| Supplement market hits record growth of 14.5% What do these four things have in common? Amazon’s 2019 advertising spend United Nations yearly peacekeeping operations budget Halloween spending in 2015 U.S. plant-based food sales per year They are all equivalent to $7 billion – the value in added dollars to the supplement market in 2020, which grew from $48.67 in 2019 to $55.75 billion in 2020. Without context, it’s difficult to understand just how much money was added to industry sales last year. Prior to 2020, the supplement market had been adding between $2 billion and $2.5 billion each year since 2015. This was driven by a record-breaking year of 14.5% growth, higher than the previous record of 14.4% in 1997 when the industry was just $13.97 billion. The pandemic drove growth in areas that are perhaps not so surprising, but the sheer volume of sales growth is definitely notable. Vitamins bought online accounted for 1 in every 5 dollars added to total sales last year. From a category perspective, vitamins had the strongest performance, with 22.3% growth, adding $3.24 bilion to total sales. This is in constrast to years of flat sales in the vitamin cateogry. From a channel perspective, e-commerce dominated in sales growth, at 87.3%, adding $4.33 billion to total sales, and accelerating the ongoing growth momentum in e-commerce. Following a year of record growth, it becomes difficult to evaluate the yearly success of the industry moving forward by evaluating just one metric. NBJ projects that overall growth will drop to 5.3% this year and 3.2% in 2022. However, don’t doubt that the outlook for supplements is bright – we expect a lasting boost to the industry of $1.7 billion by 2024 and beyond, driven by the effects of the pandemic.
|
| |
| | Claire Morton Reynolds Claire Morton Reynolds is the Senior Industry Analyst for New Hope Network's Nutrition Business Journal. She manages NBJ's data and insights to inform the industry on market trends and forecasts in natural and organic food and beverage, functional food and beverage, dietary supplements and personal care. |
---|
|
| |
| The 2021 Supplement Business Report is here |
| | Following a historic year of growth in the supplement indsutry, the 2021 Supplement Business Report tackles this question, "Where do we go from here?" With 174 charts and graphs, 39 company profiles, the Top 50 companies list, and much more, this report is full of trusted data and realistic insights that will help your company make the best decisions this year and beyond. |
---|
|
| |
| Looking for more industry-leading insights? Follow us on Linkedin and Twitter for bite-size market stats and exclusive sneak-peeks into our reports and NBJ issues. |
| |
| |
|