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July 2, 2020, 2:15 p.m. EDT

Tobacco Market Size, Share, Trends, Revenue And Future Growth Analysis 2027 | Grand View Research, Inc.

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Jul 02, 2020 (AB Digital via COMTEX) -- The global tobacco market size is expected to reach USD 1.08 trillion by 2027, according to a new report by Grand View Research, Inc., expanding at a CAGR of 3.1% over the forecast period. Increased number of smokers at the global level, coupled with new product launches in flavored tobacco products, including clove cigarette and menthol cigars, is expected to drive the market over the next few years.

According to the American Lung Association, between 2016 and 2017, among the current cigarette smokers, a substantial increase has been observed in the proportion of people smoking fewer than 15 cigarettes a day. Additionally, from 2014 to 2017, the number of adults who had ever used electronic cigarettes increased 14% from 12.6% to 14.4%. It was also found that from 2011 to 2019, the use of electronic cigarettes increased 1650% among middle school students from 0.6% to 10.5%.

The tobacco companies having been launching new products to cater to the changing demand of millennials and generation Z. For instance, in February 2018, Japan Tobacco Inc. launched heat-not-burn” (HNB) product in Japan. The company further strategized to spend over JPY 100 billion over the next three years on R&D of reduced-risk products (RRP) and cigarette alternatives, which do not utilize the combustible ingredients to produce nicotine.

Furthermore, in July 2019, Philip Morris opened its flagship stores in Johannesburg. The store is expected to draw a large number of tourists and businessmen from all across Africa. The store is established in the land area of 160 square meters and has minimalistic interiors with lounge couches, bright lighting, and an information section. The consumers can get informed about the effects of cigarette as well as IQOS through the utilization of machine that emits a white cloudy smoke and brownish smoke for IQOS and normal cigarettes, respectively. The store focuses on detailed information, demonstrations, and videos about IQOS.

Request a Sample Copy of the Tobacco Market Research Report @ https://www.grandviewresearch.com/industry-analysis/tobacco-market/request/rs1

Tobacco Market Report Highlights

  • By product, cigarettes generated a revenue of USD 598.40 billion in 2019. This is attributed to the influential promotion of tobacco products. The industries’ capability to manipulate the government policies in various counties across the globe has also played a crucial role in the growth of the product

  • Next generation products are expected to register the fastest CAGR of 10.7% from 2020 to 2027 owing to growing adoption of these products in developed markets. These products are considered to be potentially less harmful than the conventional tobacco products

  • Asia Pacific dominated the market with more than 35.0% share of the global revenue in 2019. Wide penetration of tobacco products in various countries, including China Vietnam, Philippines, Thailand, Indonesia, Malaysia, Bangladesh, and India is a key driver

  • Middle East and Africa is expected to exhibit the fastest CAGR of 4.4% from 2020 to 2027. Improved economic indicators in the countries of Middle East and Africa as a result of supportive government policies to increase the availability of food and tobacco products to the rural and urban population are expected to remain a key factor driving the industry.

Have Any Query? Ask Our Experts@ https://www.grandviewresearch.com/inquiry/401/ibb

Tobacco Market Segmentation

Grand View Research has segmented the global tobacco market on the basis of product and region:

Tobacco Product Outlook (Revenue, USD Billion, 2016 - 2027)

  • Smokeless

  • Cigarettes

  • Cigar & Cigarillos

  • Next Generation Products

  • Waterpipes

  • Others

Tobacco Regional Outlook (Revenue, USD Billion, 2016 - 2027)

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