BAT's Nicotine Pouch VELO Sees Rapid Growth in US

Mar.17.2025
BAT's Nicotine Pouch VELO Sees Rapid Growth in US
British American Tobacco's nicotine pouch VELO's US market share rises by 185%, reaching 7.9%, surpassing competitors like ZYN.

Key points:

 

1. The nicotine pouch VELO, under the BAT (British American Tobacco) brand, saw a 185% year-on-year increase in sales in the US market, with a market share of 7.9%.

 

2. Velo Plus was launched only 12 weeks ago, capturing a market share of 5.4%.

 

3. ZYN's market share has dropped to 55%, while Philip Morris International (PMI) claimed that its actual share was higher and growing faster than the overall market.

 


 

2Firsts, reporting from Shenzhen - NielsenIQ report shows British American Tobacco's Velo nicotine pouch sales in the U.S. surged 185% year-on-year for the four-week period ending February 22, 2025, with market share reaching 7.9%, Tobaccoinsider reported.

 

The report also indicated that VELO's implied market share for the latest week was approximately 10%, in line with BAT's previous statement.

 

VELO's growth was mainly attributed to the consumer acceptance of VELO Plus and retail expansion. Just 12 weeks after its launch, the product has captured a 5.4% market share nationwide. 

 

Compared to the traditional "dry" ZYN and regular VELO, VELO Plus came in a larger, softer, and more moist pouch format.

 

According to Nielsen IQ data, ZYN continued to lose its edge, with year-over-year growth of only 13.2%, and its category share dropping to close to 55%. 

 

However, PMI claimed that ZYN’s category volume was 10% higher than reported by NielsenIQ (approximately 65% according to Circana data), and emphasized that ZYN was growing faster than the overall nicotine pouch market in the U.S.

 

We welcome news tips, article submissions, interview requests, or comments on this piece.

Please contact us at info@2firsts.com, or reach out to Alan Zhao, CEO of 2Firsts, on LinkedIn


Notice

1.  This article is intended solely for professional research purposes related to industry, technology, and policy. Any references to brands or products are made purely for objective description and do not constitute any form of endorsement, recommendation, or promotion by 2Firsts.

2.  The use of nicotine-containing products — including, but not limited to, cigarettes, e-cigarettes, nicotine pouchand heated tobacco products — carries significant health risks. Users are responsible for complying with all applicable laws and regulations in their respective jurisdictions.

3.  This article is not intended to serve as the basis for any investment decisions or financial advice. 2Firsts assumes no direct or indirect liability for any inaccuracies or errors in the content.

4.  Access to this article is strictly prohibited for individuals below the legal age in their jurisdiction.

 

Copyright

 

This article is either an original work created by 2Firsts or a reproduction from third-party sources with proper attribution. All copyrights and usage rights belong to 2Firsts or the original content provider. Unauthorized reproduction, distribution, or any other form of unauthorized use by any individual or organization is strictly prohibited. Violators will be held legally accountable.

For copyright-related inquiries, please contact: info@2firsts.com

 

AI Assistance Disclaimer

 

This article may have been enhanced using AI tools to improve translation and editorial efficiency. However, due to technical limitations, inaccuracies may occur. Readers are encouraged to refer to the cited sources for the most accurate information.

