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NBJ’s Supplement Business Report 2012 An analysis of markets, trends, competition and strategy in the U.S. dietary supplement industry

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NBJ’s Supplement Business Report

2012 An analysis of markets, trends, competition and strategy in the U.S. dietary supplement industry

NBJ’s Supplement Business Report 2012

2 www.nutritionbusinessjournal.com ©2012 Penton Media, Inc.

Table of Contents

©2012 Penton Media, Inc. www.nutritionbusinessjournal.com 3

2.1. ACKNOWLEDGEMENTS ................................................................................................................................................... 25 2.2. RESEARCH METHODOLOGY ............................................................................................................................................. 25

2.2.1. Disclaimer ........................................................................................................................................................ 26 2.2.2. Copyright ......................................................................................................................................................... 26

2.3. DEFINITIONS ................................................................................................................................................................. 26 2.3.1. Product Categories .......................................................................................................................................... 26 2.3.2. Sales Channels ................................................................................................................................................. 28

3.1. U.S. NUTRITION INDUSTRY ............................................................................................................................................. 31 3.1.1. Product Category Sales .................................................................................................................................... 31 3.1.2. Channel Sales ................................................................................................................................................... 34 3.1.3. Growth & Forecast ........................................................................................................................................... 38

3.2. U.S. DIETARY SUPPLEMENTS ........................................................................................................................................... 40 3.2.1. Dietary Supplements vs. U.S. Nutrition Industry .............................................................................................. 40 3.2.2. Product Category Sales .................................................................................................................................... 42 3.2.3. Top Companies ................................................................................................................................................ 46 3.2.4. Top Supplements ............................................................................................................................................. 49 3.2.5. Channel Sales ................................................................................................................................................... 52 3.2.6. Growth & Forecast ........................................................................................................................................... 53

3.3. A BRIEF HISTORY OF SUPPLEMENTS .................................................................................................................................. 56 3.4. SUPPLEMENT CONSUMER USAGE TRENDS .......................................................................................................................... 65

3.4.1. Recession Makes Wellness a More Urgent Priority for Most Consumer Groups ............................................. 65 3.4.2. Supplement Usage Connected to Consumer Perceptions of Health and Wellness .......................................... 69 3.4.3. Weight Loss Tops List of Health and Wellness Goals for U.S. Women Shoppers ............................................. 77 3.4.4. Hartman Group: Consumers Embrace Holistic View of Health and Wellness .................................................. 82 3.4.5. HFI: Global Consumers Worried Most about Cancer, Heart Disease and Aging .............................................. 85 3.4.6. NMI: Manufacturers and Suppliers Have More Work to Do on Education Front ............................................ 88 3.4.7. Natural Product Companies Use Consumer Research to Avoid Costly Mistakes ............................................. 90 3.4.1. Consumer Research Takes On New Importance in Wake of Health Claims Crackdown .................................. 93 3.4.2. Food Culture, TCM Shape How Chinese Consumers Approach Health and Wellness ...................................... 95

3.5. TRENDS ....................................................................................................................................................................... 96 3.5.1. Considering a Post-DSHEA World .................................................................................................................... 96 3.5.2. The Past & Future of DSHEA .......................................................................................................................... 102 3.5.3. FDA Agrees to Issue Revised NDI Draft Guidance .......................................................................................... 103 3.5.4. What Will It Take for the Supplement Industry to Comply with GMPs? ........................................................ 105 3.5.5. Forks in the Road: How Has Regulation Affected Industry’s Development? ................................................. 106 3.5.6. Dry Labs Dragged into the Open.................................................................................................................... 109 3.5.7. Is The Future of Supplements in Whole-Food Formulations? ........................................................................ 112 3.5.8. What Will the Nutrition Industry Look Like in Three Years? .......................................................................... 115 3.5.9. Is Toxicity the Flipside of Enhanced Bioavailability? ...................................................................................... 117 3.5.10. The Supplement Industry’s Search for Better Science .................................................................................... 121 3.5.11. VMI Nutrition: A New Breed of Contract Manufacturer ................................................................................ 125 3.5.12. A Business Primer on Vertical Integration ..................................................................................................... 127 3.5.13. Inside the Brave New World of Neuromarketing ........................................................................................... 131 3.5.14. Misinformation Abounds about Interactions between Supplements and Drugs ........................................... 133

NBJ’s Supplement Business Report 2012

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3.5.1. Military Eyes Supplements for Targeted Use, Slow to Develop an Official Policy .......................................... 136 3.6. MERGERS & ACQUISITIONS IN 2011 AND 2012 ............................................................................................................... 139

3.6.1. Martek Purchase Gives DSM More Ammo to Compete in Global Omega-3 Market ..................................... 139 3.6.2. Designer Protein Acquires Designer Whey Brand from NEXT Protein ........................................................... 141 3.6.3. GNC Goes Public (Again) ................................................................................................................................ 142 3.6.4. BSN Opens New Doors to Consumer Whey Market for Glanbia .................................................................... 143 3.6.5. Private Equity Deals Aplenty .......................................................................................................................... 144 3.6.6. GSK Moves into Sports Nutrition with Acquisition of Maxinutrition .............................................................. 144 3.6.7. Pfizer Buys Emergen-C Maker Alacer ............................................................................................................. 144 3.6.8. What P&G’s New Chapter Acquisition Means for the Natural Industry ........................................................ 145 3.6.9. Schiff Lands in Immunity Market with Airborne Acquisition .......................................................................... 147 3.6.10. Ocean Nutrition Acquisition Makes DSM World Leader in Fish Oil Omega-3s .............................................. 148 3.6.11. Sun Capital Partners Acquires Supplement Contract Manufacturer CornerStone ......................................... 149

4.1. OVERVIEW ................................................................................................................................................................. 151 4.1.1. Product Sales ................................................................................................................................................. 151 4.1.2. Top Companies .............................................................................................................................................. 156 4.1.3. Channel Sales ................................................................................................................................................. 157 4.1.4. Growth & Forecast ......................................................................................................................................... 158 4.1.5. Consumer Usage Trends ................................................................................................................................ 160

