Global Heated Tobacco Products Market Analysis by Product, Distribution Channel, Region and segments forecast till 2033

Market Overview

The global heated tobacco products market is presently worth USD 12,480 million and is poised to amplify at a CAGR of 32.8%, thereby amassing a valuation of USD 120,700 million by end of the assessment timeframe.

Report Scope

Heated tobacco products are made by heating tobacco leaves at a lower temperature than that in case of conventional cigarettes. These products contain a low amount of nicotine and other chemicals which are inhaled by the users into their lungs. A wide array of technological devices are used to heat real tobacco within a fixed temperature range which is controlled using an electronic heat-control system. Heated tobacco poses lesser health risks in contrast to burned tobacco which in turn is increasing its adoption across the globe.

The rapid decline in the sales of traditional cigarettes powered by the escalating demand for Reduced Risk Products (RRPs) is primarily augmenting the outlook of this marketplace. Additionally, growing prevalence of respiratory ailments induced by the consumption of combustible cigarettes is creating lucrative opportunities for the industry vertical to prosper.

Furthermore, integration of advanced technologies in the field along with stringent government regulations restricting tobacco consumption across several nations are positively swaying the dynamics of this business sphere. Moreover, growing R&D activities in the field and rising health consciousness of the masses are adding momentum to the progression of this industry. Also, the growing inclination of millennials towards safe tobacco substitutes is stimulating the overall market dynamics.

On the contrary, high costs pertaining to these products coupled with the lack of proper scientific evidence proving their benefits are hindering the remuneration scope of this industry. Excessive tobacco consumption is one of the major causes behind respiratory and cardiac ailments. This has escalated the demand for safe tobacco substitutes across the globe. Heated tobacco products contain lower amount of nicotine and ensures a lower intensity of harmful chemicals due to their non-combustible nature. This in turn is adding traction to the overall market development.

With rapid integration of advanced technologies in the field, top market players have increased the focus onto developing safe substitutes for traditional cigarettes. They are adopting battery-powered heating systems to facilitate the fast and efficient production of heated tobacco products. These factors are fueling the overall industry progression.

Product Insights

The stick segment is anticipated to garner notable returns over the estimated timeframe. This is attributable to its ease of use and escalating demand for heated tobacco products as a premium tobacco substitute.

Distribution Channel Insights

The online segment is expected to amass significant gains over the projected timeline ascribing to the widespread evolution of the e-commerce sector along with the growing internet penetration worldwide.

Regional Insights

North America, Middle East & Africa, Europe, Asia Pacific, and South America are the primary regions influencing the growth trajectory of this business vertical. Among these, Europe is anticipated to capture a substantial revenue share over the stipulated timeframe of 2023-2033. This is credited to the growing e-cigarette consumption, presence of potential players, and rising pervasiveness of tobacco induced ailments.

Competitive Analysis

The prominent companies characterizing the competitive terrain of this marketplace are British American Tobacco, Imperial Brands, JT International AG, Korea Tobacco & Ginseng Corporation, PAX Labs, Inc., Philips Morris International, SHENZHEN AVBAD TECHNOLOGY CO., LTD, Shenzhen Royal Tobacco Industrial Ltd, Shenzhen Yukan Technology Co., Ltd., Vapor Tobacco Manufacturing LLC (3T Organic), Altria Group Inc., and Ballantyne Brands LLC.

·         Notably, in August 2021, Japan Tobacco, Inc. announced the launch of its next-gen heated tobacco stick device range named Ploom X.

Global Heated Tobacco Products Market- Segmental Analysis

By Product

·         Stick

·         Leaf

By Distribution Channel

·         Online

·         Offline

Why to buy this Report?

The report provides quantitative and qualitative aspect for Global Heated Tobacco Products Market in terms of value and volume, along with supporting market trends, challenges, restraints.

The report provides an in depth analysis from both Product Sizeion and consumption point of view at the regional and country level. Key Factors considered within the report scope are Product Sizeion capacity by countries/regions, average End Use, consumption ratio, revenue earned and gross margin.

The report provides competitive analysis of around 30-50 companies operated in Global Heated Tobacco Products Market, these companies are bifurcated into niche players, the leaders and major contenders. The companies are analyzed in terms of following factors such as:

•             Business Model

•             Product Sizeion Capacity, Revenue, Sales, Gross Margin

•             Key Business Strategy

•             SWOT Analysis

In terms of competitive landscape, the report provides distinctive factors that would help the Card Product Size in taking a key decision within the business:

•             Company Share Analysis from 2020-2022

•             Company Analysis by Revenue and Sales

•             Company Product Size Capacity, Gross Margin

•             Company Share Analysis by Card Product Size/Card Product Size

•             Company Share Analysis by Product Size/Specification