The COVID pandemic has increased wellness awareness. People are shifting towards a prevention-is-better-than-cure model, evident from the rise in supplement sales across the US. Consumers are also moving towards herbal alternatives and subscription-based sales. Different verticals like nootropics, immunity supplements, pet vitamins, sports nutrition, probiotics, and cannabinoids have gained special focus this year.
On the other hand, supplement manufacturers have also evolved. Modern suppliers offer market research, customized product development, potency testing, exotic ingredients supply chains, brand building, dropshipping, and product fulfillment. The supplement manufacturing and distribution industry is booming with new possibilities in multiple verticals. It is easier than ever before to start a supplement brand. Let’s explore the top 5 trends in supplement manufacturing in the USA.
Demand for Mental Wellness Increasing
Frequent lockdowns and work-from-home trends have brought back the spotlight on mental health. Mood and mental health products are flying off shelves in record numbers. There is also a steady rise in mental wellness brands selling smart drugs, brain health, cognitive care, and herbal adaptogens. Nootropics like stress relief, sleep aid, memory enhancer, and mood lifters have record sales in the last few quarters. The industry will grow at a 14% CAGR to a $30 billion industry by 2028.
There is also a growing trend towards Ayurveda and herbal nootropics. Most prominent brands have formulations containing extracts from coffee, turmeric, ginseng, brahmi, ashwagandha, chamomile tea, ginseng, arctic root, and pine bark. These herbs are in great demand as standalone concentrates or therapy aid formulations. There is also a growing body of research on mental health through aromatics, omega-3 oils, terpenes, CBD extracts, cod liver oils, and chelated magnesium glycinate.
Probiotics and Cannabidiol Two Hot Categories
Probiotics remain the chart-topper among nutraceuticals, while cannabidiol is a growing trend in herbal wellness. The probiotics industry is set to double in size by 2030. New research on the hidden benefits of probiotics on gastro health published across the globe has shown the interconnection of GI tract health and common health disorders. Probiotics are sold as probiotic tablets, probiotic drinks, and probiotic food additives have increased as consumers shift towards prevention medicines.
There has been a massive sales growth of non-intoxicating cannabis products like CBD extracts and hemp oil after the 2018 Farm Bill removed legal restrictions on CBD sales. CBD remains the highest sold herbal supplement due to gaining popularity and new research findings. Even though regulators have not found scientific benefits of CBD products, recent trends suggest a massive boom in CBD products due to cultural shifts and word-of-mouth marketing. Consumers value purity while purchasing CBD tinctures and oils. RE Botanicals, one of the prominent players in the CBD nutrition category, focuses on the “flower-to-bottle” production model that has gained traction among organic users.
Vitamins are Getting Personalized
The multivitamin intake format is slowly shifting towards specific vitamins and minerals sales. People buy more select doses of Vitamin B12, Vitamin D, zinc, and calcium than all-inclusive vitamin tablets. Multivitamins are more categorized. There is a rise in formulations with certain combinations of vitamins and minerals. The top categories are immunity boosters, detox/blood purifiers, mood lifters/stress busters, and bone health. Most prominent brands have diversified their vitamin and mineral SKUS to include herbal ingredients and target specific nutrition demographics.
The personalization of nutrition has led to unique products like Irish moss, delta 8 THC, mushroom coffee (lion’s mane, chaga, cordyceps), mad honey, and collagen peptides. These products may not have huge sales volumes, but they can help define your brand. It can be helpful if you want to capture a niche market with evolving demands. Pet care is another growing category under specialized vitamins and mineral support, and consumers are buying pet care products from the same brand. Cat and dog owners are concerned about their pets’ immunity and digestive health. Pet products are mostly purchased online through e-commerce portals.
Customers Value Transparency More than Ever
As per Innova Nutrition & Health Survey 2020, 85% of consumers want to know the authenticity and source of ingredients in their supplements. Furthermore, there is a trust deficiency in nutrition brands among millennials that new brands can fill. Transparency is essential in the sports nutrition industry, especially in whey protein and amino acid sales. Wellness nutrition is moving towards transparency, and brands that prioritize the source of ingredients and ingredient potency are growing faster. Consumers are also conscious of sustainability and eco-friendliness. Many global brands are experimenting with blockchain technology to help consumers track their products back to their origin.
To ensure transparency, check your manufacturer’s supply chain certifications like NOP Organic, NSF, Organic Trade Association, Organic Supply Chain Association, USDA, etc. You can also test your products for contaminations, adulterations, and potency through private labs. Adopting transparency as a core brand philosophy will also help your brand pass upcoming FDA regulations on supplements.
Value-Added Services by Supplement Manufacturer
The new-age manufacturer doesn’t just supply supplements in bulk. Due to the rapid evolution of the supplements market, modern suppliers provide market research and custom formulations for your brand. You can also create unique branding and packaging for your supplements. You can also pilot test different formulations in small batches. Working with global supplement manufacturers also opens multiple ingredient supply chains, valuable research data, and innovative forms like gummies, tinctures, gelatin capsules, liquid, etc.
Some manufacturers offer high levels of supply chain integration through pan-US logistics and order fulfilments through drop-shipping. You can now focus on developing and marketing your product and outsource distribution to your supplement suppliers. This can reduce your costs and increase profit margins. Multinational manufacturers can also help you import rare ingredients from foreign sources. You can also consult your manufacturer for regulatory help, certifications, and permits for exporting your products to other countries. The supplement manufacturing industry is so fluid that you can set up a nutrition brand in less than a month.
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