Nicotine Replacement Therapy (NRT) Market Size, Share & Industry Analysis, By Type (Gums, Patches, Lozenges, Inhalers, and Others), By Distribution Channel (Hospital & Retail Pharmacies, Retail Stores, and Online Channels), and Regional Forecast, 2024-2032

The global nicotine replacement therapy (NRT) market size was valued at USD 2.81 billion in 2023 and is projected to grow from USD 2.94 billion in 2024 to USD 4.27 billion by 2032, exhibiting a CAGR of 4.8% during the forecast period (2024-2032). North America dominated the global market with a share of 46.62% in 2023.

Nicotine replacement therapy (NRT) is a treatment comprising the substitution of tobacco products with low doses of nicotine. Different forms of NRT are available in the market, including patches, gums, tablets, inhalers, sprays, and others. NRT helps in reducing smoking withdrawal symptoms and increases the chances of successful quit attempts among tobacco users.

The rising prevalence of tobacco users and smoking among the population worldwide is one of the leading factors causing cancer, cardiovascular diseases, and respiratory disorders, among others.

• For instance, according to the World Health Organization 2023 data, there are about 1.3 billion tobacco users in the world.

Furthermore, the growing awareness among the population regarding the harmful effects of tobacco usage is increasing the adoption rate of NRT products, thereby increasing their demand. In addition, in order to meet the rising demand, the manufacturers operating in the market are investing heavily in business activities such as mergers, acquisitions, launching new products, and expanding their geographical reach.

The global market witnessed slow growth during the COVID-19 pandemic. The decline in the market was due to a decrease in product sales, disruption in demand and supply chain, and others. Moreover, some of the major players also observed a decline in revenue due to decreased demand for NRT products during the pandemic. However, the market witnessed an increase in its growth in 2021. It regained normalcy during the post-pandemic period. The rise in market growth was due to increased product sales, ease in regulations, and awareness regarding NRT products and their increase in demand, among others.

Nicotine Replacement Therapy (NRT) Market Trends

Shifting Preference Toward Use of OTC Nicotine Replacement Therapy (NRT) Products for Smoking Cessation

The rising awareness and shifting focus toward leading a healthy lifestyle among the smoking population is increasing the adoption of smoking cessation therapies among the population. The easy availability of OTC nicotine replacement therapy (NRT) products through various distribution channels, including convenience stores, food stores, supermarkets, online channels, and others, is increasing the adoption of OTC NRT products.

Moreover, companies are launching products in easy-to-accessible distribution channels in order to increase their adoption.

• For instance, in January 2023, Next-generation smoking cessation brand Sesh+, one of the fastest-growing (NRT) companies, launched its NRT gum at many major retailers across Canada.

In addition, the high cost of prescription-based smoking cessation medicines and the discontinuation of a few prescription medicines are likely to shift consumer preference toward OTC-based NRT products.

• For instance, in May 2023, Pfizer, Inc. discontinued the sales of Nicotrol inhalers, which helped to quit smoking by reducing the urge.

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Nicotine Replacement Therapy (NRT) Market Growth Factors

Growing Prevalence of Tobacco Use and Smoking to Augment Market Growth

The increasing usage of tobacco is one of the biggest public health threats across the globe, killing millions of people. All forms of tobacco consumption are harmful, and cigarette smoking is one of the most common forms of tobacco use worldwide.

• According to the 2024 report published by the World Health Organization (WHO), about 20.9% of people aged 15 years and above used some form of tobacco in 2022. Furthermore, the global prevalence of cigarette smoking was around 15.0% among the population aged 15 years and above.

The high uptake of tobacco is increasing the risk of developing various tobacco-related illnesses such as cancers, heart disease, stroke, lung diseases, diabetes, and chronic obstructive pulmonary disease (COPD), among others. The growing awareness among the population regarding the harmful effects of tobacco use is increasing the adoption of tobacco cessation methods such as nicotine replacement therapies.

• As per the WHO 2021 data, tobacco use accounted for around 25.0% of all cancer deaths across the globe. In addition, smokers are 22 times at a higher risk of developing lung cancer when compared to non-smokers.

Thus, the increasing burden of tobacco use and smoking is augmenting the demand for nicotine replacement therapy (NRT).

Increasing Awareness Coupled with Rising Government Initiatives to Promote NRT Adoption, Fueling Market Growth

The governments of different countries across the globe are increasing initiatives to raise awareness among the population regarding the risk of tobacco usage and methods to quit. The government and manufacturers are launching various awareness campaigns and strategies to promote the adoption of NRT products in developing as well as developed nations.

• For instance, in September 2022, the government of India issued the National List of Essential Medicines (NLEM) with the inclusion of nicotine replacement therapy (NRT). The inclusion of NRT in the NLEM list paves the way for insurance coverage & reimbursement for NRT in the country. Thus, it is likely to increase the adoption of these products.

