Price Development of Snus and White Snus in Sweden

Snus Prices Over Time

The price development of snus has been characterized by a steady increase since the mid-20th century. In 1950, the price for a can was about 58 öre. Adjusted to the value of money in 2006, this corresponds to approximately 9.26 kronor. By 2006, the price had risen to around 24.40 kronor per can. This represents a real price increase of over 160 percent during the period.

The trend has continued into the 2000s, with a particularly noticeable increase from 2011 onwards. Between 2011 and 2024, the real price index for snus rose by 10 percent, indicating that the price level has continued to rise even when inflation is accounted for. The increase can be partially explained by changing production costs, market conditions, and regulation, but the price statistics clearly show that snus has become an increasingly expensive product for consumers over a long period, regardless of the economic climate.

Price Differences Between Store and Online

The consumer price of snus is greatly affected by where the product is purchased. A comparison from 2023 showed that snus is generally cheaper through e-commerce than in physical stores. A 10-pack of a common snus product could be purchased online for 277 kronor, while the corresponding price in a grocery store was 305 kronor and in a convenience store 377 kronor. The differences were evident even before the tax cut in November 2024.

After the tax on tobacco snus was lowered, prices were adjusted across all sales channels. Despite this, the differences between store types remained. This means that the choice of purchasing location continues to play an important role in the final price.

Generally, it is still cheapest to buy snus online, both traditional and white. Lower distribution costs, larger volumes, and direct sales online contribute to the price differences. For example, today you can find a 10-pack of snus from XQS for about 299 kr online, while the same product may cost significantly more in-store. Consumers who compare prices between different places can thus practically influence their costs considerably depending on the method of purchase, especially for larger purchases or regular use.

The Impact of Tax on Price

The development of tobacco tax has had a direct impact on the consumer price of snus. Since 1995, the tax has increased by over 600 percent, making it one of the main drivers behind the price increase of snus products. The tax is continuously adjusted based on the consumer price index, which means it is adapted to inflation. This causes the price of snus to gradually rise, even without changes in the tax rate itself.

An important change occurred in November 2024, when the tax on tobacco snus was reduced by 20 percent. It was the first time in several decades that a reduction was implemented. The aim was to influence users' product choices. The direct consequence of the reduction is that it may lower the price of certain snus products, but since the price is also influenced by other factors such as manufacturing and distribution, the effect is not necessarily proportional to the tax change.

White Snus: A Growing Market

White snus, or nicotine pouches, was launched in Sweden in 2016 and has since rapidly grown in both sales and share of the total market. The product differs from traditional snus in that it does not contain tobacco, which affects both regulation and taxation. This has made it an alternative for a growing group of consumers with varying preferences, desires, and needs.

One of the attractions of white snus, besides being tobacco-free, is the variety of options available. They come in many different sizes, strengths, and flavors. The range of flavors is something that is constantly evolving and changing, influenced by trends, seasons, and consumer preferences. Today, there are everything from fresh flavors like mint and eucalyptus to flavors reminiscent of desserts, pastries, smoky tones, fruits, and much more.

Between 2021 and 2022, sales of white snus increased by 81 percent, from 77 million to 140 million cans. At the same time, the product's share of total snus sales in Sweden rose from 16 to 25 percent. The rapid increase has led to more manufacturers establishing themselves in this segment.

Consumption Patterns and Price Development

From 2003 to 2022, the consumption of snus in Sweden clearly increased. The number of cans per capita rose from 29 to 47 per year, representing a 65 percent increase. For white snus, the growth was even faster. Between 2021 and 2022, consumption increased from 9 to 16 cans per capita – a rise of 81 percent in just one year.

The change in consumption patterns affects the market structure and can influence how prices are set and developed. Greater demand often leads to a broader supply, but also to price adjustments based on changing cost levels and competitive conditions.

Price development is also governed by factors such as tax levels and sales channels. As more consumers choose products like white snus, the product mix in retail is also affected, which in turn can lead to price changes in both directions depending on the segment's cost structure and margin requirements.

Sweden is struggling to maintain the sale of snus and white snus, while the EU is critical. How this will affect price and availability in the future remains to be seen.