The moist tobacco market in the U.S. has been on the rise over the last six years. This segment of tobacco users accounted for approximately $4.8 billion of revenue in 2010. It is forecasted that the U.S. moist tobacco market value will increase to about $6.2 billion by the end of 2014. This represents an annual growth of approximately 6.6% between 2011-2014.

A dramatic reduction in cigarette consumption is driving the growth of the moist tobacco market. In 2010, 26 states implemented comprehensive smoking restrictions in public and private work areas, and 35 maintained partial restrictions. This represented a major change in regulatory environment that would, in effect, change consumption patterns for cigarette smokers and boost smokeless tobacco products.

The Industry

The U.S. is the largest market for moist tobacco in the world. Between 2001 and 2010, the market registered a compound annual growth rate (CAGR) of approximately 5.4% in terms of volume. In 2010, the U.S. moist tobacco market volume was recorded at nearly 1.3 billion cans, an increase of about 9 percent over 2012 sales.

This constant growth is attributable to the rising demand for moist tobacco products from both cigarette and non-cigarette smokers. Increasing popularity of smokeless products has led to a wider expansion of the U.S. moist tobacco market, which is strongest in the Southeast, Southwest, and Mid-Atlantic states.


In the U.S., moist tobacco products are distributed through diverse channels including convenience stores, gas stations, discount tobacco outlets, supermarkets, and the internet. Further, the sales of moist tobacco products are carried out mainly through point of sales displays. Industry experts believe that the market for moist tobacco products in the U.S. will continue to expand, supported by line extensions, and an increasingly wide variety of choices and product introductions offered by manufacturers.

FLASR is capturing a large segment of moist tobacco users by responding to their needs and interests.