Interview with Gavin O'Dowd, CEO of Haypp Group

• Role: CEO of Haypp Group 
• Previous experience: Gavin began his leadership career as a management accountant at Accenture and PwC, before moving on to several senior management roles at BAT, including Group Corporate Finance and General Manager for the Swedish and Norwegian markets.  
• Time at Haypp: Since 2017 
• Fun fact: ‘At the age of 47, I have, for the third time, dusted off my boots and stepped back onto the rugby field.’ 

Gavin highlights two key reasons. 

Firstly: 

"We are motivated by the positive impact we can have on public health and people’s wellbeing when we see consumers moving away from cigarettes. Even though we don’t manufacture the products ourselves, our combined efforts as a company help more smokers to find and switch to better alternatives – and to do so more quickly. That’s what keeps us going."

Secondly, he points to being part of a growing company: 

"Rapid growth means constant change and fresh challenges – both personally and as a team. We see this as an opportunity to learn, adapt and stay sharp in an industry where change and transition are constant."

Gavin begins with the opportunities, explaining that the biggest one is the sheer number of smokers in Europe and North America – around 100 million people in these regions. 

"In 2024 alone we supported over a million people, and that’s really just the beginning. The potential to make a meaningful difference is significant, and we’re only getting started."

The challenge, he says, is how to reach these people. He also stresses the importance of policymakers understanding the impact of the category: 

"The scientific and regulatory community recognises the potential of this category – but turning that recognition into more than just awareness, into active support among MPs and policymakers, is a major challenge, particularly in an environment where misinformation is widespread."

Gavin explains that it gives the company a very different perspective: 

"We have the benefit of being able to work with a long-term outlook – which means we are not tied to the short-term demands of a specific group of investors at a given stage."

He adds: 

"As companies grow, they naturally attract different types of investors at different stages – whether you’re Haypp, Google or Amazon. It’s part of the journey, whatever the industry."

Gavin notes that private companies often bring in investors and talent who are right for certain phases, but that it can be difficult to move on if those investors are not ready. He sees many private companies in the sector facing the same problem: 

"Many reach a ceiling where investors become uneasy about scaling further and instead push for an exit, rather than long-term growth. It’s a common pattern we see in this industry."

On being listed on the stock market, Gavin says: 

"For any investor who feels uncomfortable with the scale we are reaching, or who is happy with the progress so far but does not want to continue into the next chapter, the stock market provides an obvious solution. The process is straightforward – they can sell their shares and allow new investors who share our vision for the future to step in. That’s exactly why we chose to go public – so we can keep moving forward from one growth phase to the next."

First, Gavin points to preventing youth exposure and keeping products out of the hands of minors. He also emphasises Haypp’s role in setting standards across the industry. For example: 

"In Sweden, our home market, nicotine use among minors is effectively zero – clear proof of how successful our prevention work has been.’ He continues: ‘Our internal policies, as well as our efforts to achieve stricter regulations to keep products away from under-18s, apply in every market where we operate."

Secondly, he highlights product standards: 

"Haypp introduced its own product standards back in 2019 – we not only set maximum nicotine levels for what we sell, but also brought in pH testing to ensure consistency, quality and consumer protection."

As part of these standards, Gavin explains, the company does not sell products with flavour descriptions that are particularly appealing to young people: 

"Maintaining strict product standards is central to our responsibility, and this is clearly visible in the markets where we are active. By comparison, in several European markets where we are not present, we see widespread availability of products that would not meet our criteria – particularly those with flavour descriptions clearly aimed at minors. Adults also enjoy fruit, berry or even cola flavours. In fact, many smokers deliberately look for fruit flavours that do not resemble the tobacco taste of cigarettes. But when flavours are marketed in a deliberately youthful way, it is clear who they are aimed at – and that is not something we want to be associated with. We are actively working to counter this."

Thirdly, Gavin underlines that Haypp speaks up for consumers: 

"We represent our customers when regulations risk becoming too restrictive – such as the widespread proposals to ban all flavours, in some cases even mint."

Thanks to the large number of consumers the company has direct contact with, "We can much more effectively amplify their voices and present their perspective to decision-makers. In many cases, we not only initiate petitions but also ensure that these opinions reach legislators and policymakers in the relevant regions."

Gavin pauses before answering, admitting it is difficult to predict. He reflects on the past few years and how flavours have developed: 

"When flavours first appeared three to four years ago, they were very simple – mint, apple and coffee were some of the most common."

About two years ago, flavours evolved into fusion flavours, combining two similar profiles such as mint and apple. Then, around 18 months ago, we saw a new wave of complex flavours – combining components from opposite ends of the flavour spectrum. 

"There are only so many ways to combine flavours, so we may not see dramatic changes going forward. What we are likely to see are improvements in two areas consumers really care about: how the nicotine is delivered, and – quite simply – the sensation in the mouth. We’ve already seen progress in making products softer, smaller and thinner, and companies are also fine-tuning things like pH levels to better suit different consumer groups."

When it comes to nicotine absorption, Gavin believes the sector still has a long way to go. 

"When we speak to smokers who have tried nicotine pouches but not made the switch, the main reason is that nicotine absorption from cigarettes is much faster. This makes it harder for them to satisfy their cravings."

Gavin highlights two things: 

"The first is knowing that if you do your job well, you can genuinely make the world a little better."

He also points to the privilege of working with a strong team, something that is often taken for granted: 

"This really shows in challenging times, when difficult decisions have to be made – that’s when the team proves its true strength and we pull together around a common purpose. Those are probably the two most important things for me."