Business
No Glass House: Smoking Accessories Market to Reach $6.3B
Report finds in-store purchases still preferred for smoking accessories; water pipes lead in online and offline sales.
A cannabis shop in Toronto, Canada displays the kind of alluring smoking accessories that are still bringing shoppers to tradition retail stores, according the a new market analysis. PHOTO COURTESY GUILHEM VELLUT/WIKIMEDIA COMMONS
According to a report published by Allied Market Research (AMR), the global smoking accessories industry generated $3.1 billion in 2020. Driven by a young generation seeking out their smoking paraphernalia in brick and mortar stores, the accessories market is anticipated to generate $6.3 billion by 2030 — witnessing a CAGR of 6.5% from 2021 to 2030.
The report, which also includes tobacco products, breaks down the smoking accessories market by product type (grinders, water pipes, rolling papers, vaporizer and others), by age group (below eighteen, 18 -30 years, 30-50 years and 50 and above) and whether transactions were made via the Web or tradition retail stores.
The humble water pipe and its endless incarnations leads the pack in smoking accessory sales. PHOTO COURTESY WIKIMEDIA COMMONS
Based on product type, the water pipe segment held the highest market share in 2020 — accounting for more than two-fifths of the global smoking accessories market. The rise in popularity of water-filtered accessories among younger smokers will see water pipes continuing to bowl over other products, according to the report. AMR attributes growth to the use of water pipes in parties, clubs, cafes, bars, hotels, lounges and other cannabis-friendly venues. The wide selection of attractive, personal smoking paraphernalia offered to consumers — both online and offline — also keeps water pipe sales brisk.
The gusto of roll-your-own consumers in the cannabis market should keep the future burning bright for cigarette paper manufacturers. AMR found in another analysis that younger generations like licking the gum, and the rolling paper market is expected to show exponential growth in the coming years. The grinder segment is projected to manifest the highest CAGR of 9.0% from 2021 to 2030. The report cites the better smoking experience resulting from grinders as cranking up sales.
The hands-on experience
AMR’s data found traditional stores and dispensaries still account for the largest sales in 2020 — contributing to 85% of the global smoking accessories market. Over the next decade, the report projects retail outlets will outperform growth in online sales, with a projected CAGR of 6.5% for brick and mortar retailers from 2021 to 2030. The success of traditional retailing is attributed to business operators maintaining considerable depth in the type of product that they specialize in selling — even at usually higher prices than online — in addition to providing the hands-on experience, higher service quality and expert guidance.
Allied Market Research is a market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. A full copy of the report is available for purchase here. Those who are just starting out their research in the cannabis can request a 14-day free trial of AMR’s library before buying at https://www.alliedmarketresearch.com/avenue/trial/starter.
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