2000-09-22

Wellness Market Hits $66 Billion in Annual Sales

BELLEVUE, WA, September 22, 2000 - The Hartman Group today released results from The Wellness Lifestyle Shopper Study, the company's most comprehensive syndicated research study of the wellness consumer market. The study's findings indicate U.S. consumers spend $5.5 billion each month on wellness products and services for an annual total of $66 billion.

The Wellness Lifestyle Shopper Study divides the market into three consumer groups, defined in part by dietary supplement usage, organic or natural food consumption and proactive health behaviors. Core (high-level) wellness consumers make up 14% of the market, mid-level wellness consumers make up 55% and periphery (low-level) wellness consumers make up 30%. According to The Wellness Lifestyle Shopper Study, consumers participate in wellness products and services primarily to stay healthy, to feel better and to prevent illness. The wellness market includes healthy foods and beverages, dietary supplements, organic products, sports nutrition and diet aids, alternative health care products and services, but does not include prescription drugs and over-the-counter medications.

The channels in which consumers buy wellness products are an important component of The Wellness Lifestyle Shopper Study's analysis. Over 34% of dietary supplement purchases take place in the mass market/discount channel (e.g. Wal-Mart, Club Stores) followed by 22% in the grocery/supermarket channel. For organic and natural food products, 62% of these purchases are made in the grocery/supermarket channel and 13% move through the mass market/discount channel. Despite consumers wanting one-stop-shopping convenience, many consumers still shop multiple channels to satisfy their wellness needs.

Currently, wellness consumers exhibit low brand loyalty as they experiment with the growing number of product choices in the marketplace, often selecting products by price and availability. This is especially true for many dietary supplements; consumers view little or no differentiation among these products.

Knowledge is a key driver of wellness involvement, and consumers use multiple information sources to learn about health and wellness products. Topping the list, 64% of consumers use books and magazines, 57% use doctors and 48% use friends and relatives to gather information. The Internet is gaining popularity as a resource; however, as indicated in The Wellness Lifestyle Shopper Study's, more consumers use it to research health and wellness topics than they do specific products and services.

The Hartman Group's upcoming syndicated studies include Women's Wellness and Sports Nutrition. These studies will be fielded in Fall 2000 with results released in Spring 2001.

About The Hartman Group
Founded in 1989, The Hartman Group specializes in the analysis and interpretation of consumer lifestyles, and how these lifestyles affect the purchase and use of health and wellness products and services. The Hartman Group offers syndicated studies, consulting services and publications based on proprietary research methodologies that enhance brand strategy, product development and channel distribution.

For further information about The Wellness Lifestyle Shopper Study and other studies, contact us.