Nicotine Replacement Therapy Market Size, Share, and Trends 2024 to 2033

Nicotine Replacement Therapy Market Size and Forecast

The global nicotine replacement therapy market size was USD 69.23 billion in 2023, calculated at USD 80.53 billion in 2024 and is expected to reach around USD 313.93 billion by 2033, expanding at a CAGR of 16.32% from 2024 to 2033. The rise in the number of cigarette smokers across the world is driving the growth of the nicotine replacement therapy market.

Nicotine Replacement Therapy Market Key Takeaways

• Asia Pacific led the market with the largest revenue share of 41% in 2023.
• North America is expected to attain the fastest rate of growth during the forecast period.
• By product, the e-cigarettes segment has generated more than 47% of revenue share in 2023.
• By product, the heat-not-burn tobacco products segment is expected to expand at a soldi CAGR of 19.13% during the forecast period.
• By distribution channel, the offline segment has held the biggest revenue share of 82% in 2023.
• By distribution channel, the online segment is projected to grow with the highest CAGR of 19.42% during the forecast period.

Asia Pacific Nicotine Replacement Therapy Market Size and Growth 2024 to 2033

The Asia Pacific nicotine replacement therapy market size was exhibited at USD 28.38 billion in 2023 and is projected to be worth around USD 130.28 billion by 2033, poised to grow at a CAGR of 16.46% from 2024 to 2033.

Asia Pacific held the largest nicotine replacement therapy market share in 2023 and is expected to maintain its dominance throughout the forecast period. The growth of this region is mainly driven by rising government initiatives in countries such as India, China, South Korea, Japan, and others to strengthen the healthcare sector.

• In the budget of 2023-2024, the Indian government announced to invest an amount of Rs 89,155 crore for developing health research and health & family welfare.

The rising developments in the biopharma sector, along with the presence of several tobacco companies in India, Japan, and China, drive the nicotine replacement therapy market growth. Also, the rising advancements in science and technology, along with affordable prices of raw materials, are likely to drive market growth. Moreover, the presence of several market players such as Japan Tobacco, Rusan Pharma, Cipla, Rubicon Research, and some others are constantly engaged in developing NRT therapies and adopting several strategies such as launches, collaborations, and acquisitions, which in turn drives the growth of the nicotine replacement therapy market in this region.

• In April 2023, Rusan Pharma launched a campaign named “No Reason Is Good Enough. This campaign was launched to promote its tobacco de-addiction brand called ‘2baconil’.
• In October 2022, Altria joined hands with Japan Tobacco. This joint venture is done with the aim of selling smoke-free products such as e-cigarettes and heat-not-burn tobacco products to people in Japan.

North America is expected to be the fastest-growing region during the forecast period. The increasing demand for sublingual tablets and transdermal patches in this area is the primary driver of this segment's growth. The nicotine replacement therapy market is expanding as a result of growing expenditures made in the NRT industry by both governmental and private sector organizations. The market for nicotine replacement therapy has expanded as a result of the growing popularity of e-cigarettes and the rising demand for over-the-counter (OTC) NRT among consumers in the United States, Canada, Mexico, and other nations. Furthermore, the market is increasing to some part because of the rising demand for thermal tobacco products in addition to e-cigarettes to help individuals reduce their smoking behaviors.

The rise in government initiatives to stop cigarette smoking and the availability of a suitable supply chain boosts the market growth. Also, rising cases of CVDs and cancers in this region increase the demand for various nicotine replacement therapies as a preventive method, thereby driving the market growth. Additionally, the presence of several online platforms, along with growing developments in internet facilities, is expected to drive nicotine replacement therapy market growth in this region.

• According to the Canadian Cancer Statistics 2023, about 1 in 4 Canadian people is expected to die from cancer every year. It also estimated that cancer-related cases in men are slightly more than females in Canada

The presence of a well-established biopharma industry in the U.S. and Canada, along with rising development in healthcare infrastructure in this region, is driving the market growth. Moreover, presence of several local manufacturers of nicotine replacement therapy, such as Pfizer, Johnson & Johnson Private Limited, Perrigo, and some others, are engaged in manufacturing superior nicotine replacement therapies and adopting several strategies such as launches, collaborations, and acquisitions, which in turn drives the growth of the nicotine replacement therapy market in this region.

