Vitamins, Minerals and Supplements - US - September 2018

OVERVIEW
What you need to know
Definition
EXECUTIVE SUMMARY
Overview
VMS market growth remains steady
Figure 1: Total US sales and fan chart forecast of vitamins, minerals, and supplements, at current prices, 2013-23
The issues
Prior experience is the strongest influencer among key consumers
Figure 2: Previously used brand as purchase influencer, by age, June 2018
Value-driven young adults are the future of the market
Figure 3: Agree - usually buy store brand, by age, June 2018
Medical professionals lack engagement in VMS market
Figure 4: Agree - would be helpful if doctor recommended specific brands of VMS, by age, June 2018
The opportunities
Focus on functional benefits; stay current with health trends
Figure 5: Reasons for taking a vitamin, mineral, or supplement, June 2018
Deliver on short-term benefits to appeal to young adults
Figure 6: Select reasons for taking a vitamin, mineral, or supplement, by age, June 2018
Consumers want guidance
Figure 7: Important to describe benefits for taking specific VMS, by age, June 2018
Brand messaging should be more inclusive
Figure 8: Select important product factors, by total and Black, non-Hispanic, June 2018
What it means
THE MARKET – WHAT YOU NEED TO KNOW
Steady growth will persist
All segments growing, supplements post largest gains
Functional food and drinks impede on need for OTC VMS
High consumer confidence a positive indicator
Sleep issues lend themselves to VMS opportunities
Take into account growing US diversity
MARKET SIZE AND FORECAST
VMS market growth remains steady
Figure 9: Total US sales and fan chart forecast of vitamins, minerals, and supplements, at current prices, 2013-23
Figure 10: Total US retail sales and forecast of vitamins, minerals, and supplements, at current prices, 2013-23
MARKET BREAKDOWN
All segments post gains
Figure 11: Total US retail sales and forecast of vitamins, minerals, and supplements, by segment, at current prices, 2013-23
MARKET PERSPECTIVE
Functional food and drinks impede on need for OTC VMS
MARKET FACTORS 
Sustained high consumer confidence a positive indicator
Figure 12: Consumer sentiment index, January 2007-April 2018
Sleep issues are prevalent; impact energy levels
Figure 13: Internal sleep aid usage and interest, December 2016
Multicultural consumer growth highlights the need for varied approaches
Figure 14: Population by race and Hispanic origin, 2013-23
KEY PLAYERS – WHAT YOU NEED TO KNOW 
Free-from claims grow along with brands targeting digestive, mental, and eye health
Private label is making inroads
Crowded market and changing children’s trends challenge brands
Beauty, brains, and getting up in the morning
WHAT’S IN?
Free-from claims on the rise
Figure 15: Vitamins and dietary supplements launches with a “free from” claim, rolling years September 2013-August 2018
Seeking digestive balance
Figure 16: Total US Sales growth and forecast of probiotics, at current prices, 2012-21(est)
Treating mental health by relieving stress
Supplementing eye health
Private label making gains, yet needs to continue to be nimble
Figure 17: Agree - usually buy store brand, by age, June 2018
WHAT’S STRUGGLING?
How to stand out in a jam-packed market
Mainstay kid brands struggle in the face of natural preferences
Figure 18: Multi-outlet sales of select kid focused vitamins, rolling 52 weeks 2017 and 2018
WHAT’S NEXT?
