The global shisha market size is expected to grow at a CAGR of 6.40% during the forecast period 2024 to 2032 to reach USD 1.66 billion by 2032 from USD 1.01 billion in 2024.
Shisha is a traditional smoking device used to consume flavored tobacco. It can also be referred to as a hookah or water pipe. It comprises a base containing water, a bowl with tobacco, and heated charcoal on top of that. Before being inhaled through a hose, the produced smoke cools down in the water as it passes by. Among numerous cultures, smoking shisha is a common social activity where people gather to relax and communicate. Shisha tobacco consumers have long desired flavors and fragrances that are sweet, fruity, and candy-like. Despite its wide adoption, shisha smoke poses similar health hazards to cigarette smoking due to its toxic and hazardous chemical composition. Lung and cardiac problems may develop with prolonged use.
Flavor innovations present an emerging opportunity for the shisha market demand, providing a path to more consumer engagement and sustained growth. Shisha flavors can be continuously expanded to meet a broad range of tastes and preferences, attracting both experienced individuals and new consumers. The introduction of fascinating and unique flavors not only increases excitement but also gives customers the freedom to customize their tastes, resulting in a deeper connection with the product. This attribute provides a significant opportunity for the market to grow in the coming years.
Another growth opportunity for the market is offered by introducing health-conscious alternatives that provide a proactive response to growing health concerns about traditional smoking behaviors. By doing this, the market can draw in consumers who are looking for a more responsible smoking experience by releasing alternatives that pose lowered health hazards, such as nicotine-free or low-nicotine alternatives. The move provides opportunities for innovation, differentiation, and targeted marketing initiatives, along with aligning with changing wellness trends, which is helping the Shisha market to expand its adoption.
Smoking shisha resonates with changing social dynamics due to its social aspect and deep cultural significance across many regions. The appealing nature of shisha as a shared experience increases as societies adopt more relaxed attitudes towards leisure activities and look for fresh methods of socializing. The market gains from its capacity to bring together both modernity and tradition by providing a setting for social interaction that fits the modern way of life. Globalization, which extends shisha culture to new areas and promotes a sense of intercultural connectedness, accelerates this trend. Hence, the shisha market expansion is set by tapping these changing social and cultural flows.
A large number of flavors and varieties available is another important driver for the shisha market growth. By providing an abundance of tempting flavors of shisha tobacco, the market responds to various preferences, offering consumers a unique and interesting experience. It attracts beginners to discover various types of shisha as well as satisfy the different tastes of experienced users. A sense of freshness and excitement is promoted by the desire to find new and distinctive flavors, which in turn promotes customer loyalty and referrals. Also, the option to customize a shisha session based on flavor preferences gives a deeper experience and more enjoyable performance, boosting its attraction. Therefore, the market is expanding as it offers several flavors and varieties of shisha tobacco.
The shisha market expansion is believed to be fueled by an increasing number of female smokers who consume alongside men. The market has the potential to grow as social interactions and norms regarding gender evolve to become more inclusive. This inclination not only expands social connections and flavor preferences but also provides chances for female-friendly environments. The market can serve a broader group of people and promote a more inclusive interaction between cultures by accepting this transformation and capitalizing on changing perceptions. This is inducing increased adoption of shisha among females, which is boosting the shares of the market.
Consumers, both existing and new, are becoming cautious as awareness of the potential health concerns associated with shisha smoking spreads. The younger generation, especially, is being encouraged not to continue engaging in practice as it has been linked to addictive behaviors and respiratory problems. The shisha market has difficulty adjusting to changing views while handling health-related concerns, which could limit its future growth of the market as standards focus more on reducing tobacco-related activities and health-consciousness expands.
The shisha market growth faces major challenges in the form of strict regulations. To reduce the health risks associated with tobacco use, governments and health organizations have implemented strict rules that include prohibitions on advertising, packaging requirements, age limitations, and taxes on shisha products. These regulations not only restrict consumer access and hinder efficient marketing campaigns, but they also increase expenses for both producers and consumers. Also, shisha-friendly places are limited due to indoor prohibitions on smoking in several areas. This is majorly restraining the market demand and hence contributing to a decline in the market shares.
