Philip Morris Expands Market with VEEV Liquid E-Cigarettes

“We considered how liquid e-cigarettes can be responsibly provided to adult smokers,” said Kim Joo-han, Vice President of External Affairs and Public Relations at Philip Morris Korea, during a meeting at the IQOS store in Garosu-gil, Gangnam, on August 19.

This consideration is reflected in the product structure of VEEV, which Philip Morris is introducing to the domestic market for the first time. VEEV utilizes a closed pod system that does not allow users to inject or mix liquids themselves, along with a rechargeable device.

The dedicated pods use natural nicotine and food-grade flavorings. The company aims to expand its portfolio of non-combustible products, which has been centered around IQOS, to include liquid options.

On display in the center of the store were the VEEV inPRIME devices, available in five colors and small enough to fit in one hand.

The aluminum devices can be used immediately after inserting a pod, without the need for additional liquid injection. The store also offers a customization service using 16 different engravings and prints.

Philip Morris emphasized that the key differentiator of VEEV is its closed pod system. Unlike open systems where users can add their own liquids, VEEV is designed to only work with pre-filled dedicated pods, known as VEEBI inPRIME.

This design prevents users from mixing liquids or ingredients, maintaining consistency in product composition and usage, according to the company.

Kim stated, “While there are products on the market that use synthetic nicotine, VEEV is made with natural nicotine,” emphasizing the focus on creating a trustworthy product with verified ingredients.

The device is rechargeable for repeated use, and when the liquid runs out, only the pod needs to be replaced. It takes about 40 minutes for a full charge, and Kim Gi-baek, Senior Manager of New Products at Philip Morris Korea, noted that it can reach 70-80% charge in under 10 minutes.

The device features an 'Advanced Vape Induction System' that induces heating in the pod and stops heating when the liquid is low, with a vibration function to indicate the device's status.

There are five types of dedicated pods, with a nicotine content of 0.9%. Each pod has a capacity of 2ml, and the company claims it can provide approximately 1,400 puffs based on a one-second usage time.

The introduction of VEEV coincides with regulatory changes surrounding liquid e-cigarettes. In April of this year, amendments to the Tobacco Business Act included synthetic nicotine products under regulation.

Kim noted, “The government has been aware of issues surrounding synthetic nicotine, and recent amendments to the Tobacco Business Act have institutionalized this,” adding that the company supports government policies and complies with relevant regulations.

VEEV was initially scheduled for release on June 22 but was postponed to August. Kim clarified that the delay was not due to product safety issues but rather the need to reassess launch preparations, including labeling.

This launch aligns with Philip Morris International's (PMI) 'multi-category' strategy, which operates both IQOS and VEEV.

Kim Tae-hyung, Senior Vice President of Consumer Experience, stated, “It’s ultimately the consumer's choice whether existing IQOS users also use VEEV or switch between the two products. It’s important to provide a wider range of options for consumers choosing non-combustible products.”

According to PMI, non-combustible products accounted for 42% of total net revenue in the second quarter of this year, with related products sold in 109 markets.

VEEV's shipments in the first half of this year increased by 72% compared to the same period last year, and the company claims it is the market leader in closed pod systems in Europe.

PMI aims to generate more than two-thirds of its total net revenue from non-combustible products by 2030, having allocated 99.7% of its total R&D spending to this area last year.

Philip Morris Korea began selling VEEV at IQOS flagship stores on August 18, and from the 26th, it will expand its distribution network to over 14,000 locations nationwide, including convenience stores and vape shops.

The recommended retail price for the VEEV inPRIME device is 29,000 won, while each dedicated pod costs 8,000 won. With promotional offers, the device can be purchased for 10,000 won at IQOS flagship stores and 15,000 won at convenience stores.