Interest in vitamins, minerals and supplements has never been greater
Whether it’s baby boomers looking to boost their health profiles heading into their golden years or millennials attempting to fortify themselves against the rising cost of health care, interest in dietary supplements, sports nutrition, diet aids, meal-replacement solutions and even energy shots has never been higher, according to a Kline consumer survey released last year.
(Click here to view the full VMS Report.)
The company’s “Natural OTCs” study this past summer found that consumer interest in the market of non-allopathic solutions through 2015 was up by 11.4%, Kline noted, compared with an increased predisposition for the overall over-the-counter market of 4.2%. More than half of the consumers surveyed by Kline indicated they use natural OTCs more now than one year ago and nearly two-thirds of consumers said they use them now more than five years ago, an indication that there is a growing interest in natural OTCs.
That attraction toward supplements to support a healthier lifestyle or aid in the prevention of disease is particularly prevalent among seniors.
For example, there’s more and more growth across adult gummy multivitamins, Laura Mahecha, healthcare industry manager for Kline Market Research, told Drug Store News. Other pockets of growth include omega-3 supplements, co-Q10 and vitamin D. “Anything that’s aimed at the aging population,” she said.
This rise in consumer interest, particularly among baby boomers, also translates directly into sales growth. DSN estimates the supplement, diet aid and intrinsic health category as a whole was up 5.5%, reaching $13.3 billion in sales for the 52 weeks ended Oct. 30, according to a review of IRI data across total U.S. multi-outlet channels.
Kline projects supplement growth to continue along a 2% or 3% annual trajectory. Increased supplement sales will be tempered by a similar increase in healthier eating, however, Mahecha added.
Pharmavite’s Nature Made brand within its letter vitamin offerings tops the top 10 bestselling brand list with $367.4 million in sales over the 52-week period, according to IRI, with Abbott Nutrition’s Ensure adult nutrition shakes ($359.8 million) and Clif Bar’s nutritional bars ($335.4 million), rounding out the top three. Beyond shakes, bars and supplements, Living Essential’s 5-hour Energy shots ($323.3 million) also continue to crack that top-10 product list.
Across the following pages, DSN presents the latest consumer usage study from the Council for Responsible Nutrition and a TABS Analytics breakdown around online sales of vitamins, supplements and nutritional offerings. On the regulatory front, CRN CEO Steve Mister provided DSN with a breakdown on what a new Trump Administration and 60 freshmen Congress leaders means for the supplement industry. Following that are products retailers should be keeping their eyes on and a breakdown of five merchandising opportunities expected to drive sales in 2017, including a format trend away from pills, a new category that passes the “sniff” test, an opportunity to capture mom’s interest at the point of conception, a muscle-bound category that reaches beyond “gym rat nation” and a holistic approach to nutrition that ditches dieting in favor of nutrition management.
Sales growth, strong margins for VMS
The minerals/supplements category saw year-over-year growth of 8%, with the one- and two-letter vitamins up 4%. Growth was led by Quincy Bioscience followed by private label in the minerals/supplements category (see Figure 1). Prevagen led drug channel growth in minerals and supplements, which nearly doubled in sales up 87%, while IBgard’s skyrocketed 306% year over year. Larger brands that contributed with double-digit growth were Nature’s Bounty, Culturelle and Align (see Figure 2).
(To view the full Promo Watch report, including the figures referenced, click here.)
Margins for i-Health were most widely spread in the minerals/supplement category with the lowest margins at 29% in the mass channel, and the highest at 44% in the drug channel. Nature’s Bounty saw high margins across all channels (see Figure 3).
Circular ad counts were dominated by food class of trade for both Nature’s Bounty and Pharmavite manufacturers. However, Nature’s Bounty doubled the activity vs. Pharmavite in the drug class of trade. Bayer surpassed Pharmavite in number of circular ads. (see Figure 4).
Nature’s Bounty and Reckitt Benckiser were the only two large vitamin manufacturers to see a significant number of list price changes in 2016. Nature’s Bounty’s list price changes in May 2016 averaged 7%, while Reckitt Benckiser’s 43 list price changes averaged just 2%.
CPR is a leading provider of competitive market intelligence and insights in the health, beauty and wellness industry. Learn more by visiting CompetitivePromotion.com.
RB scouts CES for next self-care disruptor
LAS VEGAS — Dave Challis, RB VP innovation, is bringing RB's Healthier Tomorrow Challenge to CES through Indiegogo in an effort to bring to bear RB's industry expertise, business connections and mentorship to the kind of technology innovators eager to create the next industry disruptor.
"Innovation through entrepreneurship is a huge part of our business. It's in our DNA, which is why this collaboration with Indiegogo is such a perfect fit," Challis said. "We're always on the lookout for innovators who we can partner with to discover new solutions that will enable our consumers to lead healthier lives and happier homes. This program enables us to connect with passionate thinkers around the world that, similar to us, are willing to disrupt the health and wellness space to make a real difference in people's lives."
RB is in search of Indiegogo campaigners whose innovations specifically fit within the following focus categories: respiratory, pain relief, health monitoring, sexual well-being and vitamins, minerals and supplements, the company stated. All Indiegogo campaigner submissions for the RB Healthier Tomorrow Challenge will be reviewed early in January next year and up to five finalists will be selected to pitch their ideas to RB leaders.
For example, RB is in search of drug-free innovations to help detect, relieve and prevent flu symptoms— such as diagnostics, air monitors, purifiers and wearables. For pain relief, RB is in search of TENS 2.0, a pain relieving device that doesn't include an allopathic solution. RB is also looking to disrupt baby monitoring with tools that help to keep tabs on baby’s vital signs, hydration status and temperature. And with regard to VMS, RB is hoping personalize the experience of health-minded consumers through wearables, sensors, or machine-learning apps to deliver suggestions tailored to their users.
RB, which acquired the intimacy well-being company Durex in 2010, is also looking to bring innovative intimacy solutions to market, including those that invigorate the intimate experience, such as VR technology, remote massagers and digital technologies.
The Challenge is aimed at accelerating the pace of innovation for entrepreneurs within the health and well-being sectors, providing an opportunity to deliver their ideas and products into homes worldwide.
In addition to industry-leading product development support and access to global supply chains, the finalists will be guided by an RB project partner and will receive mentoring from senior RB leaders. Interested Indiegogo health and well-being entrepreneurs worldwide who want to enter should visit https://enterprise.indiegogo.com/RBHealthierTomorrow to submit their projects for consideration by Jan. 17, 2017.
"We're very excited for this collaboration with RB as it strengthens our commitment to helping entrepreneurs through every step of their journey," said Indiegogo co-founder, Slava Rubin. "We've seen an incredible amount of growth among health and well-being projects on Indiegogo during the last few years. This program gives entrepreneurs a unique opportunity to be noticed by the RB innovation team and to work with them to bring their innovations to market faster."