A start-up business financed with just £10,000 is now the best-known brand in the UK’s fast-growing e-cigarette category - with plans for international expansion

They say necessity is the mother of invention and for E-Lites founders, Adrian Everett and Mike Ryan, this could not be truer. Their story began in 2008, one year into the ban on smoking in public places and against the backdrop of the financial crisis. With business interests in the hospitality industry, their outlook was bleak as pub-regulars stayed home and consumer spending slumped.

E-Lites began as an online venture, aiming to tap into the fledging market in electronic cigarettes. Adrian and Mike identified a manufacturer who could make and supply their product, but agreed that a lot of research and development would be needed to help the product meet the demands of the sophisticated UK market.

Shared passion

This commitment to product improvement and passion for innovation has driven E-Lites from ambitious start-up to the most widely-recognized brand. Sitting in the top spot meant that the company attracted much interest from potential buyers, but Mike and Adrian wanted to find the perfect partner.

Mike explains: “We hadn’t been looking to sell the business, but rather at distribution arrangements that would allow us to drive sales up a gear. However, when we first met JTI, we realized that we were dealing with a company that completely shared our passion and commitment, and truly appreciated the brand’s potential.”

First time

The E-Lites founders are proud to have achieved a number of firsts on their journey. It was the first e-cigarette maker to introduce USB battery charger, the first brand to be sold in all of the UK’s ‘big four’ supermarkets, and the first to have a 24-hour customer help-line.

“Listening to consumers’ feedback has been instrumental in helping us to refine and redefine the offering,” said Mike.

The acquisition of the E-Lites business in 2014 was also a first for JTI.

“This investment provided us with an excellent entry-point into the fast-growing e-cigarette category,” commented Masamichi Terabatake, JTI’s Executive Vice President and Deputy CEO. “With E-Lites’ well-established brand and product portfolio, we are able to offer our customers another important extension to our growing range of emerging and innovative products.”

Looking forward

So what is next for E-Lites?

“Getting to leadership of the UK was always only part of the plan,” says Mike. Next steps for the brand includes further product innovation, and a new model – E-Lites Curv – has already been developed. The team have also set their sights on international expansion. E-Lites has been launched in Ireland with several more countries to follow soon.

“We’re genuinely delighted to be going forward with JTI. The deal is not only about shared values – it also delivers us JTI’s reach and experience in R&D, distribution and brand management,” Adrian continues. “Our ambition is simple: to make E-Lites a leading global e-cigarette brand.”

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