the us botanical market
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7/27/2019 The US Botanical Market
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The US Botanical Market:Latest Consumer Insights
March 2011
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2 © 2011 Natural Marketing Institute (NMI)
% of US general population adults indicating they have usedthe following nutritional supplements in the past 30 days
62%
% general population % GP
Current supplement users (past 30days)
62%
Vitamin/mineral (net) 57%
Multivitamins/minerals 48%
Single vitamins 23%
Single minerals 13%
Other (net) 29%
Other supplements 15%Condition specific 11%
Herbal supplements 11%
Homeopathic medicines 5%
Ayurvedic remedies 1%
Sizing the US Herbal Supplement Market
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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3 © 2011 Natural Marketing Institute (NMI)
U.S. Supplement Launches with Botanical/Herbal Claim; Upward Trend Growth?
(1996-2010)
# launches = 2231
Source: NMIs Product Trend Identifier (PATI)
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4 © 2011 Natural Marketing Institute (NMI)
Herbal Supplement Users Are An Intense Group…
64%
38%
58%
23%
49%
19%
Taking vitamins and
minerals
Taking herbal
supplements
Herbal Supplement Users
Supplement Users
General Population
% consumers indicating the following are extremely to very important in
how they maintain a healthy, balanced lifestyle
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
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Who Is Using Herbal Supplements?
Usage is moderately high across generations –
Boomers are significantly more likely to be using compared to younger
generations
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
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Drivers of Initial Herbal Supplement Use
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
PRIMARY
To promote overall
health
SECONDARY
Promote immunity
Treat specific health issues TERTIARY
Improve digestion Reduce effects of stress
Increase energy Improve mental abilities
Prevent health issues Increase nutrient consumption
Maintain, lose weight
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Changes in Herbal Supplement Drivers from Past Year
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
DECREASES INCREASES
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SupplementCurrent Supplement
UsersLapsed Users
Flaxseed Oil 8% 5%
Fiber Pills 7% 9%
Aloe 5% 20%
Cranberry Pills 5% 5%
Garlic Pills 5% 7%
Green Tea Pills 5% 5%Echinacea 4% 10%
Ginkgo Biloba 4% 6%
Milk Thistle 3% 3%
Lutein 3% 1%
Melatonin 3% 5%
Ginseng 2% 10%
Saw Palmetto 2% 2%
St. Johns Wort 2% 6%
Grape Seed Extract 2% 2%
Lycopene 2% 1%
Black Cohosh 1% 2%
Valerian 1% 2%
Kava Kava 0.2% 0.5%
Specific Herbal Supplement Usage
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
High Lapsed
Usage
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Primary Reasons for Lapsed Usage HighlightCompliance Opportunities
Aloe Echinacea Ginseng
I only use it when Ineed it and I havent
needed it lately
I only use it when Ineed it and I havent
needed it lately
I got tired of taking it/got out of the routine
Not effective
Too expensive
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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Vitamins/Minerals Condition SpecificSupplements
Herbs/Botanicals
31%43%
18% 24%12%
31%
59%
54%
60%
66%
49%
59%
Supp
User
Herbal
User
Supp
User
Herbal
User
Supp
User
Herbal
User
Very effective
Somewhat effective
Perceived Effectiveness of Supplement Categories isStill An Issue (Not Just Herbals…)
Even Herbal
Users areuncertain
about
effectiveness
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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Condition Prevention Concerns Are Much Higher for Herbal Users
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
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Quadrant Analysis for Condition Specific Opportunities:Consumer Concern & Perceived Effectiveness
Heart disease
Bone issues
E f f e c t i v e n e s s o f A v a i l a b l e
S u p p l e m e n t s
SECONDARY OPPORTUNITIES
Digestive
Cancer
High blood
pressure
Acid reflux
Intestinal irregularity
Highcholesterol
Arthritis
Weight
Joint pain
Lack of energy
Stress
Memory loss
Depression
Need to boostimmunity
Vision problems
Mental focus/
concentration
Sleep disorders
Blood sugar
imbalance
Anxiety
Indigestion
Inflammation
in body
Atherosclerosis
Aging skin
Skin health
LOW HIGH
VERY
NOT VERYPRIMARY OPPORTUNITIES
Heart disease
Cold & flu
Concern about Condition
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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Market Opportunity Summary
Cancer Aging skin High blood pressure
Memory loss Mental focus High cholesterol
Stress Anxiety Digestive conditions
Need to lose weight Skin health Joint pain
Heart disease Arthritis Lack of energy
Arthritis Vision Cold & flu
Depression Sleep disorders Acid reflux
Inflammation in body Bone issues
Need to boost immunity
Un-crowded market;
high need
Un-crowded
market;
lower need
Crowded market;
high need
Need to boost concern Need to differentiate productNeed very effective product
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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Preference for Other Formats is on the Rise
35% of Herbal Users
prefer supplements
in other formats
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
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Growth of Supplement Formats: 2002-2010
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
WHATS GROWING WHATS NOT
Quick Dissolve Strips Softgels
Fizzing tablets Tablets
Chewables
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Concern about Nutrient Absorption of Supplements:Format Connection?
I am concerned that when I take nutritional supplements, like vitamins,minerals, herbals, multivitamins, etc. my body does not absorb enough of the
nutrients the supplements are supposed to provide
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
Supplement User: 49% Herbal User: 54%
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Physician Involvement and Influence with DietarySupplement Use Is Stronger With Herbal Users
I have discussed the dietary supplements I use with my doctor
Supplement User:
61%
Herbal User:
62%
I wish my doctor knew more about dietary supplements
Supplement User:
37%
Herbal User:
57%
My doctor is very knowledgeable regarding dietary supplements
Supplement User:
41%
Herbal User:
33%
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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Herbal Supplement Users Show Higher Belief in Safetyof Supplements Categories
57%
23%
42%
0%
10%
20%
30%
40%
50%
60%
Vitamins/minerals Herbs/Botanicals Condition specific
supps
Herbal User
Supplement User
% indicating the following are VERY safe
Source: NMIs Nutritional Supplement/OTC/Rx Database, 2009
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Desire for Supplements from Natural, Organic, andVegetarian Sources Trending Up
42%45%
31%28%
25%
27%
2010200920082007
I prefer to buy VMHS that are
derived from natural sources
I prefer to buy VMHS that arederived from organic sources
I prefer to buy dietary
supplements that are derived
from animal-free or vegetarian
sources
Source: NMIs 2008 Health & Wellness Trends Database (HWTD)®
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Sustainability and Environmental Health Cannot BeOverlooked
I am more likely to buy a dietary
supplement if it uses sustainable
or environmentally friendly
ingredients
I would be willing to pay 20% more
for a dietary supplement that uses
sustainable or environmentally
friendly ingredients
Supplement User:
28%
Supplement User:
19%
Herbal User:
38%Herbal User:
26%
Source: NMIs 2010 Health & Wellness Trends Database (HWTD)®
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Average Growth of Channels Where Consumers ShopMost Often for Nutritional Supplements
15.7%
5.3%
1.9%
1.0%
-1.2%
-3.6%
-10.1%
-10.3%
-16.7%
% CAG 04-10
Internet (5%)
Natural food supermarket (3%)
Warehouse clubs (9%)
Drug store (20%)
Mass merchandiser (26%)
GNC (4%)
Traditional grocery store (10%)
Nutrition store (3%)
Catalog or mail order (2%)
Percentage in parentheses is percentage of consumers (GP-
PGS) who shop most often in that channel
Source: NMIs 2010 Health and Wellness Trends Database (HWTD)®
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