“Vuse” is New E-Cig Developed by Reynolds
Time Magazine reports that the in-house brand of electronic cigarette currently being tested by Reynolds America, the second-largest US cigarette manufacturers, is currently known as “Vuse.”
This comes on the heels of Lorillard, the nation’s third largest tobacco company, aquiring e-cig manufacturer Blu for $135 million dollars in 2012; and rumors reported by Bloomberg that Altria (the maker of Marlboro, among other brands) is seriously considering a takeover bid for NJoy. Njoy, which primarily markets through retail outlets, currently holds about 40% of the American electronic cigarette market, while Blu holds about 25% of the market.
Reynolds had previously confirmed that it was testing its own brand of e-cigarette, with CEO Daniel Delen saying that the company was looking to “make a big splash” in the e cigarette market. “Vuse” may or may not be the name of the product that eventually comes to the market.
A Wells Fargo analyst believes that the electronic cigarette market may rise to $1 billion dollars within the next three years. It’s currently estimated to be around $300 million dollars per year. The analyst calls the debut of a nationwide TV ad campaign for NJoy this month a “wakeup call” for traditional cigarette manufacturers who currently don’t have a play in the e-cigarette market.