Nicotine Pouches Find New Frontiers in Convenience and Travel Retail
The nicotine pouch market is undergoing explosive growth, fueled by evolving consumer preferences and a hunger for smokeless, discreet alternatives.
RETAILBOSS provides well-curated, research-driven news and insights into the trends…
The nicotine pouch market is undergoing explosive growth, fueled by evolving consumer preferences and a hunger for smokeless, discreet alternatives. Valued at approximately $7.6 billion globally in 2024, the nicotine pouch industry is projected to surge to $143.1 billion by 2035, driven by a compound annual growth rate of 30.1%. This rapid expansion is powered by product innovation, increased consumer demand for reduced-risk nicotine options, and the swift proliferation of new sales channels—particularly convenience stores, e-commerce, and travel retail. As traditional smoking areas shrink and the appetite for alternatives grows, nicotine pouches are finding their place on backbars, in digital carts, and even in airport micro markets.
Once a niche product, nicotine pouches are now becoming a mainstay in the broader retail ecosystem. As traditional tobacco categories decline in many markets, these small, smokeless pouches are emerging as a modern solution for adult consumers seeking clean, discreet, and regulation-compliant nicotine delivery systems. The recent FDA authorization of 20 ZYN nicotine pouch products in January 2025 marked a significant regulatory milestone, further legitimizing the category in the U.S. and paving the way for broader acceptance and growth.
What Are Nicotine Pouches and Why Are They Booming?
Nicotine pouches are small, white, smokeless packets placed under the upper lip to deliver nicotine without any tobacco leaf content. Unlike traditional snus or chewing tobacco, these products are odorless, spit-free, and highly discreet, appealing to modern, mobile consumers. Leading brands such as ZYN, on!, Velo, Rogue, and zone offer a wide range of flavors and strengths, from mellow mint to bold coffee and citrus blends. A full spectrum of options can be found at Prilla, a leading online marketplace for nicotine pouches. Flavor variety and flexibility in nicotine strength are central to the category’s appeal. Products are tailored to meet the evolving tastes of adult users, whether they’re new to nicotine or transitioning away from cigarettes or vapes.
This innovation has also attracted regulatory attention. In January 2025, the U.S. Food and Drug Administration (FDA) authorized the marketing of 20 ZYN nicotine pouch products through the premarket tobacco product application (PMTA) pathway—the first such authorization for this category. The FDA’s decision was based on evidence that these products pose lower risks of cancer and other serious health conditions compared to cigarettes and most smokeless tobacco products, and that they may benefit adults who switch completely from smoking or smokeless tobacco.
Nicotine pouches are especially attractive because they can be used in settings where smoking or vaping is banned—on flights, in workplaces, and during meetings—making them a go-to for busy professionals, travelers, and anyone seeking discretion. As societal and workplace norms tighten around traditional tobacco, the pouch format is positioned as a forward-thinking solution for the modern nicotine consumer.
From Gas Stations to Gate Lounges: Retailers Cash In on the Pouch Boom
Retailers are quickly adapting to the growing demand. According to Goldman Sachs, convenience stores are expanding shelf space for nicotine pouches more than for any other nicotine segment, with backbar space for oral nicotine pouch brands increasing by 4.9% in Q2 2024. Oral nicotine products have secured a prominent place in retail outlets, driven by both consumer demand and a drop in traditional smokeless tobacco usage.
Online platforms such as Prilla.com and others are building direct-to-consumer empires, offering subscription services, curated selections, and rapid shipping. E-commerce is especially important for tech-savvy buyers in urban areas and regions with limited brick-and-mortar tobacco retail options.
Travel retail is also emerging as a significant growth engine. Brands like ANDS, originally focused on vaping, are now expanding into nicotine pouches and heated tobacco devices, reporting double-digit growth in airport retail. The rise of airport micro markets—automated self-service kiosks and mini-retail spaces—allows travelers to purchase smokeless nicotine products alongside snacks and drinks, catering to the grab-and-go mindset of modern travelers.
The convergence of smokeless innovation and airport retail convenience is a calculated response to changing consumer behaviors. With smoking bans in terminals and the rise of frictionless shopping, nicotine pouches are well-positioned to thrive in this hybrid space of convenience and discretion.
Conclusion
With a rapidly maturing market, nicotine pouches are no longer a fringe product. They are leading a shift in how, where, and why adult consumers engage with nicotine. FDA authorization has validated the category, and expanding channels like convenience stores, e-commerce, and travel retail are fueling its growth. The nicotine pouch boom is just beginning, and retailers who adapt early are poised to benefit from this transformation in nicotine consumption.
RETAILBOSS provides well-curated, research-driven news and insights into the trends and business aspects of the rapidly evolving retail industry.