FEATURE
NICOTINE POUCHES
40 ASIAN TRADER 19 SEPTEMBER 2025
maximum visibility to customers.
Counter display units (CDUs) are
particularly important for
introducing customers to new
brands, as confirmed by
McGeough, of Übbs Pouches: “We
always offer a CDU to new
retailers, as it’s important to
create a space for the brand
whenever possible.”
Jhingan adds: “We currently
offer a number of different display
solutions to accommodate
different sized stores, all of which
ensure maximum visibility to
those entering, so please speak to
your STG rep to find the best
solution for your store.”
Übbs Pouches, after gathering
consumer feedback from a
number of sampling
initiatives, has recently
launched a packaging
refresh, coinciding
with its launch at
Booker, with the aim
of making the labelling
clearer, and more eye-catch
ing on the shelf.
“Our new look packaging is a
reflection of what our customers
have been asking for – a visual
representation of each flavour
that can be recognised instantly.
We’re very excited to see the
reaction as this rolls out towards
the end of September,”
McGeough says, adding that the
partnership with Booker
represents a “significant
expansion of our presence
throughout the UK, with 100 top
performing depots added to our
network.”
Staff training and
education
Given that nicotine pouches
remain a relatively new category
for many consumers, staff
training emerges as a critical
success factor. The complexity of
the category, with its various
strengths, flavours, and formats,
requires knowledgeable staff who
can guide customers to appropri
ate products.
“Like any nicotine product, it
is essential that staff are well-
trained and have a good under
standing of their full product
portfolio,” emphasises Matot.
This training becomes particu
larly important given the
regulatory requirements
surrounding nicotine products,
including age verification and
health warnings.
“In line with PMI’s strict
marketing practices, we ensure
that legal-aged nicotine users
understand that while ZYN
products are not risk-free and
contain nicotine, which is
addictive, they release 99 per cent
less harmful chemicals compared
to cigarettes. ZYN cans display an
18+ icon, tactile warning labels,
and health warnings,” Matot adds.
A caveat: 99 per cent less
represents the average reduction
in levels of nine harmful chemi
cals the World Health Organisa
tion recommends to reduce in
cigarette smoke which do not
include nicotine, but this
does not necessarily
equal a 99 per cent
reduction in risk.
Philip Morris
augments their
marketing practices by
providing retailers with
information through their field
force, including Youth-Access
Prevention measures like
Challenge 25.
Übbs Pouches has made
retailer education a cornerstone
of its strategy. “Our most
important initiative this year has
been retailer education through
field sales and follow up visits,”
McGeough explains. “We’ve
invested heavily in training our
field sales teams to understand
the strengths and challenges
around nicotine pouches. This
knowledge is passed on to our
retailers, which allows customers
to purchase with confidence,
knowing that they’ve found a
flavour and strength that works
for them.”
This educational approach has
yielded impressive results, with
Übbs reaching 6,000
independent retailers
across the UK. The
company provides
educational leaflets that
explain the category to
both staff and custom
ers, recognising that
considerable education
al work remains to be
done in this emerging
market.
In rapidly growing
categories, product
quality becomes a potential
risk factor for retailers.
McGeough positions his
company’s manufacturing
approach as a critical differentia
tor: “In terms of product, all Übbs
pouches are made to pharmaceu
tical standards, so we’re very
confident in the effectiveness of
our unique nicotine blend and
carefully selected flavours.”
Margins and benefits
Beyond the growth potential,
nicotine pouches offer attractive
financial benefits for retailers. The
category generally provides good
profit margins, with some brands
offering particularly compelling
returns.
“Remember, nicotine pouches
offer attractive profit margins in
general, but I’m pleased to
confirm that XQS in particular
offers one of the highest margins
of all pouch brands, which is yet
another reason to ensure you are
well-stocked,” notes Jhingan.
The timing couldn’t be better
for convenience retailers. “The
recent ban on single use vape
products has undoubtedly given
retailers a headache by leaving
gaps in their revenue as well as
shelf space on the counter or on
the gantry, but this represents a
really good opportunity for
nicotine pouch brands like XQS,
as many next gen nicotine users
are looking elsewhere for
different next gen products, and
pouches offer an extremely
credible alternative,” she
explains.
Navigating the
regulatory landscape
As the nicotine pouch
market flourishes, retailers
must also prepare for
significant regulatory
changes on the horizon.
The Tobacco and Vapes Bill,
currently progressing
through UK Parliament,
will introduce compre
hensive restrictions that
mirror those applied to
traditional tobacco
products, fundamentally
What retailers can do to
maintain and grow sales
Dor Matot, Head of ZYN at Philip Morris
Limited (PML) says responsible in-store
visibility, specifically targeting adult smokers
and legal-aged nicotine users, is crucial for
raising awareness of better, less harmful
alternatives in the convenience channel
Think responsibly: Always age-gate these products to ensure
they are sold only to adult smokers and nicotine users.
Alternative product approach: Consider nicotine pouches not
as a primary nicotine-containing product but as an alternative
that fulfils specific need states where other products may not be
convenient or permitted.
Diverse portfolio: Ensure nicotine pouches are part of a broader
portfolio of smoke-free products to cater to poly-users,
providing a comprehensive selection that meets various
customer needs.