4.2. PRODUCT CATEGORIES ................................................................................................................................................. 162 4.2.1. Multivitamins ................................................................................................................................................. 162 4.2.2. Vitamin C ....................................................................................................................................................... 164 4.2.3. Vitamin E ....................................................................................................................................................... 165 4.2.4. B Vitamins ...................................................................................................................................................... 166 4.2.5. Vitamin A ....................................................................................................................................................... 167 4.2.6. Vitamin D ....................................................................................................................................................... 169 4.2.7. Other Vitamins ............................................................................................................................................... 170

4.3. TRENDS ..................................................................................................................................................................... 171 4.3.1. The Evolution of the Multivitamin ................................................................................................................. 171 4.3.2. ShopRite Targets Health and Wellness with Free Kids Multivitamins ........................................................... 172 4.3.3. Vitamin D Sales Strong, Supply Costs Rising .................................................................................................. 173 4.3.4. IOM Vitamin D Guidelines Deemed a Failure by Some Doctors ..................................................................... 176

5.1. OVERVIEW ................................................................................................................................................................. 179 5.1.1. Product Sales ................................................................................................................................................. 179 5.1.2. Top Companies .............................................................................................................................................. 184 5.1.3. Channel Sales ................................................................................................................................................. 185 5.1.4. Growth & Forecast ......................................................................................................................................... 186 5.1.5. Consumer Usage Trends ................................................................................................................................ 187

5.2. PRODUCT CATEGORIES ................................................................................................................................................. 188 5.2.1. Noni Juice ....................................................................................................................................................... 188 5.2.2. Mangosteen Juice .......................................................................................................................................... 190 5.2.3. Goji Juice ........................................................................................................................................................ 191 5.2.4. Green Tea ...................................................................................................................................................... 193 5.2.5. Echinacea ....................................................................................................................................................... 194 5.2.6. Garlic.............................................................................................................................................................. 195 5.2.7. Saw Palmetto ................................................................................................................................................. 196 5.2.8. Ginkgo Biloba ................................................................................................................................................. 198 5.2.9. Milk Thistle .................................................................................................................................................... 199 5.2.10. Açaí ................................................................................................................................................................ 200

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5.2.11. Psyllium .......................................................................................................................................................... 202 5.2.12. Ginseng .......................................................................................................................................................... 203 5.2.13. Green Foods ................................................................................................................................................... 204

5.3. TRENDS ..................................................................................................................................................................... 205 5.3.1. Herbs & Botanicals Supplier Roundup ........................................................................................................... 205 5.3.2. Bent Creek Institute Pushes Local Herb Scientists & Sellers to the Front of the Class ................................... 206 5.3.3. Six Sales-Boosting Strategies for Herbal Supplements .................................................................................. 208 5.3.4. One Herb to Watch: Sceletium tortuosum .................................................................................................... 209 5.3.5. Clinical Trial Backs Ability of Cranberry to Prevent UTIs ................................................................................ 209 5.3.6. FTC Takes Action against Internet Marketers of Açaí Weight-Loss Supplements ......................................... 210

6.1. OVERVIEW ................................................................................................................................................................. 213 6.1.1. Product Sales ................................................................................................................................................. 213 6.1.2. Top Companies .............................................................................................................................................. 217 6.1.3. Channel Sales ................................................................................................................................................. 218 6.1.4. Growth & Forecast ......................................................................................................................................... 219 6.1.5. Consumer Usage Trends ................................................................................................................................ 221

6.2. PRODUCT CATEGORIES ................................................................................................................................................. 222 6.2.1. Powders/Formulas ......................................................................................................................................... 222 6.2.2. Pills ................................................................................................................................................................. 223 6.2.3. Hardcore Drinks ............................................................................................................................................. 223

6.3. TRENDS ..................................................................................................................................................................... 224 6.3.1. Is Holistic and Plant-based the New Trend in Sports Nutrition? .................................................................... 224 6.3.2. New Protein Study Could Shake Up Sports Nutrition Market ........................................................................ 225 6.3.3. Pills Hold Their Own In Sports Supplement Space Packed With Powders ...................................................... 226 6.3.4. What to Do About DMAA?............................................................................................................................. 229 6.3.5. FDA Issues 10 DMAA Warning Letters ........................................................................................................... 234 6.3.6. Is DMAA Successor Dendrobium Legit? ......................................................................................................... 235 6.3.7. Sports Nutrition in the Not-So-Common European Market ........................................................................... 237 6.3.8. Weight-Loss Sales in 2010 Return to 2003 Levels in Wake of Hydroxycut Recall .......................................... 240 6.3.9. Physique and Endurance Athletes Create Distinct Market Opportunities ..................................................... 243 6.3.10. Muscle Milk Breaks Barriers as Fitness Goes Mainstream ............................................................................ 246 6.3.11. What Does Sports Nutrition Look Like in China? ........................................................................................... 249

7.1. OVERVIEW ................................................................................................................................................................. 253 7.1.1. Product Sales ................................................................................................................................................. 253 7.1.2. Top Companies .............................................................................................................................................. 257 7.1.3. Channel Sales ................................................................................................................................................. 258 7.1.4. Growth & Forecast ......................................................................................................................................... 259 7.1.5. Consumer Usage Trends ................................................................................................................................ 261

7.2. PRODUCT CATEGORIES ................................................................................................................................................. 262 7.2.1. Calcium .......................................................................................................................................................... 262 7.2.2. Magnesium .................................................................................................................................................... 263 7.2.3. Chromium ...................................................................................................................................................... 265 7.2.4. Zinc ................................................................................................................................................................ 267 7.2.5. Selenium ........................................................................................................................................................ 268 7.2.6. Potassium ...................................................................................................................................................... 270 7.2.7. Iron ................................................................................................................................................................ 271 7.2.8. Other Minerals ............................................................................................................................................... 272

7.3. TRENDS ..................................................................................................................................................................... 273

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7.3.1. Time to Ditch the 2:1 Calcium-Magnesium Ratio .......................................................................................... 273 7.3.2. Meet the New Nutrition 21 ............................................................................................................................ 274 7.3.3. In Search of Innovation: Helios ...................................................................................................................... 276

8.1. OVERVIEW ................................................................................................................................................................. 279 8.1.1. Product Sales ................................................................................................................................................. 279 8.1.2. Top Companies .............................................................................................................................................. 280 8.1.3. Channel Sales ................................................................................................................................................. 281 8.1.4. Growth & Forecast ......................................................................................................................................... 282 8.1.5. Consumer Usage Trends ................................................................................................................................ 282