• In May 2023, Perrigo announced that the U.S. Food and Drug Administration had approved Perrigo’s nicotine-coated mint lozenges (2 mg and 4 mg) over-the-counter (OTC) tablets for sale in the North American region.

Market Overview

The nicotine replacement therapy market has grown rapidly with the developments in the healthcare industry. This industry mainly deals with providing risk-free alternatives to tobacco to people around the world. Nicotine replacement therapy is approved medically to treat people who are highly addicted to tobacco and cigarettes. This therapy involves the use of several products for treating people, mainly inhalers, gum, transdermal patches, sublingual tablets, lozenges, and some others. These products are available both online and offline. The growing number of tobacco-obsessed people, along with the rising advancements in nicotine replacement therapies, is supplementing the market growth positively. This market is expected to grow exponentially with the growth in the pharmaceutical industry.

• Fertin Pharma A/S made an announcement stating that the high-quality chewing gum and lozenge systems that are applied in Nicotine Replacement Therapy ("NRT") was the highest revenue-capturing segment of the company in 2022.

Nicotine Replacement Therapy Market Growth Factors

• The growing developments in the healthcare industry are expected to drive the growth of the nicotine replacement therapy market.
• The rising government initiatives to strengthen the biopharma industry have driven market growth.
• The increasing demand for OTC-based nicotine replacement therapy (NRT) fosters the market growth.
• The growing investments from public and private sector entities for developing the nicotine replacement therapy industry propels the market growth.
• The rising prevalence of cardiovascular diseases (CVD) and cancer among people propels the market growth to some extent.
• Increasing adoption of nicotine gums across the world is expected to boost market growth.
• The rise in the number of government initiatives in several countries that forbid people from cigarette smoking boosts the market growth.
• The growing number of smoke rehabilitation centers across the world has impacted the nicotine replacement therapy market growth positively.

Nicotine Replacement Therapy Market Scope

Nicotine Replacement Therapy Market Dynamics

Driver

Rising cases of lung cancers and CVDs (cardiovascular diseases)

The people around the world are facing several acute and chronic diseases. These diseases are either inherited or acquired from external sources. The habit of cigarette smoking has gained serious attention in recent times for various reasons, such as anxiety, depression, psychiatric disorders, and others. Thus, a high rate of cigarette smoking among men and women can lead to serious chronic diseases such as emphysema and chronic bronchitis that increase the demand for nicotine replacement therapy as a curative measure, thereby driving the market growth.

The rising number of lung cancer cases in countries such as China, the U.S., Japan, India, and others has increased the demand for nicotine replacement therapy (NRT) for treating this disease, which in turn drives the growth of the nicotine replacement therapy market.

Also, the prevalence of several types of cardiovascular diseases, such as coronary artery disease, peripheral artery disease, carotid artery disease, and some others, has increased rapidly in recent times. These diseases are mainly caused due to excessive cigarette smoking and tobacco consumption. Thus, nicotine replacement therapy can act as a preventive measure for such diseases, thereby driving market growth. According to the American Heart Association, the number of patients suffering from cardiovascular diseases in 2020 was 28 million and is expected to reach 45 million by 2050.

Restraint

Strict rules and side effects

The application of nicotine replacement therapy has gained immense attention in recent times. Although there are several applications of nicotine replacement therapy (NRT), there are several problems associated with it. Firstly, there are several government regulations that restrict the use of nicotine replacement therapy due to various problems associated with it. Secondly, this industry faces severe problems due to the side effects of this therapy, such as nausea, insomnia, headaches, vomiting, skin irritation, and throat soreness. Thus, stringent rules, along with several side effects of nicotine replacement therapy, are likely to restrain the market growth to some extent.

Opportunity

The growing integration of AI in the NRT industry

The nicotine replacement therapy industry has gained prominent attention due to several advantages over traditional methods. The advancements in AI technology and the growing developments of AI chatbots for the NRT industry have started recently. With the use of AI chatbots, smokers can get several suggestions on how to quit cigarette smoking. Thus, the rising integration of AI in the NRT industry is expected to create ample growth opportunities for the market players in the upcoming days.

• In January 2024, Fred Hutch launched QuitBot. QuitBot is an AI-powered chatbot designed to help smokers to quit cigarette smoking.