Thus, the factors mentioned above are increasing the accessibility for NRT products, thereby increasing their adoption among the smoking population intending to quit.

RESTRAINING FACTORS

Side Effects Associated with NRT Products Coupled with Availability of the Alternative Products May Impede Market Growth

Despite the increasing initiatives by the government to promote the adoption of NRT products and the launch of new products, the side effects associated with nicotine replacement products are limiting the adoption of these products among the population.

• According to the Centers for Disease Control and Prevention 2022 data, nicotine replacement patches are associated with side effects such as skin redness, itching or burning, sleep disturbances, headache, and others.

In addition, nicotine gums are associated with stomach discomfort, nausea, vomiting, and others. Similarly, other products are associated with side effects, limiting their adoption.

Moreover, the availability of alternative products, such as e-cigarettes, is also expected to restrict the growth of the NRT market. Shifting preferences of consumers toward alternative products such as e-cigarettes and vapes with high efficiency compared to NRT products are limiting the global nicotine replacement therapy (NRT) market growth.

• For instance, according to a 2022 article published in the National Center for Biotechnology Information (NCBI), in England, e-cigarettes were used by 27.0% of adult smokers in a quit attempt and are more popular than NRT, which was used by 18.0% of those trying to quit.

Nicotine Replacement Therapy (NRT) Market Segmentation Analysis

By Type Analysis

Growing Adoption of Nicotine Gums Due to Associated Advantages to Propel Segment Growth

Based on type, the market is segmented into gums, patches, lozenges, inhalers, and others.

Among all the types, the gums segment accounted for the largest share of the market in 2023 and is expected to continue its dominance in the upcoming years. The dominance is attributed to the high potential advantages of nicotine gums, such as rapid action and absorption, as compared to other therapies.

• According to data published by The Cleveland Clinic Foundation in July 2021, gum products are the most rapidly absorbed form of NRT and achieve faster withdrawal relief among tobacco users globally.

Furthermore, the rising approval of nicotine gums and the increasing availability of the products also support the segment’s growth.

On the other hand, the patches segment held a significant share of the global market in 2023. The rise in adoption of nicotine patches in conjunction with rapid-acting products such as tablets and gums among the population and the increase in strategic initiatives by the key players toward tobacco cessation programs further augmented segmental growth in 2023. Moreover, companies are donating nicotine patches for smoking cessation, which is likely to boost their adoption.

• According to data revealed by Dal Lab, a medtech company in Europe, in August 2022, the nicotine patch is the most widely used treatment in the nicotine replacement therapy (NRT) market among non-heavy smokers.

In addition, the lozenges and inhalers segments are anticipated to witness substantial growth during the forecast period. Increasing approval and launches of new products, companies expanding their geographical reach in order to improve access to nicotine lozenges, and others are a few factors promoting the growth of these segments.

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By Distribution Channel Analysis

Rising Sales of Over-the-Counter Nicotine Replacement Therapy (NRT) Products to Foster Hospital & Retail Pharmacies Segment Growth

Based on distribution channel, the market is segmented into hospital & retail pharmacies, retail stores, and online channels.

The hospital & retail pharmacies segment accounted for the lion’s share in 2023. The dominance of the segment is attributed to an increase in demand for over-the-counter nicotine replacement products across retail channels such as retail pharmacies and drug stores. Similarly, the rise in initiatives of hospital & retail pharmacies toward in-store advertisements, discounts, and product displays for nicotine replacement therapies further augmented its share in the global market.

• For instance, according to statistics published by NHS England in September 2021, around 336,000 nicotine replacement products were dispensed across NHS hospitals from April 2020 to March 2021.

On the other hand, the online channels segment is projected to witness the highest CAGR during the forecast period. The benefits associated with online pharmacies, such as cost-effectiveness, heavy discounts, and no travel cost, among others, are a few factors shifting patient preferences toward these pharmacies. In addition, the launch of products through online distribution channels to increase the uptake of these products is supporting the segment's growth.

• For instance, in March 2020, Strides Consumer Private Limited, an India-based company, launched NIXIT, an oral NRT product that can be ordered through Amazon, e-commerce websites, and others.

Thus, the launch of OTC nicotine replacement therapy (NRT) products increases accessibility for the target population.

REGIONAL INSIGHTS

Rising Adoption of Nicotine Replacement Therapy (NRT) Products to Surge North America Market Share

On the basis of region, the market is segmented into North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

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North America was valued at USD 1.31 billion in 2023 and is anticipated to continue to dominate the global market during the forecast period. The rising adoption of nicotine replacement therapy (NRT) products among the North American population and an increase in the incidence rate of smoking-associated chronic conditions such as lung cancer and withdrawal symptoms among patients are a few factors promoting the market growth.

• According to data published by the Centers for Disease Control and Prevention in October 2023, about one-third of the population of U.S. adults smoking cigarettes have adopted cessation medications, including nicotine replacement therapies, approved by the U.S. Food and Drug Administration (FDA) or behavioral counseling to support quit attempts.

