisfy our wholesale client’s needs, with the aim of building strong ongoing relationships. Every client is given training on all our products, and is assigned a dedicated account manager to respond to any request, 24 hours a day, 7 days per week. We also provide after-sales support to our client’s customer base – any technical questions can be directly dealt with via our customer support numbers, saving you time and money.

Our prices are extremely competitive, and the retail margins are incomparable to current tobacco margins, as we manufacture our products directly with the world’s most sophisticated suppliers, providing us economies of scale and no extra middlemen. Our eliquids are produced in an ISO7, GMP certified, FDA approved laboratory in San Francisco, and our hardware and final assembly is provided by a GMP certified facility in Shenzhen.

We have advanced infrastructure and systems in place to deal with the largest retailers in the country, such as national supermarket, petrol, pharmacy, convenience, and tobacconist clients, right through to smaller independent retailers looking to enter this incredibly fast growing market.

We provide corporate training seminars on e-cigarettes for any company that is interested in stocking our products. These informative presentations include information from the very basics of how an e-cigarette works, through to the more detailed components of the science, current regulations, and how best to educate your customers who are looking to buy.

Just to clarify, it is perfectly legal under current Australian laws (with the possible exception of WA) for any retailer to sell e-cigarette products and accessories, so long as none of the liquids contain nicotine. The only restrictions are on age and display, so they would need to be treated as a behind the counter product similar to tobacco products. Our starter pack has the exact same dimensions as a cigarette packet so as to ensure it will fit into the existing cartridges in all stores and vending machines.

For wholesale enquiries please email wholesale@nicovape.com.au, or call our wholesale manager John on 0452 NICOVAPE (+61 452 642 682)

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