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REPORT METRIC |
DETAILS |
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Market Size Available |
2023 to 2032 |
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Base Year |
2023 |
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Forecast Period |
2024 to 2032 |
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CAGR |
6.4% |
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Segments Covered |
By Product Type, Flavor, Distribution Channel, And Region |
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Various Analyses Covered |
Global, Regional and Country Level Analysis; Segment-Level Analysis; DROC; PESTLE Analysis; Porter’s Five Forces Analysis; Competitive Landscape; Analyst Overview of Investment Opportunities |
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Regions Covered |
North America, Europe, APAC, Latin America, Middle East & Africa |
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Market Leaders Profiled |
Akhla, Godfrey Phillips India, Starbuzz, Eastern Tobacco, AL-WAHA, Mazaya, AlFakherdr, and Al-Tawareg Tobacco |
By product type, the strong shisha segment is anticipated to dominate the market demand during the forecasted period. These strong flavors are high in nicotine content and are more intense; they deliver a stronger smoking experience to consumers. Hence, this segment is in great demand among experienced shisha smokers who enjoy more strong and intense smoking. At the same time, the light segment is deemed to have a significant market share during the projected period. This segment is famous among individuals who prefer a gentle smoking experience with low nicotine content and subtle flavors.
By flavor, the mint segment is dominating the shisha market share during the anticipated period. Mint-flavored shisha contains mint or menthol that offers a cooling and refreshing sensation, which contributes to attracting more consumers. At the same time, the blended segment is expected to grow at the fastest rate in the coming years. Hence, as there is an increasing number of individuals who want to experience beyond single-flavor, the demand for blends is boosting.
By distribution channel, the bars and cafes segment is ruling the market demand during the forecasted period. Because these places offer shisha as part of their menu and provide consumers with numerous flavors. As they serve shisha and usually focus on providing a cozy and comfortable environment for their customers, this distribution channel is gaining significant sales. However, the specialty stores segment is expected to grow at the fastest growth during the projected period. These shops offer consumers an accessible location where they can buy shisha products and flavor options from trained people. This attribute is influencing the sales of this segment.
By region, North America is anticipated to rule the shisha market share during the forecasted period. There has been an increase in shisha lounges and cafes that serve diverse customers with a variety of flavor preferences. The focus often falls on developing a trendy and social environment where shisha can be consumed for enjoyment and relaxation. This attribute is significantly contributing to the expansion of market size. However, the Asia Pacific is expected to grow at a healthy CAGR during the projected period. Because shisha has a strong cultural and traditional base in this region. The tastes and practices are frequently connected to regional traditions and rituals. Sessions with the shisha can be a fun family activity or an element of celebration in this region, hence boosting the demand for it.
Major Key Players in the Global Shisha Market are Akhla, Godfrey Phillips India, Starbuzz, Eastern Tobacco, AL-WAHA, Mazaya, AlFakherdr, and Al-Tawareg Tobacco
By Product Type
By Flavor
By Distribution Channel
By Region
Frequently Asked Questions
The current trends in the shisha market are Flavored shisha tobacco is a significant trend, with unique and exotic flavors gaining popularity, The rise of luxury and premium shisha lounges offering high-quality experiences, and Innovative shisha designs and materials, such as modern glass hookahs and portable
The key factors influencing the growth of the shisha market are shifting consumer preferences towards socializing in shisha lounges and cafes, Growing popularity of shisha as a recreational activity among young adults, and Expansion of online retail channels for shisha products, making them more accessible to a broader audience.
The opportunities and challenges faced by stakeholders in the shisha industry are Opportunities include expanding into new markets, developing innovative shisha products, and catering to diverse consumer preferences. Challenges include navigating regulatory hurdles, addressing health concerns, and competition from alternative recreational activities.
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