Heated tobacco sales recorded positive, but lower growth in 2021 compared to the review period. Excise tax on heated tobacco was raised from EUR75 to EUR160 per kg in 2021, thus raising prices significantly compared to neighbouring countries.
With the ban on menthol cigarettes, a significant number of menthol cigarette consumers switched to HEETS as flavoured HEETS are not banned and offer many flavour variations, which are permitted as they are labelled and positioned as “aromas”.
Philip Morris Latvia launched HEETS in 2018 and dominates category sales in heated tobacco in 2021, being the only player present in the category. With the launch, the company successfully tapped into its existing economies of scale and invested significantly in marketing support for the new technology by putting it in the hands of local social media influencers.
With more people working from home in the wake of the COVID-19 pandemic, making it easier to consume tobacco products, it is expected that e-vapour and heated tobacco products will demonstrate positive growth over the forecast period. Increased health concerns, boosted by the outbreak of COVID-19, which have adapted consumers’ buying habits, will also benefit future sales, as will the introduction of more innovations in the market replacing flavoured tobacco products.
As disposable e-vapour sticks are entering the market, positive prospects are seen for e-vapour in general, with double-digit growth expected until 2022, before growth falls to single digits across the remaining three years. These products attract customers who do not smoke in general but are interested in experimenting occasionally.
Glo from BAT is expected to become available in neighbouring Lithuania in 2022. It is likely that the product will become available in Latvia not long after, thus increasing competition in this fast-growing category.
Files are delivered directly into your account soon after payment is received and any tax is certification is verified (where applicable).
This report comes in PDF with additional info in Excel included.
Understand the latest market trends and future growth opportunities for the Smokeless Tobacco and Vapour Products industry in Latvia with research from Euromonitor International's team of in-country analysts – experts by industry and geographic specialisation.
Key trends are clearly and succinctly summarised alongside the most current research data available. Understand and assess competitive threats and plan corporate strategy with our qualitative analysis, insight and confident growth projections.
If you're in the Smokeless Tobacco and Vapour Products industry in Latvia, our research will help you to make informed, intelligent decisions; to recognise and profit from opportunity, or to offer resilience amidst market uncertainty.
Smokeless Tobacco and Vapour Products
Combined total of the four categories: Smokeless (including moist snuff and chewing tobacco), e-vapour products, heated tobacco and tobacco free oral nicotine.See All of Our Definitions
This report originates from Passport, our Smokeless Tobacco and Vapour Products research and analysis database.
If you purchase a report that is updated in the next 60 days, we will send you the new edition and data extraction Free!