On October 16, 2024, at the Capital Markets Day, British American Tobacco (BAT) announced its plan to launch VELO Plus in the USA by the end 2024. Claiming that VELO Plus is a more competitive product with a wide range of flavors and higher nicotine levels (i.e. 6mg & 9mg for VELO Plus versus 4mg & 7mg for VELO Original), BAT aims to capitalize on the nicotine pouch growth and ZYN-fatigue in the US market while awaiting for the outcome of the PMTA review for the European category leader VELO 2.0 product.

Subsequently, VELO Plus range is launched by Modoral Brands Inc., an operating company of Reynolds American Inc. (London-based British American Tobacco’s U.S. subsidiary), in the US in December 2024.

According to BAT, VELO Plus delivers a superior user experience with more consistent nicotine & flavor delivery, new & improved pouch design (slightly larger pouches made from a stronger, more durable material) and a hinged disposal lid for the easy storage & disposal of used pouches.

Manufacturer’s Suggested Retail Price for VELO Plus is US$5.59 for a can of 20 pouches (i.e. almost at parity to ZYN with 16-pouch can). However, VELO Plus costs US$3.99 a can at regular discount and US$3.35 a can at volume discount.

Unlike VELO Original, VELO Plus contains synthetic nicotine instead of the tobacco-derived nicotine.  VELO Plus comes in two nicotine strength levels (6mg & 9mg) and seven different flavors:

– Spearmint: A bright mint with a cooling, fresh twist

– Peppermint: A bold mint flavor with a creamy, menthol finish

– Wintergreen: A creamy, subtly sweet, full-bodied mint flavor

– Mint: A fresh, sweet, cooling mint flavor

– Citrus Chill: A blast of fresh citrus with a cooling twist

– Wild Berry: A bold blend of juicy berry flavor

– Dragon Fruit: Sweet and tropical flavor of dragon fruit.

Dragon Fruit is available exclusively at 7-Eleven stores. BAT will add a Smooth Tobacco (unflavored) option to the portfolio in Q1 2025. However, the flavor range for VELO Plus in the initial launch phase is still narrower than VELO Original (- in contradiction to BAT’s Capital Markets Day statement). Therefore, we expect BAT to expand the VELO Plus flavor range significantly in the coming months.

Below is a side-by-side comparison of VELO Original and VELO Plus:

source:https://tobaccoinsider.com/velo-plus-usa/

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