Zyn, a popular nicotine pouch made by Philip Morris International Inc., is currently out of stock at numerous nationwide retailers, with some wholesalers also struggling to procure the product.
The shortage follows an 80% surge in US demand for Zyn in the first quarter, as reported by Philip Morris International, which also sells Marlboro cigarettes outside the US. This increase in demand has coincided with a lawsuit over the products’ nicotine content and growing criticism of their marketing practices, sparking concerns about potential regulatory action against this cigarette alternative. As cigarette smoking declines and the vape industry faces competition from unauthorized Chinese products, Zyn has become a crucial growth driver for Philip Morris International.
Smoke shops in New York and wholesalers in Florida and New Jersey have reported difficulties in obtaining Zyn, though they did not provide further details. An anonymous source from a wholesaler in a southern US state indicated that the supply issues have been ongoing for weeks and are now becoming apparent at the retail level.
A spokesperson for Philip Morris International and Swedish Match, the maker of Zyn acquired by Philip Morris International, declined to comment. In a quarterly call with analysts in April, Philip Morris International Chief Financial Officer Emmanuel Babeau acknowledged that Zyn’s rapid growth was straining the supply chain, and the company is working to increase capacity.
Philip Morris International acquired Swedish Match for $16 billion in 2022 and has since intensified marketing efforts for Zyn, drawing criticism from lawmakers, including US Senate Minority Leader Chuck Schumer, for allegedly targeting young people.
On Friday, websites for HS Wholesale and Puff Distribution, which sell Zyn nationally, displayed it as sold out. Some online sellers are rationing supplies or highlighting the shortages to encourage customers to stock up.
“We’re currently in the midst of a nationwide Zyn shortage and need to temporarily limit orders through our site to 10 cans per person within a 30-day period,” stated Nicokick, a website offering “Zyn alternatives” such as on! by Altria Group Inc. Nicokick did not respond to requests for comment but mentioned on their site that the limits aim to prevent hoarding and unauthorized reselling of Zyn.
