Probiotics are ringing the register
Probiotics are one of the better-selling categories within the VMS space, as evidenced by the number of growing probiotic brands on the top 10 mineral supplement brand chart, which is where IRI captures many of the probiotic SKUs. While market-leading mineral supplement brands Nature Made and Nature’s Bounty certainly include probiotics, i-Health’s Culturelle brand is the best-selling pure-play probiotic brand with $123.1 million in sales on 8.9% growth across total U.S. multi-outlets, according to IRI.
According to i-Health market intelligence, more and more consumers are researching probiotics online and are coming to the store with a specific brand in mind. In fact, as many as half of consumers know the brand they plan to purchase before walking through the doors, and most of them are going to the digestive aisle in search of their probiotic of choice.
“Consumers are becoming more savvy and are looking for specific probiotics [strains],” Michael Bush, president and CEO of Ganenden, told Drug Store News. Not all probiotic strains are created equal, he added, as some strains are better at improving immunity health, for example, while others are better at resupplying the gut flora to reduce adverse side effects associated with antibiotics, such as diarrhea.
According to Ganenden, which licenses the branded probiotic GanedenBC30 to food manufacturers, 70% of consumers are aware of probiotics, and 54% are willing to pay more to trade up for a food or beverage containing a probiotic. “The mom buyer is typically buying for the immune benefits of a probiotic,” Bush said. “The probiotic industry is working together to help consumers understand it’s all about the strain.”
(Click here to view the full Special Report: Weight management, sports nutrition and vitamin)
RB completes Mead Johnson acquisition
PARSIPPANY, N.J. — RB on Thursday announced the completion of the acquisition of the Mead Johnson Nutrition Company, which folds the two infant and child nutrition powerbrands Enfa and Nutramigen into RB's existing health portfolio.
"The closure of the acquisition marks an inflection point in RB's evolution to become a leader in consumer health care," stated Rakesh Kapoor, CEO RB. "By combining the best of RB's global scale with MJN's science-based innovation, RB is well positioned to deliver further value for all stakeholders. We continue to execute on our strategy of providing innovative health solutions for healthier lives and happier homes to millions of people around the world."
Mead Johnson will initially operate as a separate division within RB and be led by Aditya Sehgal, who joins RB's executive committee. Aditya's previous roles included responsibility for RB's operations in China and North Asia, RB's global health care division and RB's North American business.
Mead Johnson's infant and children's nutrition business will increase RB's revenues in consumer health by approximately 90%, as well as its developing market scale by approximately 65%.