Beauty trend spotlight: collagen supplements
Give the brain a natural boost
Figure 19: Awareness of nootropic cognitive supplements, June 2018
Help consumers rise and shine; and also establish a VMS routine
Innovation spotlight
Updating the delivery system
At home tests determine optimal VMS mix
THE CONSUMER – WHAT YOU NEED TO KNOW 
VMS use is established
VMS fill in the wellness gaps for the majority, specific benefits appeal
Previous experience drives purchases
An online presence is essential for VMS brands
Guidance wanted, premium quality required, customization for the young
Solid interest in doctor direction, mental health, and beauty benefits
PRODUCT USAGE 
Use is prevalent
Figure 20: Usage of vitamins, minerals, and supplements, June 2018
A person’s age is linked to their VMS usage
Figure 21: Usage of select vitamins, minerals, and supplements, by age, June 2018
Young women are pursuing a beauty boost
Figure 22: Usage of beauty supplements, by gender and age, June 2018
REASONS FOR USE
Covering the general health bases is a given; focus on the differentiators
Figure 23: Reasons for taking a vitamin, mineral, or supplement, June 2018
Younger adults want specific, short-term benefits
Figure 24: Select reasons for taking a vitamin, mineral, or supplement, by age, June 2018
Dads are looking for peace of mind, but also defined boosts
Figure 25: Select reasons for taking a vitamin, mineral, or supplement, by parental status, June 2018
Deliver on functional benefits for Black and Hispanic consumers
Figure 26: Select reasons for taking a vitamin, mineral, or supplement, by race and Hispanic origin, June 2018
BRAND PURCHASE INFLUENCERS
Tried and true is the strongest influencer
Figure 27: Brand purchase influencers, June 2018
Older adults stick with what’s familiar; younger adults want guidance
Figure 28: Select brand purchase influencers, by age, June 2018
Young adults seek natural options
Figure 29: Brand purchase influencer - natural brand, by age, June 2018
Asian adults drawn to a sale
Figure 30: Sale influence purchasing of specific brand, by race and Hispanic origin, June 2018
ONLINE INFORMATION SOURCES
An online presence is essential for VMS brands
Figure 31: Online information sources, June 2018
Young adults are online savvy; WebMD is the age equalizer
Figure 32: Online information sources, by age, June 2018
Connect with Hispanic consumers through social media
Figure 33: Use of social media to learn about VMS, by race and Hispanic origin, June 2018
IMPORTANT PRODUCT FACTORS
Guidance wanted, premium quality required
Figure 34: Important product factors, June 2018
Young adults demand more (but at a value price)
Figure 35: Select important product factors, by age, June 2018
Customization preferences decrease with age
Figure 36: Importance of customized and subscription service features, by age, June 2018
Benefits and customization reach Black consumers
Figure 37: Select important product factors, by total and Black, non-Hispanic, June 2018
TREND PERCEPTIONS
Personal medical endorsement desired
Figure 38: Agree - would be helpful if doctor recommended specific brands of VMS, by age, June 2018
Interest in supplements to enhance mental health is strong
Figure 39: Agree - interest in supplements for mental health, by age, June 2018
Drop the “beauty” and focus on specific appearance benefits
Figure 40: Interest in beauty-related supplements, June 2018
Don’t forget about (young) men
Figure 41: Agree - interest in beauty related supplements, by gender and age, June 2018
APPENDIX – DATA SOURCES AND ABBREVIATIONS
Data sources
Sales data
Fan chart forecast
Consumer survey data
Abbreviations and terms
Abbreviations
APPENDIX – THE MARKET 
Figure 42: Total US retail sales and forecast of vitamins, minerals, and supplements, at inflation-adjusted prices, 2013-23
Figure 43: Total US retail sales and forecast of vitamins, minerals, and supplements, by segment, at current prices, 2013-23
Figure 44: Total US retail sales of vitamins, minerals, and supplements, by segment, at current prices, 2016 and 2018
APPENDIX – KEY PLAYERS 
Figure 45: Multi-outlet sales of vitamins and minerals, by leading companies, rolling 52 weeks 2017 and 2018
Figure 46: Multi-outlet sales of vitamins, by leading companies and brands, rolling 52 weeks 2017 and 2018
Figure 47: Multi-outlet sales of minerals, by leading companies and brands, rolling 52 weeks 2017 and 2018
APPENDIX – THE CONSUMER 
Figure 48: TURF Analysis – Important product factors, June 2018
Figure 49: Table – TURF Analysis – Important product features, June 2018
Methodology