Promising Pouches

This article is brought to you by Altria Group Distribution Company/Helix Innovations LLC.

Nicotine pouches are a growing draw to convenience retailers’ backbars. 

According to NACS State of the Industry Report® of 2025 Data, other tobacco products (OTP) had the largest year-over-year sales increase across the top merchandise categories. Per store, per month sales of OTP grew 8.1% year over year. 

Nicotine pouches are a primary growth driver within the other tobacco subcategory, according to the report. 

Helix Innovations LLC, an affiliate of Altria Group Distribution Company, is also seeing growth in its tobacco leaf-free nicotine pouches, with Altria reporting that shipment volume for the on!® brand went from 91.4 million cans in the first half of 2025 to 96.1 million in the first half of 2026. That represents about a 5.1% increase year over year.

Helix has expanded its on! PLUS® product reach to 120,000 stores nationwide. 

Helix spokesperson Jason Mathis, Senior Director, Oral Tobacco Brand Management, said retailers could benefit from evaluating pouches by consumer appeal, assortment needs and product differentiation.

The latest evolutions that consumers look for include pouch comfort, higher and lower nicotine strength options and flavor innovation, Mathis said. “Understanding the features that distinguish one pouch from another can help retailers make more informed merchandising decisions as the category evolves,” he said. 

For example, adult nicotine consumers 21+ increasingly expect products that deliver a comfortable experience, according to Mathis. “As the nicotine pouch category continues to grow, consumers are becoming more discerning about the overall pouch experience, not just flavor or nicotine strength,” he said. “Manufacturers are increasingly exploring new pouch materials, product formats and technologies designed to enhance the overall consumer experience.”

Material, size, moisture level and shape all play a role. “These characteristics can affect attributes such as comfort, flavor release, nicotine strength and overall satisfaction,” Mathis said. “As the category matures, adult nicotine consumers 21+ have become increasingly aware of these differences and often seek products that align with their personal preferences.”

Because pouches are in a consumer’s mouth for an extended period of time, comfort is important to the overall product experience, Mathis said. Helix’s on! PLUS® pouches use a proprietary NICOSILK™ pouch material.

“The material was developed to provide a softer, more flexible pouch experience compared to more traditional pouch constructions,” Mathis said. “NICOSILK™ mesh was specifically designed to help create a soft, high-stretch pouch that conforms comfortably while providing nicotine satisfaction and flavor.”

This is the first article in a two-part series from Altria Group Distribution Company/Helix Innovations LLC. Part two will explore flavor innovation in nicotine pouches.

Other tobacco