BAT’s Velo challenges Zyn’s dominance in $7B US nicotine market

British American Tobacco’s Velo brand is challenging Philip Morris International’s dominance in the $7 billion U.S. nicotine pouch market.

Rising consumer interest in alternative products threatens Zyn’s current market stronghold. This rivalry underscores the strategic importance of the modern oral nicotine segment as both companies redirect investments toward smokeless products.

British American Tobacco is scaling its Velo and Velo Plus brands globally to drive long-term revenue growth. This expansion aims to offset ongoing volume declines in traditional combustible cigarettes.