Furthermore, the government is promoting the development of NRT products to aid in smoking cessation, which is likely to bolster market growth.

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Europe accounted for the second dominant share in the global market in 2023. The increase in the smoking population in the region, coupled with rising initiatives by government agencies toward launching smoking cessation programs, is increasing the adoption of nicotine replacement products. Furthermore, extensive supply of nicotine replacement products across smoking cessation clinics and hospitals for easy accessibility among the general population are some factors contributing to the regional market growth.

• For instance, in February 2023, the Health Service Executive (HSE) announced free nicotine replacement therapies (NRT) from local stop-smoking clinics as part of a package of support on offer to the population who quit smoking through the HSE QUIT service.

Moreover, Asia Pacific is anticipated to witness lucrative market growth in the upcoming years. The burgeoning prevalence of tobacco users in the region, growing efforts by the companies to expand their presence, increasing awareness among the smoking population, and others are a few factors supporting the regional market growth.

• For instance, according to the Organization for Economic Co-operation and Development 2023 statistics, around 33.0% of the population aged 15 years and above smoke daily in Indonesia. In addition, according to the 2020 World Health Organization (WHO) data, every year, an estimated 225,700 people die in Indonesia because of smoking or tobacco-associated diseases.

On the other hand, Latin America and the Middle East & Africa are projected to observe steady growth during the forecast period due to the increasing burden of the smoking population. Rising adoption of NRT products to aid in quitting smoking, government initiatives to promote the usage of NRT products, and others are some factors supporting the market growth in these regions.

List of Key Companies in Nicotine Replacement Therapy (NRT) Market

Robust Strategic Initiatives by Key Players to Propel Their Growth in the Market

The global market is semi-consolidated, dominated by players, including Johnson & Johnson Services, Inc., Haleon Group of Companies, Perrigo Company plc, and others. These players together accounted for the largest share of the market in 2023.

Johnson & Johnson Services, Inc. is one of the leading players in the market, with the maximum of the global nicotine replacement therapy (NRT) market share. The high share of the company is attributable to several factors, such as a strong focus on strengthening its brand presence, the availability of a broad product portfolio, and others.

• For instance, in December 2019, Johnson & Johnson Services, Inc. expanded its manufacturing facilities in Sweden. Through this expansion, the company has been able to produce Nicorette in the country.

Haleon Group of Companies and Perrigo Company plc are the other leading players in the market. The companies' strong initiative to strengthen their brand presence by collaborating with government agencies, launching new products, and entering collaboration with start-up companies in developing regions are some factors contributing to their high market share.

• In November 2021, Perrigo Company plc's “Quitting is Better” Campaign collaborated with the American Cancer Society (ACS). The company’s exclusive partnership with ACS is highlighting the benefits of its nicotine replacement (NRT) smoking cessation products with a unique store brand category promotion available to its U.S. customers.

LIST OF KEY COMPANIES PROFILED:

• Haleon Group of Companies (U.K.)


• Johnson & Johnson Services, Inc. (U.S.)


• Perrigo Company plc (Ireland)


• Pierre Fabre group (France)


• Pfizer, Inc. (U.S.)


• Cipla, Ltd. (India)


• Dr. Reddy’s Laboratories Ltd. (India)


• ITC Limited (India)

KEY INDUSTRY DEVELOPMENTS:

• August 2023: Johnson & Johnson Services, Inc. separated its consumer health segment to form a new company named Kenvue. This separation aimed to improve the health outcomes for patients and consumers through innovation and pursue more targeted business strategies to accelerate its growth.


• July 2023: Haleon Group of Companies announced an exploration of potential buyers to divest its nicotine gum business (Nicotinell) to enhance its product sales across the globe.


• May 2023: Perrigo Company plc received final approval from the U.S. Food and Drug Administration (FDA) for nicotine-coated mint Lozenges, 2 mg and 4 mg over-the-counter (OTC). This product approval enhanced the company’s product offerings.


• October 2022: Re/Wire Health Studio, a global collaboration and partnership platform from Haleon NEXT, invited emerging consumer health start-ups in India to partner with the Haleon Group of Companies. This was done with an aim to enhance the company’s presence.


• January 2021: Johnson & Johnson Services, Inc. donated nicotine patches to the Ministry of Health of Jordan through its partnership with the Access Initiative for Quitting Tobacco (AIQT) in order to help thousands of Jordanians quit smoking.

REPORT COVERAGE

The report provides a detailed market analysis. It focuses on crucial aspects such as leading players, drug types, and major distribution channels. In addition, it offers insights into market trends, key industry developments such as mergers, partnerships, acquisitions, and the impact of COVID-19 on the market. In addition to the factors mentioned above, the report includes the factors that have contributed to the market growth in recent years with a regional analysis of different segments.

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Report Scope & Segmentation