The stick segment of the heated tobacco products market generated the highest revenue in 2024. More heated tobacco sticks are being produced as a result of consumers choosing heated tobacco products (HTPs) as a high-end and secure substitute. The rising number of well-known manufacturers and the variety of flavors available are expected to keep this segment strong. Supportive regulations in some countries for HTPs compared to e-cigarettes may boost their market presence. Global tobacco companies are also expanding into emerging markets where traditional cigarette use is high, promoting heated tobacco as a less harmful option. In the meantime, the leaf category is anticipated to develop at its quickest rate from 2025 to 2034. The effective pricing and easier manufacturing of loose-leaf products make them attractive for smaller companies. Advances in heating technology that enhance the efficiency of tobacco leaves are also making these products more appealing. Devices with better temperature control and reduced odor are favored by users.

The offline segment dominated sales in the heated tobacco market in 2024 due to the convenience and easy access physical stores provide. Attractive packaging and knowledgeable staff in specialty vape shops assist customers in making informed choices among various HTPs. Meanwhile, online category is likely to grow the fastest. Online shopping allows consumers to buy heated tobacco devices and accessories conveniently, offering a broader selection of products than physical stores. Online retailers provide detailed descriptions and comparison tools, helping consumers make better decisions. This has led to strong demand for HTPs through online channels in recent years.

The Asia Pacific region accounted for a sizeable portion of the global market for heated tobacco products in 2024. The high prevalence of smoking in countries such as Japan and China has led to growing concerns regarding the health risks linked to traditional cigarettes. Heated tobacco products, which are believed to emit fewer harmful substances compared to combustible tobacco, are increasingly regarded as a preferable option among smokers in these nations, thereby enhancing their demand.

The global heated tobacco products market is characterized by intense competition, featuring numerous international and local players. The competition is heightened by product diversification, revenue generation, and emerging opportunities. Market participants adopt various business strategies, including product innovations, endorsements, marketing initiatives, capacity expansions, and acquisitions, driven by key players such as PAX Labs Inc, VMR Products, LLC, Imperial Brands plc, British American Tobacco plc, Korea Tobacco & Ginseng Corporation, China Tobacco, Altria Group, Inc, and Japan Tobacco Inc, among others.