8.2. TRENDS ..................................................................................................................................................................... 283 8.2.1. Meal Replacements Bounce Back with Banner Year after 2010 Sales Slide .................................................. 283 8.2.2. Weight Loss Captures Male Market, Promise of Women’s Sports Nutrition Unfulfilled ............................... 286

9.1. OVERVIEW ................................................................................................................................................................. 291 9.1.1. Product Sales ................................................................................................................................................. 291 9.1.2. Top Companies .............................................................................................................................................. 296 9.1.3. Channel Sales ................................................................................................................................................. 297 9.1.4. Growth & Forecast ......................................................................................................................................... 298 9.1.5. Consumer Usage Trends ................................................................................................................................ 300

9.2. PRODUCT CATEGORIES ................................................................................................................................................. 301 9.2.1. Melatonin ...................................................................................................................................................... 301 9.2.2. Probiotics ....................................................................................................................................................... 302 9.2.3. DHEA .............................................................................................................................................................. 304 9.2.4. Fish/Animal Oils ............................................................................................................................................. 305 9.2.5. Plant Oils ........................................................................................................................................................ 307 9.2.6. Glucosamine/Chondroitin .............................................................................................................................. 308 9.2.7. Bee Products .................................................................................................................................................. 309 9.2.8. CoQ10 ............................................................................................................................................................ 310 9.2.9. 5HTP .............................................................................................................................................................. 311 9.2.10. SAMe.............................................................................................................................................................. 312 9.2.11. MSM .............................................................................................................................................................. 313 9.2.12. Gelatin ........................................................................................................................................................... 314 9.2.13. Digestive Enzymes ......................................................................................................................................... 315 9.2.14. Homeopathics ................................................................................................................................................ 316 9.2.15. Other Specialty Supplements ......................................................................................................................... 317

9.3. TRENDS ..................................................................................................................................................................... 318 9.3.1. 9 Ways to Attract New Customers to Omega-3 Products ............................................................................. 318 9.3.2. Health Canada on Digestive Enzymes: ‘For Occasional Use Only’ ................................................................. 320 9.3.3. Omega-3s for a Modern Age: Is It Time for a Reboot? .................................................................................. 320 9.3.4. Interesting Collisions: Monsanto & GOED ..................................................................................................... 323 9.3.5. Thank This Guy for the Most Innovative and Popular Ingredient of All Time ................................................ 324 9.3.6. The Future Looks Bright (and Complicated) for Probiotics ............................................................................ 325 9.3.7. Can Krill Oil Double Sales over the Next Five Years? ...................................................................................... 328

10.1. OVERVIEW ................................................................................................................................................................. 333 10.2. CONDITION-SPECIFIC SEGMENTATION ............................................................................................................................. 334 10.3. TRENDS ..................................................................................................................................................................... 336

10.3.1. NBJ Consumer Insights: Treating the Conditions that Concern Consumers ................................................... 336 10.3.2. A Win with Condition-Specific Products ......................................................................................................... 339

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10.3.3. Stress Means Big Sales for Supplements Targeting Insomnia and Anxiety ................................................... 341 10.4. GENERAL HEALTH ........................................................................................................................................................ 344 10.5. COLD/FLU-IMMUNE .................................................................................................................................................... 347

10.5.1. Trend: Innovation Alive and Well in Immunity, Despite Close Scrutiny of Claims .......................................... 350 10.6. SPORTS/ENERGY/WEIGHT-LOSS .................................................................................................................................... 354

10.6.1. Trend: Sports Nutrition Goes Back to Basics .................................................................................................. 357 10.6.2. Trend: Weight-Loss Market Fattens Up ......................................................................................................... 357

10.7. BRAIN/MENTAL ACUITY ............................................................................................................................................... 359 10.7.1. Trend: The Case for the Brain Space .............................................................................................................. 361 10.7.2. Trend: Less Is More When It Comes to Formulating Brain Products .............................................................. 364 10.7.3. Trend: Alzheimer’s Fears Drive Sales Growth in Cognitive Category ............................................................. 367 10.7.4. Company Profile: Does Nawgan Have the Science and Brand to Lead in Brain Health Beverages? .............. 368

10.8. INSOMNIA .................................................................................................................................................................. 371 10.9. MOOD/DEPRESSION .................................................................................................................................................... 374 10.10. MENOPAUSE .......................................................................................................................................................... 377

10.10.1. Trend: Safety Profile Grows for Natural S-equol Supplement for Menopause Symptoms ............................. 379 10.10.2. Trend: Study Finds Soy May Not Provide Relief During Menopause .............................................................. 381

10.11. CARDIO/HEARTH HEALTH ......................................................................................................................................... 383 10.11.1. Trend: Heart Health Ingredient Winners and Losers ..................................................................................... 386 10.11.2. Trend: Claims, RX Fish Oil Drugs Challenge the Hearth-Health Supplement Market..................................... 389

10.12. JOINT HEALTH ........................................................................................................................................................ 390 10.12.1. Trend: Condition to Watch: Pain Management ............................................................................................. 392 10.12.2. Trend: New Studies Reveal Faster-Working Supplements for Joint Pain ....................................................... 394 10.12.3. Trend: Spanish Firm Asks EU to OK Joint Health Ingredient from Roosters ................................................... 396

10.13. SEXUAL HEALTH ...................................................................................................................................................... 397 10.13.1. Trend: New Supplements for Men’s Health Taking Off ................................................................................. 399

10.14. BONE HEALTH ........................................................................................................................................................ 401 10.14.1. Trend: Calcium Study Causes Controversy ..................................................................................................... 403

10.15. GASTROINTESTINAL HEALTH ...................................................................................................................................... 406 10.15.1. Trend: Introducing the Future of Gut Health—Cobiotics ............................................................................... 408 10.15.2. Trend: Defining the American Gut ................................................................................................................. 411 10.15.3. Trend: Despite Sales Downturn, Companies Find Ways to Clean Up in Cleanse ............................................ 413

10.16. DIABETES .............................................................................................................................................................. 416 10.16.1. Trend: Recent Study Offers Hope for Diabetes Sufferers ............................................................................... 419 10.16.2. Trend: Top Ingredients for Obesity and Blood Sugar Control ........................................................................ 420

