A Better Approach To Herbal Supplements Industry

Posted by Mrudula Anil Karmarkar on May 20th, 2021

The global herbal supplements market size is expected to reach USD 8.5 billion by 2025, according to a new report by Grand View Research, Inc. It is projected to expand at a CAGR of 6.2% over the forecast period (from 2018 to 2025). Growing geriatric population and awareness regarding preventive healthcare are expected to be the key factors driving the market. Rising healthcare expenditure is also likely to augment the market growth. Easy availability of herbal supplements owing to various strategies, such as direct selling and bundled offerings, adopted by companies will also support market growth.

Multiple therapeutic regimens are being followed across the globe in attempts to come up with a reliable treatment for Covid-19. One line of treatment includes the use of hydroxychloroquine, while a second treatment line focuses to use antiviral drugs used in the disease management of HIV. Both these approaches have surged demand from advanced antivirals and antimalarial drugs. This impacts the drug manufacturers as an off label indication for these drug classes has to be worked upon. At the moment, the WHO has not prescribed any of these approaches, neither they have commented if one is better than the other. The report will account for Covid19 as a key market contributor.

Increasing awareness regarding the benefits associated with the consumption of herbal supplements is also likely to have a positive impact on the product demand. Manufacturers are focusing on product placement strategies to increase their sale across all consumer groups. For instance, the advertisements targeting children segment are focused on endorsing the use of supplements for nutritional values for healthy growth. According to the article cited by NCBI in 2013, nearly 80% of the global population relies on herbal supplements as part of primary healthcare. Thus, increasing acceptance of natural therapies and products is also propelling the market growth.

According to the United Nations 2017 estimates, geriatric population is expected to reach 2.1 billion in 2050 from 962 million in 2017. The number of comorbidities rises with aging, thus, geriatric population is highly prone to comorbid conditions. According to the National Consumer Survey on the Medication Experience and Pharmacist Role (NCSME-PR) conducted in U.S. in 2015, it was concluded that people with chronic conditions are more likely to consume herbal supplements. These factors are projected to boost the market growth over the coming years.

Herbal Supplements Market Report Highlights

  • Echinacea supplements segment accounted for the largest revenue share in 2017 owing to high adoption of these supplements for infection prevention
  • Turmeric supplements segment is expected to emerge with the fastest CAGR 8.1% over the forecast period owing to the rising clinical studies demonstrating the therapeutic benefits of these supplements
  • Capsule segment accounted for the largest revenue share in 2017 owing to the large number of products available in capsule form
  • Adult segment emerged as the largest consumer group in the past while pregnant women segment is expected to emerge with the fastest CAGR 7.0% over the forecast period
  • Asia Pacific was the largest regional market; however, Europe is anticipated to witness the fastest CAGR of 8.2% over the forecast period
  • Jarrow Formulas, Inc.; Solgar, Inc.; Nature’s Bounty; Ancient GreenFields Pvt. Ltd.; Gaia Herbs; and Now Foods are some of the key companies in the herbal supplements market

Increasing spending on health and wellness and rising disposable income levels, especially in the emerging nations, are expected to augment the demand for herbal supplements globally. The preference for buying health and wellness products as compared to luxury goods among the consumers is rising. Herbal supplements help maintain cholesterol levels, regulate the digestive system, and reduce stress. Thus, increasing awareness about the health benefits offered by these products is also expected to fuel the market development.

Although there aren’t any scientific evidences supporting such benefits; the product demand is constantly rising, thereby augmenting the global market growth. In addition, easy availability of these products is also responsible for their increasing demand. Preference for e-commerce platforms over conventional distribution channels for purchasing these products is rising as due to cost-effectiveness and better convenience.

In 2017, Echinacea segment accounted for the largest revenue share of 34.9% of the global market. According to the HerbalGram data published in 2017, Echinacea is the most prominent and third most popular herbal supplement in the mainstream retail distribution network in U.S. Rise in the number of clinical studies demonstrating the health benefits of Echinacea also fueled their demand, which, in turn, contributed to the segment’s highest revenue share.

According to the data published by William Reed Business Media Ltd., the largest study demonstrating the benefits of Echinacea purpurea was published in 2012, which indicated that Echinacea can reduce the number of recurrent colds by 60% and can also decrease the duration of common cold by 26%. This study was further followed by Bioforce in 2015, using Echinaforce hot drink product that contained a combination of elderberry and concentrated Echinacea herb and root extract. It was concluded that for the early flu treatment, this combination is as effective as Tamiflu, an antiviral medication.

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This market is fragmented in nature. Direct sales, product bundling offers, and extensive discounts are the key competitive strategies adopted by the market players for gaining competitive edge. Jarrow Formulas, Inc.; Solgar, Inc.; Nature’s Bounty; Ancient GreenFields Pvt. Ltd.; Gaia Herbs; and Now Foods are some of the key companies in this market.

Grand View Research has segmented the global herbal supplements market on the basis of product, formulation, consumer:

Herbal Supplements Product Outlook (Revenue, USD Million, 2014 - 2025)

  • Moringa
  • Echinacea
  • Flaxseeds
  • Turmeric
  • Ginger
  • Ginseng

Herbal Supplements Formulation Outlook (Revenue, USD Million, 2014 - 2025)

  • Tablets
  • Capsules
  • Liquid
  • Powder and Granules
  • Soft Gels
  • Others

Herbal Supplements Consumer Outlook (Revenue, USD Million, 2014 - 2025)

  • Pregnant Women
  • Adults
  • Pediatric
  • Geriatric

About Grand View Research

Grand View Research, Inc. is a U.S. based market research and consulting company, registered in the State of California and headquartered in San Francisco. The company provides syndicated research reports, customized research reports, and consulting services. To help clients make informed business decisions, we offer market intelligence studies ensuring relevant and fact-based research across a range of industries, from technology to chemicals, materials and healthcare.

For More Information:www.grandviewresearch.com

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Mrudula Anil Karmarkar

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Mrudula Anil Karmarkar
Joined: July 2nd, 2020
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