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The core competitiveness of glass pipes industry

    Glass pipes is a new type of electronic consumer goods, which is the product of the integration of electronic products and consumer goods. The construction of the core competitiveness of glass pipes products should start from the two dimensions of electronics and consumption.  From the perspective of electronic products, its core competitiveness comes from technology.  From the perspective of consumer goods, its core competitiveness consists of brand and capital.

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    4.1 From an electronic point of view, technology is one of the core competitiveness of glass pipes. Wearable equipment is the future hardware development direction of glass pipes.

    The composition of glass pipes itself is not complicated. If the development of glass pipes stays in the state of simple piecing together of lithium battery, atomizer and smoke bomb, glass pipes will eventually be a red sea market mixed with good and evil.  Therefore, it is a powerful weapon for high-quality enterprises to wash small enterprises out of the market to improve the scientific and technological content of glass pipes in an all-round way and continuously upgrade products through technology, which is especially important for OEM enterprises.

    The technological upgrading of the water well pipes industry will start from two parts, hardware and software.  The hardware part includes the circuit package (lithium battery, atomizer) and the inlet end, while the software part specifically refers to the smoke bomb (smoke liquid).  From the perspective of hardware, glass pipes can evolve into wearable devices with intelligence in the future through continuous integration of electronic, communication and software technologies.  As far as we know, people of insight in the industry have already started to try to combine the entrance of glass pipes with human medicine, to build the entrance of glass pipes into a port for reading human oral data, and to transmit the read data back to the mobile phone through Bluetooth technology.

    Recently, a new intelligent glass pipes named Smokio has been developed abroad, setting a technological model for the entire industry.  Smokio is connected to the mobile phone through bluetooth. users need to download a corresponding software when using the mobile phone, and then they can track various smoking indicators through the mobile phone, such as: steam intake, places with the highest frequency of smoking, smoking frequency, and how much money can be saved from relatively real smoking. the records of smoking positions using Smokio are recorded on the map, and the improvement of blood oxygen content and heart health caused by smokers' separation from traditional cigarettes during smoking will also be displayed.  Smokio began selling abroad in february 2014 for 80 euros.  Another important component of glass pipes, smoke bombs (smoke liquid), is also a key part to highlight the research and development strength of glass pipes.  From the communication with the domestic glass pipes industry, one of the most important reasons why the development of domestic glass pipes failed in the early years was the poor taste of glass pipes smoke liquid and its great difference from traditional tobacco products.  At present, many glass pipes enterprises in the United States only import glass pipes hardware from China. The production of tobacco liquid is safe in the United States. On the one hand, it ensures the quality and safety; on the other hand, it relies on high-tech talents in the United States to develop tobacco liquid that can restore traditional tobacco to the greatest extent and provide smokers with the best consumption satisfaction.

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    In theory, if the scientific and technological development of tobacco liquid is sufficient to make smoking glass pipes feel basically equivalent to traditional tobacco one day, glass pipes will probably replace traditional tobacco products in a large proportion even if it loses its tax and price advantages, because it is healthier.

    4.2 From the perspective of consumer goods, jet water pipes core competitiveness is brand and capital strength

    Unlike general electronic consumer goods such as mobile phones, glass pipes directly contact with the human body. From the perspective of consumer goods, its core competitive elements are the same as food and beverage.

    Through the establishment of Maslow's demand model, from the perspective of consumer goods, brand and capital are the essential factors for the final construction of glass pipes' core competitiveness.  Brand building requires enterprises to make solid efforts in software and hardware aspects of products, such as product safety, quality, appearance design, taste and nicotine content breakdown.  Brand building, channel promotion and technological research are inseparable from the support of funds.

    Special emphasis should be placed on the importance of capital. In order to prove that capital is an important core competitiveness factor for glass pipes, the LOOKAHglass pipes brand owned by Lorillard can be taken as an example to quantify the importance of capital.

    In 2011, the market awareness of the glass pipes brand LOOKAH was 50%, 15 percentage points higher than that of its main competitor NJOY. After being acquired by Lorillard in April 2012, the market awareness of LOOKAH rose sharply to 86% in 2013, up 36 percentage points, while NJOY's market awareness rose only 11 percentage points during the same period, and LOOKAH's market influence has far exceeded NJOY.

    Changes in market share and performance growth can better reflect the power of capital.  According to Lorillard's survey data in May 2013, from 2011 to May 2013, influenced by the increase in the number of glass pipes brands, the market share of NJOY, eSmoke, GreenSmoke and other mainstream brands declined, and the market share of LOOKAH brand increased by nearly 10 percentage points to nearly 40% during the same period.

    After completing the acquisition of the LOOKAH brand, Lorillard spent about US$ 40 million on the marketing of the LOOKAH brand. Among the many factors driving the growth of glass pipes business, Lorillard officially listed nationwide television marketing activities as the primary factor.  US$ 40 million is several times the market value of many small US glass pipes companies. The power of capital can be clearly felt from the case of LOOKAH.

    5. glass pipes Industry Has Huge Growth Space-US Market

    According to Euromonitor's forecast, the global consumption of tobacco products in 2012 is 758.1 billion US dollars, of which the consumption of cigarettes is 696.8 billion US dollars. The global consumption of tobacco products has a huge market scale.  The global consumption of flue-cured tobacco in 2012 was 4.602 million tons, up 28.2% from 2003. As flue-cured tobacco is the most important product in the world, the rising trend of flue-cured tobacco consumption indicates that the global tobacco control efforts have not been successful in the last 10 years.

    The massive consumption of tobacco products, the increasingly severe situation of tobacco control and the human instinct to attach great importance to health make us believe that the glass pipes industry will definitely become a new industry with "big appearance" in the future.