We welcome any corrections or feedback. Please contact us at: info@2firsts.com

From Nicotine Pouches to Soft Candy Forms: China Tobacco Hubei explores adjustable-release oral nicotine products
From Nicotine Pouches to Soft Candy Forms: China Tobacco Hubei explores adjustable-release oral nicotine products
China-based China Tobacco Hubei Industrial Co., Ltd. has filed a patent application covering an oral nicotine product and its preparation method. The patent proposes a soft candy-shaped oral nicotine product containing nicotine ingredients, gelling agents, sweeteners and alkaline pH regulators. Through formulation adjustments and homogeneous or dual-layer structures, the technology aims to achieve different nicotine release profiles. The filing reflects exploration of new oral nicotine product formats and controlled nicotine delivery approaches.
Aug.06
Product | JT Expands Vote-Winning EVO Cacao Mint Crystal to Nationwide Retail in Japan, Adds 22-Stick Limited Pack at Same Price
Product | JT Expands Vote-Winning EVO Cacao Mint Crystal to Nationwide Retail in Japan, Adds 22-Stick Limited Pack at Same Price
Japan Tobacco (JT) will expand EVO Cacao Mint Crystal from limited channels to nationwide retail in Japan from October 6, 2026. The Ploom tobacco stick ranked first in the brand's first consumer voting campaign for new tobacco-stick SKUs held earlier this year. JT will also introduce a limited 22-stick pack at the same JPY 620 price as the standard 20-stick pack. The capsule-format product combines menthol with sweet, bittersweet cacao notes and adds a berry nuance when the capsule is crushed.
Sep.09
Bret Koplow Takes Permanent Charge of FDA Tobacco Center After Pushing Faster PMTA Reviews, as HHS Emphasizes Innovation and Access to Lower-Risk Alternatives
Bret Koplow Takes Permanent Charge of FDA Tobacco Center After Pushing Faster PMTA Reviews, as HHS Emphasizes Innovation and Access to Lower-Risk Alternatives
The U.S. Department of Health and Human Services has named Bret Koplow permanent director of the FDA’s Center for Tobacco Products, ending his period as acting chief. Koplow has spent years working on tobacco regulation, law and policy inside the FDA and, while serving as acting director, pushed for faster PMTA reviews and nicotine pouch review pilots. HHS also said CTP will prioritize innovation and access to less harmful alternatives for adult smokers while continuing efforts to protect youth.
Sep.09
Why AIRSCREAM Built its European Production Hub for Regulated Market Growth
Why AIRSCREAM Built its European Production Hub for Regulated Market Growth
AIRSCREAM’s production hub in the Czech Republic brings nicotine pouch manufacturing, e-liquid bottling, product documentation, warehousing and international logistics into one operation, giving brands and commercial partners a practical platform from which to launch, expand and enter new markets.
Market
Sep.16 by 2Firsts Perspectives
Philippines Weighs Unified Vape Tax as Lawmakers Back Risk-Based Rates and Government Seeks to Fill ₱66 Billion Revenue Gap
Philippines Weighs Unified Vape Tax as Lawmakers Back Risk-Based Rates and Government Seeks to Fill ₱66 Billion Revenue Gap
Philippine lawmakers are considering an overhaul of the country's vape excise-tax regime to eliminate the wide gap between taxes on nicotine salt and freebase nicotine liquids and reduce incentives for misdeclaration. House Bill 5364, filed by Rep. Rufus Rodriguez and Rep. Maximo Rodriguez Jr., would impose a unified ₱10-per-milliliter tax on vapor products, with 5% annual increases beginning in 2027. Rodriguez says the proposal could generate an average ₱6 billion in annual collections from 2027 through 2030. The debate comes as the Philippine government considers tobacco, vape and other health-tax reforms to help offset around ₱66 billion in revenue expected to be forgone under a proposed tax-relief package.
Aug.18
U.S. Expands Illicit Vape Enforcement as ATF Brings PACT Act Powers Into Trade Fraud Task Force
U.S. Expands Illicit Vape Enforcement as ATF Brings PACT Act Powers Into Trade Fraud Task Force
The U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives said on September 23 that it has joined the interagency Trade Fraud Task Force to strengthen enforcement against illegal, misdeclared and smuggled vape and tobacco products. ATF will bring its authority under the Prevent All Cigarette Trafficking Act into the task force, including registration, reporting, shipping and record-inspection requirements covering interstate sales of electronic nicotine delivery systems. ATF said the move will strengthen its ability to trace illicit products from U.S. points of entry through domestic trafficking and distribution networks.
News
Sep.28 by 2Firsts Perspectives