The Global Trends in Nicotine reports contribute to laying the groundwork for the Foundation’s work in the area of industry transformation, and represents an important step in the Foundation’s research program. Specifically, the reports identify the major players in nicotine delivery, outline their product organization and geographic focus, and quantify their output. Building upon this work, the Tobacco Transformation Index will over time evaluate 15 of the largest nicotine delivery companies in the world.

Highlights from the 2019 update include:

• In 2018 more than $800 billion in retail value was generated through the sale of an estimated 6.1 trillion retail cigarette stick equivalents globally. Yet, signs of change led by product innovation and consumer demand are evident in certain markets.
• E-cigarette sales increased more than 30% in 2018, and heated tobacco product volumes more than doubled. Both product categories constituted less than 2% each of the global nicotine ecosystem by retail value but have far surpassed sales of nicotine replacement therapy (NRT) products during the past several years.
• Cigarettes constituted more than 87% of global retail value associated with the nicotine ecosystem in 2018, which was down from 89% in our last report for 2017. Overall nicotine demand, estimated by our cigarette stick equivalent model, remained stable compared to prior years, implying product substitution by consumers.