A Birmingham-based online retailer specializing in tobacco-free nicotine pouches has introduced a tiered loyalty program for its customers, reflecting wider retail trends in customer retention strategies across the UK.
Nic Pouches, recently unveiled a points-based rewards system that offers escalating benefits based on customer spending levels, with discounts ranging from 2% to 8% depending on membership tier.
The introduction comes as the UK nicotine pouch market experiences substantial growth, with industry analysts at Grand View Research valuing the sector at £194 million (USD 247.6 million) in 2024 and projecting annual growth of 7.6% through 2030.
Changing Nicotine Consumption Habits
Nicotine pouches tobacco-free products containing nicotine, flavourings, and plant-based materials—have seen rapidly increasing adoption in Britain. Research published in the BMJ's Tobacco Control journal revealed that UK sales volumes grew by 55% in 2023, with approximately 92 million units sold in 2022.
"The nicotine pouch market represents one of the fastest-growing segments in the alternative nicotine product category," explains Dr. Eleanor Phillips, public health researcher at King's College London. "While still relatively new to the UK compared to some Scandinavian countries, these products are gaining popularity as consumers seek smoke-free alternatives."
The company Nic Pouches online store offers products from established brands including VELO, Zyn, Pablo, and Nordic Spirit, with flavours ranging from menthol and fruit to more distinctive options like coffee and liquorice.
Loyalty Program Adoption
The newly introduced loyalty scheme reflects broader trends in UK retail, where customer retention has become increasingly important amid economic pressures. According to YouGov research, 80% of British consumers now actively participate in at least one loyalty program.
"In today's competitive retail environment, particularly for specialty products, structured rewards programs serve multiple functions beyond simple discounts," notes Richard Thompson, retail analyst at UK Consumer Insight. "They generate valuable customer data, encourage repeat purchases, and create a sense of exclusivity that can enhance brand loyalty."
The company's three-tier system—Blue, Silver, and Gold—offers increasing benefits as customers accumulate points, with 100 points awarded immediately upon registration.
Health Considerations
While the company promotes nicotine pouches as a "healthier alternative" to traditional tobacco products, health experts maintain that nicotine itself carries risks regardless of delivery method.
"Although nicotine pouches eliminate the harmful combustion products found in cigarettes, nicotine remains an addictive substance with known cardiovascular effects," cautions Dr. Margaret Williams, consultant at the Royal Society for Public Health. "Current evidence suggests they may present fewer health risks than smoking, but long-term studies are still needed to fully understand potential impacts."
The NHS continues to recommend evidence-based smoking cessation methods, including prescribed nicotine replacement therapy, for those looking to quit tobacco use.
The UK market for tobacco alternatives has grown substantially in recent years, with regulatory bodies including the Medicines and Healthcare products Regulatory Agency (MHRA) continuing to monitor the emerging category.