DUBLIN, Nov. 17, 2023 /PRNewswire/ -- The "US Nicotine Market (by Product & Distribution Channel): Insights and Forecast (2022-2027)" report has been added to ResearchAndMarkets.com's offering.
Given the increased marketing of various unique goods such as cigars and cigarillos, as well as next-generation products, demand for nicotine products is predicted to expand steadily over the next five years. The US nicotine market is expected to reach US$91.78 billion in 2023, growing at a CAGR of 4.78%, during the forecast period. Furthermore, the US nicotine market by volume is anticipated to reach 18.22 billion pieces in 2023.
By Product: In terms of product, the report provides insights of the US nicotine market into five segments: cigarette, vaping products, moist snuff tobacco (MST), cigar & cigarillos and nicotine pouches. In terms of both value and volume, cigarette segment held a maximum share in the market, followed by vaping products. The future of the vaping market looks promising with the rising awareness about vaping products being safer than traditional cigarettes, especially among the younger population. On the other hand, the nicotine pouches segment is expected to grow at a significant CAGR in the forthcoming years owing to the growing interest in alternative products.
By Distribution Channel: The report further provides the bifurcation of the market into two segments based on the distribution channel: Offline and online. The offline segment held a largest share in the market. Both small and large-scale companies sell their products through offline retail channels due to a large consumer base such as in grocery stores. The online channel is expected to register the highest CAGR during forecasted years owing to increase in spending on advertising and promotion by leading players operating in the market, thus offering significant growth to the segment in the forthcoming years.
Top Impacting Factors
Key Driver and Trend Analysis
Driver: Upsurge in Working Population
A huge demand for nicotine products comes from people falling in the 15-64 years age brackets. This is because this range of demographics consists of people with diversified tastes, high purchasing power and exclusive preferences. As the lifestyles are centered around work and offices, stress and anxiety levels are growing among working individuals, which leads to growing consumption of stress relieving agents such as nicotine. Moreover, various nicotine products such as vaping products and moist snuff tobacco can be used indoors as these do not do not produce tar or carbon monoxide, two of the most harmful elements in tobacco smoke. Thus, an upsurge in working population indicates increase in demand for nicotine products, which in turn, provided a boost to the overall market growth.
Trend: Rising Popularity of Tobacco Free Oral Nicotine
A novel class of oral nicotine pouches that contain a nicotine powder instead of tobacco leaves has recently emerged; these pouches often contain non-tobacco flavors (e.g., fruit) with known appeal to youth. These products have become popular among youth after e-cigarette. A survey of more than 3,500 high school students in Southern California found that flavored chewing gum, lozenges, gummies and other oral products that contain nicotine but not tobacco were the second most popular nicotine items among adolescents, after e-cigarettes. In addition to gummies and lozenges, the oral products included tablets and nicotine pouches (small bags of powder placed under the lip.) The products come in flavors like cherry, fruit medley, and pomegranate, and are labeled "tobacco-free." But they aren't approved or advertised as alternatives to help people quit smoking. The popularity of oral tobacco free nicotine gummies and lozenges is expected to sustain during projected years thus, maintaining a stable demand in the coming years.
Analysis of Key Players
The US nicotine market is concentrated due to the presence of a relatively small number of market participants. Altria is the market leader in Tobacco products and held a dominant share of the total nicotine industry. The key players in the US nicotine market covered in the report include:
For more information about this report visit https://www.researchandmarkets.com/r/3zmnr1
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