The key players operating in the Smokeless Tobacco Products Market are rview , The smokeless tobacco products market size was valued at USD 13.6 billion in 2018 and is estimated to expand at a CAGR of 7.2% in the forecast period. Convenient use, lower cost, pleasant taste, and lower risk to health as compared to smoking tobacco are some of the factors driving the demand for smokeless tobacco. A variety of flavors available in smokeless tobacco attracts different customers as per their taste preferences. Moreover, the nicotine content in this product is twice as in an average cigarette, attracting various high dose nicotine consumption users, thereby increasing its demand in the market. , Demand is high among younger age groups due to their growing interest in new epidemic tobacco types. Moreover, sales of dry leaf product types have been predominantly growing in developed countries. This has pushed various regional manufacturers to invest in different product types such as snuffs, gutka, and other smokeless types. For instance, a tobacco company, Philip Morris International Inc. has started investing in smoke-free types due to its prevalence in chewing tobacco types in the South East Asia market. , Moreover, inclination towards different flavored products such as cinnamon, berry, vanilla, saffron, and apple helps to provide a lucrative opportunity for the smokeless tobacco market. Consumption of different flavors also increases due to the attraction of consumers towards new product varieties in the market. Growth of the middle-class population drives the demand for cost-effective types such as twist leaf, roll, and plug type in the industry. The above-mentioned factors, along with an increase in disposable income, are anticipated to drive the market the forecast period. , A rise in the adoption of trendy lifestyles among consumers has initiated the growth of tobacco products and forms in the market. Growth of the market is also attributed to the low cost of the smokeless category products as compared to smoked tobacco products. Moreover, an increasing number of bans on cigarettes in different countries, along with awareness regarding their consumption, is anticipated to fuel the growth of the market over the forecast period. A rise in the consumption of types such as Khaini, Gutkha, and Supari has also been observed among women. , However, product sales are expected to rise due to the space required for consumption to smoke tobacco products as compared to smokeless products. The product is marketed by manufacturers as an alternative to cigarettes in a smoke-free environment. This has increased the sales 0f the product in areas banned for smoke tobacco products. Moreover, this urges consumers to permanently switch to smokeless types from the use of smoke products. , Product Insights , The snuff segment contributed to the largest share of 56.3% in 2018. The product is expected to witness a rise in sales due to its adoption as a premium category by consumers. Moreover, its high price leads to an increase in total revenue. The availability of snuff products in the tobacco market in different flavors such as mint, berry, and cinnamon is anticipated to fuel the growth over the forecast period. The market is expected to witness a rise in sales due to the availability of nicotine-free types. These products are helpful for consumers addicted to smoke products. For instance, in August 2018, Swedish Match acquired Gotlandssnus AB, a manufacturer of tobacco products, for sales in the nicotine-free snuff segment around the U.S., Sweden, Asia, and parts of Europe. , Chewing tobacco including loose leaf, plug, and roll forms is the fastest-growing segment with a CAGR of 8.1% from 2019 to 2025. Rising demand for chewing tobacco types among consumers due to their low and effective pricing is anticipated to boost the smokeless tobacco products' market growth. The market is also driven by the use of the product for a longer time interval than smoke products, which get finished in a few minutes. Moreover, the availability of various types such as a loose-leaf, twist, and plug, along with packaging types, is likely to fuel the growth of the segment over the forecast period. , Distribution Channel Insights , The offline channel contributes to the largest share of 86.0% in the year 2018. Offline sales are driven by consumers who prefer to access different types physically to check their quality and variety of content. Moreover, browsing different types through stores with access to bargaining from the retail sectors is driving the offline segment over the forecast period. Ease in price comparison for different categories such as snuff and chewing products of brands is feasible for its sales in the industry. An increase in the number of tobacco stores, trendy products with flavors, and attractive packaging have contributed significantly to offline sales of products in the market. , The online segment is the fastest-growing channel with a CAGR of 8.6% over the forecast period. The segment is driven by a rise in sales by manufacturers through their online channels, offering a wide range of products to the consumers. The channel seems to drive its accessibility majorly among the young population who seeks to prefer trends in lifestyle. However, deals, offers, and discounted items offered through the online sector, along with an increasing number of online distributors, especially in developed countries such as the U.S. and Canada, are driving the segment over the forecast period. , Regional Insights , North America held the largest share of 37.9% in 2018. The market is driven by a rise in demand for snuff products in the U.S., along with different types of forms such as moist and dry types. For instance, the moist snuff market in the U.S. grew from 1.37 million cans in 2013 to about 1.5 million cans in 2017 and is anticipated to expand at a CAGR of 6.1% over the forecast period. Moreover, a rise in expenditure on dissolvable product types in form of sticks and strips in the U.S. is anticipated to boost the regional market growth over the forecast period. , Asia Pacific is expected to register the highest CAGR of 8.7% over the forecast period on account of rising sales of low priced chewing tobacco products in countries such as India, Bangladesh, and Pakistan. For instance, in 2018, the India chewing tobacco industry was estimated to expand at a high CAGR over the forecast period. Demand is anticipated to rise due to the adoption of products by women and the old age population in India and Pakistan. Women contribute to about 19.3% and 20% of the consumption of chewing tobacco products such as leaf and pan masala in Pakistan and India, respectively. , Key Companies & Market Share Insights , Demand for cost-effective products is increasing in the tobacco industry in India, South Africa, and Norway due to the growth of the premium snuff industry. This has led to an increase in product innovations and developments, thereby fueling its demand in the market. The market is identified by several strategic activities such as mergers and acquisitions, product innovations, and capacity expansion. , Key manufacturers in the industry include Altria Group, British American Tobacco, Imperial Tobacco Group, Gallaher Group Plc, Universal Corporation, and Reynolds Tobacco Company. For instance, in February 2018, Japan Tobacco Inc. launched a new smokeless product category as an alternative to cigarettes with an investment of around USD 917.43 million. The growth of the market is also attributed to a rise in premium and attractive packaging products in the market. , KEY MARKET SEGMENTS, By Product, Chewing Tobacco , Snuff , Others , By Distribution Channel (Revenue, USD Billion, 2015 - 2025) , Online , Offline , By Regional (Revenue, USD Billion, 2015 - 2025) , North America , The U.S. , Canada , Europe , Sweden , Norway , Asia Pacific , India , Central & South America , Middle East & Africa , Algeria , South Africa , KEY MARKET PLAYERS, Altria Group , British American Tobacco , Imperial Tobacco Group , Gallaher Group Plc , Universal Corporation , Reynolds Tobacco Company".
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