Product Insights

The e-cigarettes segment held the largest nicotine replacement therapy market share in 2023. The growth of this segment is generally driven by the rising number of cigarette smokers around the world. Also, the growing awareness of e-cigarettes being safer than real cigarettes, along with the availability of e-cigarettes with added flavors such as menthol, mint, and others, boosts the market growth. Moreover, the rise in the number of vape shops coupled with rising developments in e-cigarette technologies such as pod systems and squonk mods is likely to drive the market growth. Additionally, several NRT companies are constantly engaged in developing cost-effective e-cigarettes with superior efficacy and adopting several strategies such as launches, approvals, partnerships, and others, which in turn are expected to drive the growth of the nicotine replacement therapy market.

• In June 2024, Altria announced that the U.S. Food and Drug Administration had approved Altria’s four menthol e-cigarettes for commercial use in the U.S.

The heat-not-burn tobacco products segment is estimated to be the fastest-growing segment during the forecast period. This segment is generally driven by the rising demand for effective therapies to quit smoking. Also, the rising application of heat-not-burn products to lower tobacco intensity is boosting market growth. Moreover, several NRT companies are launching various heat-not-burn tobacco or heated tobacco products that help to reduce the effect of tobacco among smokers, which is likely to drive the growth of the nicotine replacement therapy market.

• In April 2024, Philip Morris launched IQOS in the U.S. IQOS is a heated tobacco device that uses heat control technology that helps people switch towards smoke-free alternatives.

Distribution Channel Insights

The offline segment dominated the nicotine replacement therapy market in 2023. The growth of this segment is generally driven by the growing demand for e-cigarettes among the youth. Also, the rise in the number of pharmacies across the world, along with growing development in retail chains, boosts the market growth. Moreover, the increasing availability of NRT products in retail pharmacies, along with the rising partnerships among hospitals and pharmacies, has driven the market growth. Additionally, the rise in government investments in strengthening the retail pharma sector is likely to boost market growth.

• In September 2023, the government of India announced that it would invest around Rs 25,813 crore to strengthen the retail pharma sector across the country.

The online segment is expected to be the fastest-growing segment during the forecast period. This segment is generally driven by the rising proliferation of smartphones around the world. Also, the growing adoption of online platforms for people to purchase medicines fosters market growth. Moreover, the rise in the number of e-commerce sites that deal with NRT therapies is likely to boost market growth. The most popular e-commerce companies include Amazon, Alibaba, Walmart, eBay, and others.

Nicotine Replacement Therapy Market Companies

• Cipla Inc.
• Pfizer Inc.
• Fertin Pharma
• Philip Morris Products S.A.
• British American Tobacco plc
• Glenmark Pharmaceuticals
• Japan Tobacco Inc.
• Imperial Brands plc
• Johnson & Johnson Private Limited

Recent Developments

• In May 2024, Ventus Medical LTD announced that it had submitted ‘ENHALE’ for UK Marketing Authorization. ENHALE is a next-generation smoking alternative product for tobacco product users.
• In May 2024, Ryze Nicotine Gums announced a partnership with 100 Days. This partnership is being done to launch nicotine gums in several flavors, such as mint, saunf, fruit, pudina, and paan, in the Indian market.
• In February 2024, Spring Health partnered with 2Morrow. This partnership is done to launch a new smoking cessation program in the U.S.
• In January 2024, Lupin launched Varenicline tablets. Varenicline tablet is an FDA-approved therapy for chain smokers.
• In October 2023, BC Cancer’s Smoking Cessation Program launched a Nicotine Replacement Therapy (NRT) program to help cancer patients quit smoking.
• In October 2023, Japan Tobacco launched Ploom X Advanced. Ploom X Advanced is an advanced heated tobacco device that helps reduce the risk potential among cigarette smokers.
• In July 2023, Pines Health Services launched a new nicotine replacement therapy program for helping patients of Caribou to quit smoking.

Segments Covered in the Report

By Product

• Nicotine Replacement Therapy
  • Inhalers
  • Gum
  • Transdermal Patches
  • Sublingual Tablets
  • Lozenges
  • Others
• Heat-not-burn Tobacco Products
• E-cigarettes

By Distribution Channel

• Online
• Offline

By Geography

• North America
• Asia Pacific
• Europe
• Latin America
• Middle East & Africa