The aim of this thesis is to research, analyse and compare marketing campaigns two major tobacco products manufacturers in Croatia, Phillip Morris Zagreb Ltd. and British American Tobacco Hrvatska Ltd., regarding the launch of their innovative heat-not-burn tobacco products IQOS and glo. This thesis is divided into the two parts, theoretical and practical. The theoretical part focuses on the definition and understanding of branding, new product definition, introduction of a new product to market, as well as the theory of customer profiling. This is necessary to analyse and fully understand the marketing strategies of Philip Morris Zagreb Ltd. and British American Tobacco Hrvatska Ltd. Philip Morris Zagreb Ltd. was the first to launch a heat-not-burn tobacco product on the Croatian market. Their marketing campaign strategies were mainly focused at education of the customers on the new product characteristics to entice sales. The strategies were adjusted during the campaign execution, as feedback on the approach towards the customer was collected during the campaign’s run. British American Tobacco Hrvatska Ltd. launched their glo product later and was able to leverage the marketing strategy experiences from Philip Morris Zagreb Ltd. The downside of the later product introduction was that customers were already more familiar with IQOS than glo, and to this day the market share of British American Tobacco Hrvatska Ltd. is significantly lower than the one of Phillip Morris Zagreb Ltd. The practical part of this thesis utilizes quantitative analysis of results from in-depth interviewing of customers of both IQOS and glo, analysis of product introduction to the sales representatives, and analysis of the marketing campaigns ran by both aforementioned companies. Furthermore, qualitative methods of analysis were used to research sales results of HEETS and Neo tobacco sticks. The research shows that the main factor which needs to be considered during the introduction of such new products to the market is customer understanding. The customers are the main proponents of a new product and the marketing campaigns need to be fully focused on their satisfaction.