Global healthcare expenditure is expected to rise to $10.83 trillion (€8.56 trillion) in 2020, an increase of approximately 77% from 2010, said the analyst.
Krithika Tyagarajan, analyst at Frost & Sullivan said that nutraceuticals manufacturers should concentrate on educating consumers and proving the benefits of nutraceuticals through science if they want to be successful.
“The nutraceutical products that can deliver what is promised on the labels will be successful. The claims made on the products whether it lowers cholesterol or reduces blood pressure must be proven through science and consumers must experience the benefit.
“Once consumers are convinced on the benefits and have positive associations with the brand, they would in turn become loyal to the brand and act as referrals."
New consumers, new markets
Approximately one fourth of the global market is based in Europe, while Asia remained the largest market for nutraceuticals. Tyagarajan said that although the global market was expected to grow at a CAGR of 7.0%, each country faced specific challenges.
“While in the developed markets, scientific validation is very crucial, in developing markets, affordability and cultural sensitivities are equally important factors for consideration,” she said.
Growing global demand went hand in hand with a changing consumer profile.
“A few years back I would have said only the health conscious. Nowadays, this has become mainstream, particularly in developed markets. A significant number of people miss their meals or have unbalanced diets and therefore it becomes important for them to take supplements to provide them the nourishment and health benefits,” said Tyagarajan.
“Every person will take supplements of some form or the other. The elderly may take supplements related to joint health or digestive health while women might take supplements for weight management or vitamins and minerals to boost their immunity while children might take multivitamins for growth or omega 3 products for brain nourishment,” she added.