Smokeless Tobacco Market Size | Competitor Strategy, Industry Trends, Forecast to 2023

20/nov/2020 12:07:25 Pradeep Z Contatta l'autore

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As per the Market Research Future (MRFR) analysis, the global smokeless tobacco market is projected to rise at a significant CAGR from 2017 to 2023 (forecast period). The report examines and assesses the competitive dynamics of the ever-evolving business environment and the present and potential impact of COVID-19 on the market.

Smokeless tobacco refers to tobacco products that are not heated or burned like cigarettes. Such products are consumed orally or nasally and are available in different forms and types. Most smokeless tobacco products are consumed by sniffing, chewing, and putting them between the teeth and the gums. Some of the significant forms of smokeless tobacco used for chewing include betel quid, Gutka, khaini, Loose Leaf, twist, plug, and zarda. Smokeless tobacco types, which are ingested by the nasal route, include dry snuff, whereas moist snuff and dry snuff are consumed by sucking.

Key Players

Some of the prominent participants profiled in the global Smokeless Tobacco Market Size are Altria Group, Inc. (U.S.), British American Tobacco PLC (U.K), Imperial Brands PLC (U.K), Japan Tobacco, Inc. (Japan), Swedish Match AB (Sweden), Swisher International Group, Inc. (U.S.), MacBaren Tobacco Company A/S (Denmark), and Dharampal Satyapal Limited (India), among many others.

Market Dynamics

The cigarette ban has increased consumption and global demand for its alternatives. Easy availability and lower costs than cigarettes, drive the sale of smokeless tobacco, mainly among the low-income consumer community. On this basis, it is observed that the consumption of smokeless tobacco in emerging countries, such as India, is growing at a high rate. The consumption of smokeless tobacco is also identified as high among the millennial population of Bangladesh, making the country one of the large markets for its sale. The prevalence of smokeless tobacco consumption among daily wage workers is projected to be high based on low cost and high tobacco production in the region. Point of sale, including wholesale shops, tea shops, have been identified as ubiquitous in the Asia Pacific region. Customer-oriented visual advertisements, such as posters and stickers, often aim to draw the youth population's attention to smokeless tobacco offerings. Consequently, the use of smokeless tobacco in these countries is growing.

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Market Segmentation

The global market for smokeless tobacco has been segmented into type, form, and route.

Based on type, the global market for smokeless tobacco has been segmented into chewing tobacco, dipping tobacco, dissolvable tobacco. Of all types, the chewing tobacco segment dominates the industry, and the segment is projected to hit USD 9.96 billion by the end of 2023, with a CAGR of 4.30% during the forecast period. However, the chewing portion of tobacco is further classified as loose leaf, plug, twist, chew bag, and others. Dipping tobacco is further categorized as moist snuff, dry snuff, and snus.

Based on form, the global market for smokeless tobacco has been segmented into moist and dry. The dry segment is expected to maintain its dominance over the 2017-2023 forecast period. The segment is expected to expand at a significant growth rate of 4.46% during the forecast period.

Based on the route, the global market for smokeless tobacco has been segmented into oral and nasal. The oral segment is estimated to maintain its dominance over the 2017-2023 forecast period. The segment is anticipated to exhibit at a significant growth rate of 4.52% over the 2017-2023 forecast period.

Regional Analysis

The global market for smokeless tobacco has been segmented into North America, Europe, Asia Pacific, and Rest of the World.

The Asia Pacific region is expected to remain dominant during the forecast period. Asia Pacific is likely to reach USD 12.27 billion by the end of 2023, with a CAGR of 4.55% over the 2017-2023 forecast period. Growth in the Asia Pacific region is expected to be driven by various factors. The minimization of cigarette smokers in the Asia Pacific region is one of the critical factors in the increasing growth of smokeless tobacco. India is one of the top markets for smokeless tobacco in the Asia Pacific region. India accounted for a significant market share of 71% in 2017, and the trend is expected to continue during the 2017-2023 forecast period.

Nevertheless, the North American market is projected to experience an above-average growth rate of 4.46% over the forecast period.

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Note : Our team of researchers are studying Covid-19 and its impact on various industry verticals and wherever required will be considering covid19 footprints for a better analysis of markets and industries. Cordially get in touch for more details.

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