British American Tobacco’s VELO nicotine pack grew 185% year on year in the US to 7.9% market share, and its new VELO Plus gained 5.4% market share in just 12 weeks, while rival ZYN’s market share slipped to 55%, although Philip Morris claims its actual share is higher and growing faster than the overall market.
Key points:
- British American Tobacco’s VELO nicotine bag sales in the US market grew 185% year-on-year, with a market share of 7.9%.
- Only 12 weeks after its launch, Velo Plus has a market share of 5.4%.
- Rival ZYN’s market share slipped to 55%, with Philip Morris International saying its actual share was higher and growing faster than the overall market.
According to Tobaccoinsider reported on March 13, NielsenIQ (NielsenIQ) latest report shows that in the week ending February 22, 2025, British American Tobacco (BAT) nicotine bag VELO four-week rolling sales in the US market increased 185.0% year-on-year, the market share reached 7.9%. Among them, the implied share of VELO in the latest week was about 10%, which is in line with BAT’s previous statements.
VELO’s growth was driven mainly by consumer acceptance and retail expansion of VELO Plus, which achieved a national market share of 5.4% in the latest week, just 12 weeks after its launch. VELO Plus comes in a bag form that is larger, softer and more humid than the traditional “dry” ZYN and regular VELO.
According to Nielsen IQ data, ZYN continued to lose ground, growing only 13.2% year-over-year, and its market share nearly slipped to 55%. Despite this, PMI claims that its ZYN market share is 10% higher than Nielsen IQ’s data (roughly 65% according to Circana), and highlights that ZYN is growing faster in the U.S. than the overall nicotine bag category (i.e. its market share has increased).
