Heated Tobacco Gains Favor in Europe
According to a new report from Research and Markets, cigarette sales declined across Western Europe in 2023, but overall regional volumes edged up slightly due to strong growth in Turkey, driven by reduced illicit trade and a rising smoking population. Sa
According to a new report released by Research and Markets, cigarette sales across Western Europe declined in 2023, but the region saw a slight overall increase in cigarette volume due to strong growth in Turkey, driven by a decline in illicit trade and a growing smoking population.
Sales of next-generation heated tobacco products in Western Europe continued to grow. Even though the UK, the region’s largest market, is set to ban disposable vaping devices, this is not expected to significantly affect the trend. Italy remains the region’s leading market for heated tobacco products.
Cigarette sales volumes declined across most of Western Europe due to rising prices caused by global inflation and continued tax hikes, increasing health awareness, and competition from next-generation products. This situation is unlikely to change during the forecast period.
Although growth was slower than in the previous two years, closed-system disposable vaping products in the UK still expanded in 2023. However, due to concerns over the single-use nature of disposable e-cigarettes and their appeal to underage users, the UK government announced that it will ban such products from early 2025, forcing the industry to shift its focus to open-system and other closed-system vaping products.
Nicotine pouches are expected to see strong growth during the forecast period. Sweden will remain the leading national market in Western Europe, while Finland is expected to overtake Denmark as the region’s second-largest market between 2023 and 2028. This is because Finnish authorities will ease sales controls on these products in mid-2023.
By the end of the forecast period, heated tobacco products will account for more than half of total sales across smokeless tobacco, vapor products, and traditional tobacco, and are expected to continue growing in the coming years. Philip Morris International continues to drive the category forward, launching its new IQOS Iluma device and Terea tobacco sticks in the region, while other tobacco giants have also introduced devices such as Ploom (Japan Tobacco International), Glo (British American Tobacco), and Pulze (Imperial Brands).