10.17. CANCER PREVENTION .............................................................................................................................................. 423 10.17.1. Trend: Getting Serious about Cancer Support ............................................................................................... 426 10.17.2. Trend: Cancer Fighting Protein Bars? ............................................................................................................ 428

10.18. HAIR/SKIN/NAILS ................................................................................................................................................... 430 10.18.1. Trend: NutriBeauty Looks for Growth in Burgeoning Middle Classes Across the Globe ................................ 432 10.18.2. Trend: Lutein in Skin Health ........................................................................................................................... 435

10.19. VISION/EYE HEALTH ................................................................................................................................................ 436 10.19.1. Trend: Light Shines On Lutein for Neural, Eye Health .................................................................................... 438

10.20. ANTI-AGING .......................................................................................................................................................... 440 10.20.1. Trend: How to Market Telomere Health ........................................................................................................ 442 10.20.2. Trend: Adding Life to Your Years.................................................................................................................... 443

11.1. U.S. MARKET OVERVIEW ............................................................................................................................................. 445 11.2. TRENDS ..................................................................................................................................................................... 452

11.2.1. How to Market Animal Supplements ............................................................................................................. 452 11.2.2. Canadian Companies Move South, Balk at U.S. Animal Supplement Regulations......................................... 453

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11.2.3. Science, Exclusivity and Face Time Essential for Supplement Sales in Veterinary Channel ........................... 456 11.2.4. Jockeying to Fill the Pet Promise Void ........................................................................................................... 459 11.2.5. Financiers & Analysts Sound Off on Animal Nutrition ................................................................................... 460 11.2.6. How to Market Pet Supplements ................................................................................................................... 461 11.2.7. Canadian Companies Move South, Balk at U.S. Animal Supplement Regulations......................................... 462 11.2.1. Recession Stifles Horse Ownership, No Real Recovery Expected for Supplements ........................................ 465 11.2.2. Supplement Sales in Veterinary Channel ....................................................................................................... 468

12.1. NATURAL & SPECIALTY RETAIL ....................................................................................................................................... 474 12.1.1. Trend: Is Whole Foods Market Now the De Facto Quality Standard for Nutrition? ...................................... 477 12.1.2. Trend: PCC Naturals Rolls out Bulk Vitamins with Vitabulk ........................................................................... 481 12.1.3. Trend: What Are All Those Millenials Doing in Whole Foods? ....................................................................... 481 12.1.4. Fairway Market Plans IPO to Join Whole Foods on Public Market ................................................................ 482

12.2. MASS MARKET RETAIL ................................................................................................................................................. 484 12.2.1. Trend: Supplement Sales at Walmart Down 4%, Drug and Club Stores Big Winners in Mass ....................... 486

12.3. PRACTITIONER ............................................................................................................................................................ 491 12.3.1. Trend: Health Clubs Consider Private Label Supplements ............................................................................. 493 12.3.2. Trend: Declines in Service Revenue and Supplement Sales Plague Chiropractic Channel .............................. 497 12.3.3. Company Profile: Thorne Changes Hands, Moves into Cancer Support ........................................................ 500 12.3.4. Trend: Industry Credibility Grows as Supplements Wiggle into Conventional Practices ............................... 502

12.4. MULTI-LEVEL MARKETING ............................................................................................................................................ 506 12.4.1. Company Spotlight: Beachbody Grows Beyond P90X, Goes Big in MLM ....................................................... 508 12.4.2. Company Spotlight: Nu Skin and Herbalife Chart Two Paths to Global Growth ............................................ 511 12.4.3. Company Spotlight: Swedish MLM Oriflame Builds Beauty Empire in Developing World ............................. 514

12.5. MAIL ORDER/DRTV/RADIO ......................................................................................................................................... 517 12.5.1. Single-Channel Marketing is Never Enough ................................................................................................... 519 12.5.2. Trend: The Great Debate: Catalog vs. Internet .............................................................................................. 521 12.5.3. Trend: Infomercials and Internet Advertising Still Ripe for Egregious Claims ................................................ 524 12.5.4. Trend: Keep Your Eyes on ShopNBC ............................................................................................................... 527

12.6. INTERNET ................................................................................................................................................................... 529 12.6.1. Trend: Social Media Roundup ........................................................................................................................ 531 12.6.2. Trend: Wellness Websites Work for 80% of Consumers ................................................................................ 534 12.6.3. Trend: Is Turbulence in Online Sales of Supplements Truly Bad for Business?............................................... 536

13.1. GLOBAL SUPPLEMENT SALES, GROWTH AND FORECASTS ..................................................................................................... 544 13.2. TRENDS ..................................................................................................................................................................... 549

13.2.1. Beauty, Weight-Loss & Sports Most Promising Conditions in Brazil’s Booming Supplement Market ........... 549 13.2.2. Ozmorali: Is Turkey the Next Big Market for Direct-to-Consumer Sales? ...................................................... 551 13.2.3. Perera: Australia Boasts High per Capita Use of Supplements ...................................................................... 553 13.2.4. Miller: Africa is All About Opportunity ........................................................................................................... 555 13.2.5. Supplement Regulators Worldwide Grapple with Four Parallel Issues .......................................................... 557 13.2.6. ‘Coke and Fries’ Debacle a Setback for Integrative Medicine ........................................................................ 560 13.2.7. Introducing ALANUR: Latin America’s First Regional Supplement Trade Association ................................... 561

14.1. STUPAK: CONGRESS NOT OVERLY CONCERNED WITH SUPPLEMENTS ..................................................................................... 565 14.2. MCINTYRE: NON-GMO TIPPING POINT STILL FAR OFF FOR CONSUMERS, BUT IT’S COMING .................................................... 567 14.3. ROIZEN: HEALTHCARE COSTS THREATEN SOCIETY AS WE KNOW IT ....................................................................................... 570 14.4. PENN: LEAPFROGGING 50 YEARS OF POOR CHOICES AND CONVENTIONAL WISDOM ................................................................ 572 14.5. HWANG: DISRUPTIVE THINKING TO SAVE OUR HEALTHCARE SYSTEM .................................................................................... 575 14.6. FINLEY: THE FUTURE OF ANTIOXIDANT RESEARCH AND ETHICAL MARKETING .......................................................................... 577

