"We got in when the industry was just catching on. We saw a chance to help people find healthier alternatives to cigarettes and built our business from there," says James Smith, Head of Vaping Community at DiscountVapePen.com, the online vape store.
From Humble Beginnings to Industry Veterans
What started in the lobby of a New Jersey office has grown into one of the most established names in the vaping industry. DiscountVapePen.com began when its founders spotted an opportunity in the emerging vape market. They imported the first Ego-ce4 1100 mah vaporizer pens from China—a product they still sell today—and built their customer base first through their Google business page and eBay store.
The company quickly adapted to changes in the market. When eBay restricted vape sales, they launched their own website and transferred their existing customers there. Their early entry into the market meant they faced minimal competition for brand-related keywords, allowing them to rank highly with minimal SEO effort.
Navigating a Changing Industry
The vaping landscape has changed dramatically since DiscountVapePen.com first opened its doors. Regulatory pressures from the FDA and legal obstacles from industry giants have forced the company to adapt.
"We've spent considerable resources on legal counsel to navigate these challenges," Smith explains. "The PACT Act update created new regulations about shipping vape products through USPS, and even shipping software companies like ShipStation are implementing keyword filters against vape-related products."
In response to these pressures, DiscountVapePen.com made a strategic pivot away from nicotine products in the US market as of June 2024. The company now focuses on cannabis industry products such as batteries, tanks, cartridges, dry flower vaporizers, wax vaporizers, and THC derivative products.
Current Business Model
Today, DiscountVapePen.com operates both online and through one brick-and-mortar location. Their most popular products include empty 510 tanks, 510 cartridge batteries, dry herb/wax vaporizers, and THC derivative products. These items serve the booming cannabis industry, providing consumers with devices that enhance their THC vaping and flower experiences.
The company purchases directly from brands whenever possible, maintaining relationships with official distributors when direct purchasing isn't an option. Their business model remains centered on direct-to-consumer sales, shipping products nationwide.
Competitive Edge
When asked how DiscountVapePen.com maintains its position in a crowded market, Smith points to their longevity and customer relationships. "Truth be told, we've just been around a while and have built a decent sized email list that keeps us in business. We have a very refined offering as well. We know what sells and what doesn't and we stick to the former."
This focus on known performers has allowed them to streamline their inventory while maintaining customer satisfaction.
Looking Ahead
Looking to the future, Smith predicts another potential pivot as regulations around THC derivatives intensify. "For now we will make as much money with those products as we can. In a few years we imagine that we will be relegated to selling devices, parts, empty tanks and batteries related to the cannabis industry."
Despite the challenges, DiscountVapePen.com has demonstrated remarkable resilience in an industry marked by constant regulatory change. Their ability to adapt while maintaining their core customer base offers valuable lessons for entrepreneurs in highly regulated industries.
Smith offers a candid assessment for those looking to enter the vaping business today: "The barriers to entry are too high if you want to make any decent money. We got lucky. We started when it was still new."
