After the surge of 2019, the e-cigarette industry is entering the second half, and it is obvious that "compliance" is more important than scale, and e-cigarettes are trying to get rid of negative labels such as "inducing minors", "copycats are frequent", and "false publicity". In the past two years, affected by the "online ban order" and the impact of the new crown epidemic, the e-cigarette industry has begun to concentrate on the head brand, and the market pattern has become clearer and clearer.
The standardized development of an industry is inseparable from the initiative of the head enterprise. The "2021 China (Shenzhen) E-cigarette Industry Standardization Development Forum" hosted by Southern Metropolis Daily and undertaken by Shenzhen Big Thing Media will be held in Shenzhen on August 24, focusing on the standardized development of the e-cigarette industry and the protection of minors. As a leading enterprise, Modi said that the company adheres to the concept of long-term development, adheres to being responsible for consumers, adheres to industry self-discipline, and maintains the standardized development of the e-cigarette industry from the aspects of intellectual property protection and minor protection.
The basis for the development of norms Focuses on "technical protection"
According to the Data of the China E-cigarette Industry Committee, in 2020, China's e-cigarette exports reached 49.4 billion yuan, and domestic sales reached 14.5 billion yuan. Compared to 2019, exports rose 12.8 percent, while domestic sales rose 30 percent.
After experiencing the "online ban order" at the end of 2019, the market size began to concentrate on head brands such as Yueke and MOTI Magic Flute. By the end of 2020, the number of Yueke brand stores reached nearly 10,000; MOTI Magic Flute brand stores opened about 3,000 in the last quarter of 2020, and the current number is more than 6,000.
The operating enterprise behind the Magic Flute brand is Shenzhen Leiyan Technology Co., Ltd., which was established in 2018. According to enterprises, the current "MOTI Magic Flute" directly drives the employment of nearly 20,000 people and indirectly drives the employment of nearly 50,000 people.
"E-cigarettes are innovative products promoted by technological innovation and concept innovation in the tobacco industry in the new era. It conforms to the trend of historical development, and its future development is also inseparable from innovation. Wang Yanting, former director of the Department of Science and Education of the State Tobacco Monopoly Administration, said in a recently published article "Discussion on the Concept traceability and definition of electronic cigarettes".
In fact, when the e-cigarette industry has surged forward in the past 2 years, it is also facing the question of mutual plagiarism between external enterprises and lack of core competitiveness. The shadow of frequent copycats and product homogenization has always surrounded e-cigarettes, causing hidden dangers of social responsibility such as product safety and the protection of minors.
According to Magic Flute, since its inception, the company has taken R&D and innovation as the core driving force, built its own R&D center and product laboratory, and continued to introduce industry-leading intelligent technology for product upgrading and iteration. At the same time, Magic Flute actively establishes intellectual property protection measures. Up to now, the company has applied for more than 150 patents for inventions and utility models.
In terms of action, the company carries out intellectual property protection work around trademarks, patents, domain names, copyrights, etc., and is managed by special personnel. In view of the products that have appeared on the market that are counterfeiting the "MOTI Magic Flute" brand (using the same interface to adapt to MOTI), there is a plan to carry out anti-counterfeiting work, aiming at the "trademark infringement", "patent infringement" and "unfair competition" aspects that may be involved in the market.
Actively formulate implementation plans in response to regulatory norms
From the perspective of attribution, e-cigarettes are not yet included in the scope of tobacco products, so the ban on tobacco advertising does not apply to e-cigarette advertising. However, the nicotine and other substances contained in e-cigarette products make publicity and promotion activities have no small hidden dangers of false publicity.
In this regard, Modi adheres to the concept of long-term development of enterprises, and at the level of advertising compliance, it is grasped with both hands inside and outside, and both hands must be hard, effectively responding to the call for national compliance development. In terms of internal control, Magic Flute's compliance with the advertising level mainly focuses on not publishing "Internet e-cigarette advertisements" and not publishing "false and illegal advertisements". In terms of the management constraints of customers and stores, the company stipulates that all materials for promotional content are uniformly produced and released by MOTI Magic Flute.
The newly revised Law on the Protection of Minors came into effect on June 1, 2021, and for the first time explicitly prohibits the sale of e-cigarettes to minors in the form of a national law. In order to set up a barrier for the protection of minors, Magic Flute has begun to establish a system from three aspects: brand promotion, system and technical management, distributors and sales control.
In terms of brand promotion, the company actively implements the "Junior Shield Plan". On the outer packaging of the product, the taiwan card of the offline store, etc., the relevant warning statements such as "do not sell this product to minors" and "minors are prohibited from using this product" are conspicuously marked.
In terms of system and technical management, based on the MOTI member management system within the enterprise, a channel for customer real-name identity verification is established, with the purpose of excluding minors under the age of 18 from the membership system.
In terms of dealer and sales control, the company has established three major protection systems for dealers and stores, and established a regular inspection and prevention system. First, the sale of e-cigarettes to minors is prohibited, and corresponding liabilities and penalties for breach of contract are agreed. The second is to clearly stipulate that it is forbidden to open e-cigarette stores within 100 meters of the surrounding areas of schools, kindergartens and other places where minors gather. The third is to regularly publicize offline stores, and require store clerks to verify whether consumers are at least 18 years old and eliminate the sale of electronic cigarettes to minors.
Written by Ye Linfang, a trainee reporter in Nandu
For more coverage, see Feature: Feature | E-cigarette industry observation