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14.7. CHAMPIE: PROBIOTICS TODAY ARE WHERE VITAMINS WERE DECADES AGO .......................................................................... 579

15.1. 21ST CENTURY HEALTHCARE INC. .................................................................................................................................. 583 15.2. 24-HOUR FITNESS (APEX FITNESS) ................................................................................................................................. 585 15.3. ABBOTT LABS/ROSS PRODUCTS (ENSURE, EAS) ................................................................................................................ 587 15.4. AIRBORNE CONSUMER HEALTH ...................................................................................................................................... 589 15.5. ALACER ..................................................................................................................................................................... 592 15.6. ALCON LABS ............................................................................................................................................................... 594 15.7. APPLIED NUTRITION INC. (NATURE'S SECRET, IRWIN NATURALS) .......................................................................................... 596 15.8. ARIZONA NATURAL PRODUCTS ...................................................................................................................................... 599 15.9. ARNET PHARMACEUTICAL ............................................................................................................................................. 601 15.10. AST SPORTS SCIENCE .............................................................................................................................................. 602 15.11. ATKINS NUTRITIONALS ............................................................................................................................................. 604 15.12. ATRIUM INNOVATIONS (GARDEN OF LIFE, PURE ENCAPSULATIONS, DOUGLAS LABS, SEROYAL) .............................................. 607 15.13. BARLEAN'S ORGANIC OILS ........................................................................................................................................ 611 15.14. BASIC RESEARCH/ ZOLLER LABS ................................................................................................................................. 613 15.15. BAUSCH & LOMB .................................................................................................................................................... 615 15.16. BAYER GROUP ........................................................................................................................................................ 617 15.17. BEEHIVE BOTANICALS .............................................................................................................................................. 620 15.18. BIO-BOTANICA (NATURE'S ANSWER) .......................................................................................................................... 622 15.19. BLUEBONNET NUTRITION CORP. ................................................................................................................................ 624 15.20. BOIRON USA ......................................................................................................................................................... 626 15.21. BOTANICAL LABORATORIES ....................................................................................................................................... 628 15.22. BRISTOL MYERS SQUIBB/MEAD JOHNSON (ENFAMIL).................................................................................................... 631 15.23. CARLSON LABORATORIES .......................................................................................................................................... 633 15.24. CARLYLE GROUP - NBTY .......................................................................................................................................... 635 15.25. CHURCH & DWIGHT (NORTHWEST NATURAL PRODUCTS, NUTRITION NOW) ...................................................................... 638 15.26. CORNERSTONE RESEARCH AND DEVELOPMENT ............................................................................................................. 641 15.27. COROMEGA ........................................................................................................................................................... 643 15.28. CYTOSPORT ........................................................................................................................................................... 645 15.29. DELAVAU .............................................................................................................................................................. 648 15.30. DSM (I-HEALTH) .................................................................................................................................................... 650 15.31. DYMATIZE ............................................................................................................................................................. 653 15.32. ENZYMEDICA .......................................................................................................................................................... 655 15.33. FACTOR NUTRITION ................................................................................................................................................. 657 15.34. FIZOGEN PRECISION TECHNOLOGIES ........................................................................................................................... 659 15.35. FLORA INC. ........................................................................................................................................................... 661 15.36. FUTUREBIOTICS ...................................................................................................................................................... 663 15.37. GAIA HERBS, INC. ................................................................................................................................................... 664 15.38. GASPARI NUTRITION ................................................................................................................................................ 667 15.39. GENR8 ................................................................................................................................................................. 669 15.40. GLANBIA (OPTIMUM NUTRITION, GLANBIA NUTRITIONALS, BSN).................................................................................... 671 15.41. GLAXOSMITHKLINE ................................................................................................................................................. 673 15.42. GNC (CONTRACT MANUFACTURING) .......................................................................................................................... 676 15.43. HEALTHY DIRECTIONS (DOCTOR'S PREFERRED) ............................................................................................................. 679 15.44. HERB PHARM ......................................................................................................................................................... 681 15.45. HERBALIST & ALCHEMIST ......................................................................................................................................... 683 15.46. HERBS, ETC., INC. ................................................................................................................................................... 685 15.47. HERO NUTRITIONALS ............................................................................................................................................... 688 15.48. INTEGRATED BIOPHARMA (MANHATTAN DRUG, CHEM INTERNATIONAL, IHT HEALTH PRODUCTS, THE VITAMIN FACTORY) ........ 690 15.49. INTERNATIONAL VITAMIN CORPORATION ..................................................................................................................... 692

