'Cigarillo' is a Spanish word meaning 'little cigar.' Cigarillos are shorter and narrower than cigars, at about 3 inches (7.6 cm) long and 1/4 inches (6 mm) in diameter. Cigarillos are wrapped in whole-leaf tobacco and may come with a plastic filter attached or no filter. Like cigars, cigarillos are sold both individually and in packs.

Commonly referred to as the “Seven-Minute Cigar” in Europe, the cigarillo is often marketed as a more tasteful alternative to cigarettes, and comes in such flavors as apple, cherry, chocolate, cinnamon, coconut, peach, strawberry, and vanilla. Unlike a cigarette, a cigarillo is not meant to be inhaled while smoking. Cigarillos contain about three times the tobacco content of cigarettes, at roughly 3 grams per unit.

Many cigarillo manufacturers use chemically homogenized tobacco versus 100% tobacco in order to keep manufacturing costs and pricing low. Cigarillos made of 100% tobacco are not always necessarily of higher quality however, as the blend of tobacco is the biggest determinant to the quality and taste of the cigarillo. The tobacco contained in a cigarillo typically comes from Brazil, the Dominican, or Havana. Cigarillo tobacco leaf wrapping often comes from a different region than the tobacco it is filled with.

Popular cigarillo brands sold in the United States include Black and Mild, Swisher Sweets, White Owl, and Winchester. In the U.K., cigarillo brands such as Hamlets and Café Crème are most common; while brand names such as Colt, Captain Black, and Prime Time are well-known in Canada.

Unlike cigars and cigarettes, cigarillos may be sold in very small packs, such as in units of 4. These are sometimes referred to as "kiddie packs", and have caused concern for health legislation in certain countries that feel this type of packaging targets children and adolescents. The World Health Organization Framework Convention on Tobacco Control (FCTC) requires all countries to include warning labels on tobacco products, regardless of whether the product is sold in single units or packages. These labels are required to be highly visible, at at least 30% of the product’s package size.

In the United States, taxes on cigarillos and cigars are much lower than those of cigarettes. Cigarillos are taxed at 4 cents per packages of 20, compared to the federal tax on cigarettes, which is 39 cents per pack.