From classic dips to tobacco-free nicotine pouches, innovation in form and flavor delivers an array of options for dippers as sales stay solid.

Smokeless sales, driven by the spitless segment, are trending up at convenience stores with help from ongoing innovation in the segment.

Dollar sales in the convenience channel rose 8.9% for the 52 weeks ending Feb. 27, 2021, totaling $7.37 billion, up from $6.77 billion for the previous year, according to data from NielsenIQ. Unit sales for the same period rolled in flat (0.8%), a dip of 0.1% over the previous year.

“Moist tobacco cans are still king in our stores,” said Lisa Dell’Alba, president of Square One Markets, operating seven stores in Pennsylvania. “We are seeing steady consumption and slight growth in the category.”

While form and flavor options seem popular with smokeless consumers, manufacturers may be wise to not mess with that classic, pocket-perfect tin or its price.

Read full article here.

Thomas Mulloy – CStoreDecisions – 2021-04-27.

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