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15.50. IOVATE (HYDROXYCUT, MUSCLETECH, XENADRINE) ...................................................................................................... 694 15.51. ISATORI TECHNOLOGIES ........................................................................................................................................... 696 15.52. ISI BRANDS (TWINLAB, METABOLIFE, DR. GREENE) ...................................................................................................... 699 15.53. ISS RESEARCH ........................................................................................................................................................ 701 15.54. JARROW FORMULAS ................................................................................................................................................ 703 15.55. KAIZEN NUTRITION .................................................................................................................................................. 705 15.56. KIKKOMAN CORPORATION (ALLERGY RESEARCH GROUP, COUNTRY LIFE) ........................................................................... 707 15.57. KLOSTERFRAU US (KWAI, KIRA) ................................................................................................................................. 709 15.58. LABRADA NUTRITION ............................................................................................................................................... 711 15.59. LANELABS-USA, INC. .............................................................................................................................................. 713 15.60. LIBERTY INTERACTIVE (BODYBUILDING.COM) ................................................................................................................ 715 15.61. LIFE EXTENSION ...................................................................................................................................................... 718 15.62. MARLYN NUTRACEUTICALS, INC. (NATURALLY VITAMINS)............................................................................................... 721 15.63. MASON VITAMINS .................................................................................................................................................. 723 15.64. MATRIXX INITIATIVES ............................................................................................................................................... 725 15.65. MAX MUSCLE SPORTS NUTRITION (PRIVATE LABEL) ...................................................................................................... 727 15.66. MAXIMUM HUMAN PERFORMANCE (MHP) ................................................................................................................ 729 15.67. MCNEIL NUTRITIONALS (VIACTIV) .............................................................................................................................. 731 15.68. MEGAFOOD........................................................................................................................................................... 733 15.69. METABOLIC RESPONSE MODIFIERS (MRM) ................................................................................................................. 736 15.70. METAGENICS ......................................................................................................................................................... 738 15.71. MUSCLE MARKETING USA ....................................................................................................................................... 741 15.72. MUSHROOM WISDOM, INC. ..................................................................................................................................... 743 15.73. NATIONAL ENZYME COMPANY .................................................................................................................................. 745 15.74. NATIONAL VITAMIN COMPANY (NATURE'S BLEND, TARGETED NUTRITIONAL THERAPY)........................................................ 747 15.75. NATURADE INC. ...................................................................................................................................................... 749 15.76. NATURAL ALTERNATIVES .......................................................................................................................................... 751 15.77. NATURAL FACTORS NUTRITIONAL PRODUCTS ............................................................................................................... 753 15.78. NATURAL ORGANICS/NATURE'S PLUS ......................................................................................................................... 755 15.79. NATURE'S BEST ...................................................................................................................................................... 757 15.80. NATURE'S PRODUCTS, INC. (RAINBOW LIGHT, CHAMPION NUTRITION) ............................................................................. 760 15.81. NATURMED (INSTITUTE FOR VIBRANT LIVING).............................................................................................................. 762 15.82. NESTLÉ ................................................................................................................................................................. 764 15.83. NEW CHAPTER ....................................................................................................................................................... 767 15.84. NEXGEN PHARMA (VITAMER).................................................................................................................................... 769 15.85. NEXT PROTEINS, INC. (DESIGNER WHEY) ................................................................................................................... 771 15.86. NORDIC NATURALS ................................................................................................................................................. 773 15.87. NOW FOODS ........................................................................................................................................................ 775 15.88. NUTRACEUTICAL INTERNATIONAL CORPORATION .......................................................................................................... 778 15.89. NUTRAMAX LABORATORIES, INC. ............................................................................................................................... 780 15.90. NUTREX RESEARCH .................................................................................................................................................. 782 15.91. NUTRICAP LABS ...................................................................................................................................................... 784 15.92. NUTRITION RESEARCH GROUP (ANSI & SS USA) ......................................................................................................... 786 15.93. PACIFIC NUTRITIONAL INC. ....................................................................................................................................... 788 15.94. PERRIGO ............................................................................................................................................................... 789 15.95. PFIZER (CENTRUM, CALTRATE) .................................................................................................................................. 791 15.96. PHARMAVITE (NATURE MADE) .................................................................................................................................. 793 15.97. PLETHICO (NATROL) ................................................................................................................................................ 795 15.98. PROCAPS LABORATORIES (ANDREW LESSMAN) ............................................................................................................. 797 15.99. PROCTER & GAMBLE (METAMUCIL) ........................................................................................................................... 799 15.100. PROGRESSIVE LABORATORIES .................................................................................................................................... 801 15.101. PROPHASE LABS (COLD-EEZE) .................................................................................................................................. 803 15.102. RELIANCE PRIVATE LABEL SUPPLEMENTS ..................................................................................................................... 805

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15.103. RENEW LIFE FORMULAS, INC. ................................................................................................................................... 806 15.104. RESERVEAGE ORGANICS ........................................................................................................................................... 808 15.105. S.A.N. CORPORATION ............................................................................................................................................. 810 15.106. SANOFI SA (CHATTEM) ............................................................................................................................................ 812 15.107. SCHIFF NUTRITION INTERNATIONAL ............................................................................................................................ 814 15.108. SCHWABE NA (NATURE'S WAY, ENZYMATIC THERAPY, INTEGRATIVE THERAPEUTICS) .......................................................... 816 15.109. SIMILASAN USA ..................................................................................................................................................... 818 15.110. STANDARD HOMEOPATHIC COMPANY (HYLAND'S INC.) .................................................................................................. 820 15.111. STANDARD PROCESS ................................................................................................................................................ 822 15.112. SUPERNUTRITION ................................................................................................................................................... 824 15.113. SWANDER PACE/GENISOY FOOD COMPANY, INC. (MLO PRODUCTS) ............................................................................... 826 15.114. SWANSON HEALTH PRODUCTS .................................................................................................................................. 827 15.115. THERALOGIX .......................................................................................................................................................... 829 15.116. THIN CARE INTERNATIONAL (JILLIAN MICHAELS) ........................................................................................................... 831 15.117. THORNE RESEARCH ................................................................................................................................................. 833 15.118. THRESHOLD ENTERPRISES LTD. (SOURCE NATURALS, PLANETARY HERBALS) ....................................................................... 836 15.119. TO GO BRANDS, INC. ............................................................................................................................................... 838 15.120. TRACE MINERALS RESEARCH ..................................................................................................................................... 840 15.121. ULTIMATE NUTRITION, INC. ...................................................................................................................................... 842 15.122. UNILEVER (SLIMFAST) ............................................................................................................................................. 843 15.123. UNIVERSAL NUTRITION CORP. ................................................................................................................................... 845 15.124. USPLABS .............................................................................................................................................................. 847 15.125. VEGA (SEQUEL NATURALS) ....................................................................................................................................... 849 15.126. VIANDA ................................................................................................................................................................. 851 15.127. VIBRANT HEALTH .................................................................................................................................................... 853 15.128. VITAQUEST INTERNATIONAL (GARDEN STATE, WINDMILL) ............................................................................................. 855 15.129. VITA-TECH INTERNATIONAL ...................................................................................................................................... 857 15.130. VMI NUTRITION ..................................................................................................................................................... 859 15.131. VPX SPORTS NUTRITION .......................................................................................................................................... 861 15.132. WAKUNAGA OF AMERICA (KYOLIC) ............................................................................................................................ 863 15.133. WELLEMENTS ......................................................................................................................................................... 864 15.134. WELLNX LIFE SCIENCES(NX LABS, SLIMQUICK) ............................................................................................................. 865 15.135. XYMOGEN ............................................................................................................................................................. 867 15.136. YERBA PRIMA ......................................................................................................................................................... 869

