Consumer insights lead to business boom

The fact is business in the supplement aisle is booming. The majority of U.S. adults — 68% — take dietary supplements, and consumer confidence remains high, with 84% of U.S. adults expressing overall confidence in the safety, quality and effectiveness of dietary supplements, according to the latest Council for Responsible Nutrition Consumer Survey on Dietary Supplements.

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The vitamin/mineral/supplement category was up 4.6% to $6.7 billion for the 52 weeks ended April 17 across total U.S. multi-outlets, according to IRI. When you add the related adjacent wellness categories — such as diet aids, adult nutrition, meal replacement bars and energy shots — the total business tops more than $12.8 billion on a similar middle-single-digit growth rate.



“We as an industry are doing a better job tapping into consumer insights [justifying] why they should be taking [dietary supplement] products,” said Derek Bowen, chief marketing officer at NBTY. For older generations, it’s better health. For younger generations, it’s better wellness.



“On Nature’s Bounty, for example, our broadline business follows the category norms where consumers are 45-plus,” he said. “Whereas in our Optimal Solutions line — which is where we carry Hair, Skin and Nails — there is a material difference in terms of how many millennials we’re bringing in,” he said, noting that the look-better/feel-better beauty proposition of the Optimal Solutions probably will carry over to the broadline brand when those millennials start looking for better health solutions.



Beyond household penetration and consumer confidence in the category, consumers who place supplements into their marketbasket are much more likely to be on an aspirational path to wellness — 78% of Americans feel that taking dietary supplements is a smart choice for a healthy lifestyle, according to the survey.



According to the CRN survey, 85% of supplement users talk to their doctors about their supplement use. A little more than half (51%) are taking supplements to improve their overall health and wellness. Almost one-third (30%) identified the filling of nutrient gaps in their diet as a good reason behind their consumption of supplements. As many as 29% of users are taking supplements to boost their energy, 27% their immune health, 25% their bone health and another 25% their heart health.



And those consumers are looking for quality, said Clay Desjardine, CEO of Ion Labs. “The industry is generally evolving to a better place quality-wise,” he said. “Dietary supplements [and] natural alternatives can move the needle in terms of maintaining an overall well-being and quality of life.”



In this special report, DSN explores what’s happening in the diet aid market, gummy vitamins and adult nutrition.