On July 26, according to South Korean financial news reports, tobacco industry sources revealed that Japan Tobacco International (JTI) Korea plans to replace the convenience store cigarette display cabinet in early 2024, and put their own heated tobacco product smoke bombs on the shelves.
Plans to join the convenience store e-cigarette market
JTI had launched its heated tobacco brand “Ploom Tech” in 2019, but failed to get a positive response from consumers and ended sales in Korea in 2021.
At present, the specific type of new e-cigarette products has not been determined, but the introduction of new e-cigarettes has been considered. At a time when the Korean heated tobacco market is developing rapidly, JTI entered the market relatively late, lagging behind its competitors, and there are now three major competitive product brands in the Korean heated tobacco market, KT&G’s “Lil” occupies the first market share, Philip Morris International’s “IQOS” ranks second in the market, and BAT’s “Glo” occupies the third market.
Seek new market opportunities
Industry insiders pointed out that when JTI entered the Korean market that year, although its products attracted some attention, it has never been able to expand its market share and finally decided to withdraw. The company then shifted its focus to selling traditional cigarette brands in South Korea, particularly the “Mevius” line, which emphasizes odor reduction.
JTI’s recent plans to launch new heated tobacco products in more than 10 countries and expand to 20 countries by the end of 2024 provide momentum for JTI’s renewed foray into the Korean market.
JTI’s market correction
JTI’s Japan Tobacco (JT) recently announced that it will stop selling heated tobacco products “Ploom Tech”, “Ploom Tech+” and “Ploom Tech+ With”.
JT will also launch a new hybrid e-cigarette “With2” this summer.
JTI Korea said:
“We plan to launch heated tobacco products in Korea, but the timing and specific products have not yet been determined.”
References:
[1] [단독]JTI코리아, 내년초 전자담배 재출시 준비… 신제품 윤곽