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Figure 1-1 U.S. Dietary Supplement Sales by Product Category in 2011 ................................................................ 23 Figure 3-1 U.S. Total Nutrition Industry Sales by Product in 2011 .......................................................................... 31 Figure 3-2 U.S. Nutrition Industry Sales by Product , 2001-2011 ............................................................................ 32 Figure 3-3 U.S. Nutrition Industry Sales Growth by Product, 2001-2011 ............................................................... 32 Figure 3-4 U.S. Nutrition Industry Sales Growth by Product in 2011 ...................................................................... 33 Figure 3-5 U.S. Nutrition Industry Sales & Growth, 2000-2020e ............................................................................ 33 Figure 3-6 U.S. Total Nutrition Industry Sales by Channel in 2011 ......................................................................... 34 Figure 3-7 U.S. Nutrition Industry Sales & Growth by Channel in 2011 .................................................................. 35 Figure 3-8 U.S. Nutrition Industry Sales & Growth by Channel in 2010 .................................................................. 35 Figure 3-9 U.S. Nutrition Industry Sales & Growth by Channel in 2009 .................................................................. 36 Figure 3-10 U.S. Nutrition Industry Sales & Growth by Channel in 2008 ................................................................ 36 Figure 3-11 U.S. Nutrition Industry Sales by Channel, 2001-2011 .......................................................................... 37 Figure 3-12 U.S. Nutrition Industry Sales by Channel, 2012e-2020e ...................................................................... 37 Figure 3-13 U.S. Nutrition and Supplement Sales by Retail Channel in 2011 ......................................................... 38 Figure 3-14 U.S. Nutrition Industry Sales by Product, 2012e-2020e ....................................................................... 39 Figure 3-15 U.S. Nutrition Industry Sales Growth by Product, 2012e-2020e ......................................................... 39 Figure 3-16 U.S. Nutrition Industry Sales by Product as % of Total, 2012e-2020e ................................................. 39 Figure 3-17 U.S. Nutrition Industry Estimated Compound Annual Sales Growth, 2012e-2020e ............................ 40 Figure 3-18 U.S. Dietary Supplements vs. Total Nutrition Industry, 2001-2011 ..................................................... 40 Figure 3-19 U.S. Dietary Supplements vs. Total Nutrition Industry Sales Growth, 2000-2020e ............................. 41 Figure 3-20 U.S. Dietary Supplement Sales by Product Category in 2011 .............................................................. 42 Figure 3-21 U.S. Dietary Supplement Sales by Product , 2001-2011 ...................................................................... 42 Figure 3-22 U.S. Dietary Supplement Sales Growth by Product , 2001-2011 ......................................................... 43 Figure 3-23 U.S. Dietary Supplement Sales by Product as % of Total , 2001-2011 ................................................. 43 Figure 3-24 U.S. Dietary Supplement Sales Growth by Product in 2011 ................................................................. 44 Figure 3-25 U.S. Dietary Supplement Sales & Growth, 2000-2020e ....................................................................... 44 Figure 3-26 U.S. Dietary Supplements Product Category Sales Growth, 2000-2020e ............................................ 45 Figure 3-27 Top 50 Dietary Supplement Companies in 2011: Part I ....................................................................... 46 Figure 3-28 Top 50 Dietary Supplement Companies in 2011: Part II ...................................................................... 47 Figure 3-29 Universe of U.S. Supplement Companies in 2011 ................................................................................ 48 Figure 3-30 Top 100 Dietary Supplements According to U.S. Sales, 2005-2011: Part I .......................................... 49 Figure 3-31 Top 100 Dietary Supplements According to U.S. Sales, 2005-2011: Part II ......................................... 50 Figure 3-32 Top 100 Dietary Supplements According to U.S. Sales, 2005-2011: Part III ........................................ 51 Figure 3-33 U.S. Dietary Supplement Sales by Channel in 2011 ............................................................................. 52 Figure 3-34 U.S. Dietary Supplement Sales and Annual Growth by Channel, 2009-2011 ...................................... 52 Figure 3-35 U.S. Dietary Supplement Sales by Channel, 2001-2011 ....................................................................... 53 Figure 3-36 U.S. Dietary Supplement Sales by Channel, 2012e-2020e ................................................................... 53 Figure 3-37 U.S. Dietary Supplement Sales by Product, 2012e-2020e ................................................................... 54 Figure 3-38 U.S. Dietary Supplement Sales Growth by Product, 2012e-2020e ...................................................... 54 Figure 3-39 U.S. Dietary Supplement Sales by Product as % of Total, 2012e-2020e .............................................. 54 Figure 3-40 U.S. Dietary Supplements Estimated Compound Annual Sales Growth, 2012e-2020e ....................... 55 Figure 3-41 U.S. Consumer Use of Dietary Supplements in 2011 ........................................................................... 65 Figure 3-42 U.S. Consumer Use of Dietary Supplements in 2001 ........................................................................... 65 Figure 3-43 Comparing Top U.S. Supplement Usage to Sales ................................................................................. 66 Figure 3-44 NBJ Survey: Recession’s Effects on Supplement Usage ....................................................................... 67

Index of Figures

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Figure 3-45 The Hartman Group Survey: Health and Wellness Information Sources ............................................. 68 Figure 3-46 NBJ 2010 Consumer Supplement Usage Survey: Demographic Profile ............................................... 70 Figure 3-47 NBJ Survey: Top Factors When Choosing Which Supplements to Purchase ....................................... 71 Figure 3-48 NBJ Survey: Top Factors When Choosing Where to Purchase Supplements ....................................... 72 Figure 3-49 NBJ Survey: Top Children’s Supplements ............................................................................................. 73 Figure 3-50 NBJ Survey: How Natural Product Insiders Choose Supplements ....................................................... 74 Figure 3-51 NBJ Survey: Reasons for Not Taking Supplements ............................................................................... 75 Figure 3-52 NBJ Survey: Convincing Non-Users to Use Supplements Regularly ..................................................... 76 Figure 3-53 Delicious Living/Village Survey: Top Health and Wellness Goals ......................................................... 78 Figure 3-54 Delicious Living/Village Survey: Attitudes toward Natural & Organic ................................................. 80 Figure 3-55 Delicious Living/Village Survey: Top Label Claims ................................................................................ 81 Figure 3-56 The Hartman Survey: ‘I Buy Food and Beverage Products…” .............................................................. 84 Figure 3-57 HFI: Global Consumer Attitudes Toward Happiness and Prices .......................................................... 86 Figure 3-58 NBJ Survey: Outlook on Industry Regulatory Issues .......................................................................... 101 Figure 3-59 NBJ Survey: Dry Labbing Industry Prominence .................................................................................. 110 Figure 3-60 NBJ Survey: Do You Ever Send False Samples to Test Your Analytical Lab’s Practices? .................... 111 Figure 3-61 NBJ Survey: Outlook on Whole Food Supplement Market ................................................................ 113 Figure 3-62 NBJ Manufacturer Survey: Toxicity Concerns .................................................................................... 118 Figure 3-63 NBJ Manufacturer Survey: Bioavailabillity Concerns ......................................................................... 120 Figure 3-64 NBJ Manufacturer Survey: Scientific Support of Finished Products .................................................. 122 Figure 3-65 NBJ Manufacturer Survey: Market Return on Scientific Investment ................................................. 123 Figure 3-66 NBJ Manufacturer Survey: Nutrition Products in the U.S. Military .................................................... 136 Figure 4-1 U.S. Vitamin Sales by Product Category in 2011 .................................................................................. 151 Figure 4-2 U.S. Vitamin vs. Total Supplement Sales, 2001-2011 ........................................................................... 152 Figure 4-3 U.S. Vitamin Sales by Product , 2001-2011 .......................................................................................... 152 Figure 4-4 U.S. Vitamin Sales Growth by Product , 2001-2011 ............................................................................. 153 Figure 4-5 U.S. Vitamin Sales by Product as % of Total , 2001-2011 ..................................................................... 153 Figure 4-6 U.S. Vitamin Sales Growth by Product in 2011 .................................................................................... 154 Figure 4-7 U.S. Vitamin Sales & Growth, 2000-2020e ........................................................................................... 154 Figure 4-8 U.S. Vitamin Product Category Sales Growth, 2000-2011 ................................................................... 155 Figure 4-9 Top 20 Vitamin Companies in 2011 ..................................................................................................... 156 Figure 4-10 U.S. Vitamin Sales by Channel in 2011 ............................................................................................... 157 Figure 4-11 U.S. Vitamin Sales and Annual Growth by Channel, 2009-2011 ........................................................ 157 Figure 4-12 U.S. Vitamin Sales by Channel, 2001-2011 ......................................................................................... 158 Figure 4-13 U.S. Vitamins vs. Dietary Supplements Sales Growth, 2000-2020e ................................................... 158 Figure 4-14 U.S. Vitamins vs. Total Dietary Supplement Sales and Growth, 2012e-2020e .................................. 159 Figure 4-15 U.S. Vitamin Sales by Product , 2012e-2020e .................................................................................... 159 Figure 4-16 U.S. Vitamin Sales by Product as % of Total , 2012e-2020e ............................................................... 160 Figure 4-17 U.S. Consumer Use of Vitamins in 2011 ............................................................................................. 160 Figure 4-18 U.S. Consumer Use of Vitamins in 2001 ............................................................................................. 161 Figure 4-19 U.S. Multivitamin Sales & Growth, 2000-2020e ................................................................................ 162 Figure 4-20 U.S. Multivitamin Sales by Channel in 2011 ....................................................................................... 163 Figure 4-21 U.S. Vitamin C Sales & Growth, 2000-2020e ...................................................................................... 164 Figure 4-22 U.S. Vitamin C Sales by Channel in 2011 ............................................................................................ 164 Figure 4-23 U.S. Vitamin E Sales & Growth, 2000-2020e ...................................................................................... 165 Figure 4-24 U.S. Vitamin E Sales by Channel in 2011 ............................................................................................ 165 Figure 4-25 U.S. Vitamin B Sales & Growth, 2000-2020e ...................................................................................... 166

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Figure 4-26 U.S. Vitamin B Sales by Channel in 2011 ............................................................................................ 167 Figure 4-27 U.S. Vitamin A Sales & Growth, 2000-2020e ..................................................................................... 167 Figure 4-28 U.S. Vitamin A Sales by Channel in 2011 ............................................................................................ 168 Figure 4-29 U.S. Vitamin D Sales & Growth, 2001-2020e ..................................................................................... 169 Figure 4-30 U.S. Vitamin D Sales by Channel in 2011 ............................................................................................ 169 Figure 4-31 U.S. Other Vitamin Sales & Growth, 2001-2020e .............................................................................. 170 Figure 4-32 U.S. Other Vitamin Sales by Channel in 2011 ..................................................................................... 170 Figure 4-33 NBJ Manufacturer Survey: Is D a Fad? ............................................................................................... 174 Figure 5-1 U.S. Herb & Botanical Sales by Product Category in 2011 ................................................................... 179 Figure 5-2 U.S. Herb & Botanical vs. Total Supplement Sales , 2001-2011 ........................................................... 180 Figure 5-3 U.S. Top 50 Herb & Botanical Products Ranked by Sales , 2002-2011: Part I ...................................... 180 Figure 5-4 U.S. Top 50 Herb & Botanical Products Ranked by Sales , 2002-2011 Part II ...................................... 181 Figure 5-5 U.S. Herb & Botanical Sales Growth for Top 10 Products , 2002-2011 ................................................ 182 Figure 5-6 U.S. Herb & Botanical Sales Growth for Top 10 Growth Products in 2011 .......................................... 182 Figure 5-7 U.S. Herb & Botanical Sales & Growth, 2000-2020e ............................................................................ 183 Figure 5-8 Top 20 Herb & Botanical Companies in 2011 ....................................................................................... 184 Figure 5-9 U.S. Herb & Botanical Sales by Channel in 2011 .................................................................................. 185 Figure 5-10 U.S. Herb & Botanical Sales and Annual Growth by Channel, 2009-2011 ......................................... 185 Figure 5-11 U.S. Herbs & Botanicals Sales by Channel, 2001-2011 ....................................................................... 186 Figure 5-12 U.S. Herb & Botanical vs. Dietary Supplement Sales Growth, 2000-2020e ....................................... 186 Figure 5-13 U.S. Herb & Botanical vs. Total Dietary Supplement Sales and Growth, 2012e-2020e ..................... 187 Figure 5-14 U.S. Consumer Use of Herbs & Botanicals in 2011 ............................................................................ 187 Figure 5-15 U.S. Consumer Use of Herbs & Botanicals in 2001 ............................................................................ 188 Figure 5-16 U.S. Noni Juice Sales & Growth, 1999-2020e ..................................................................................... 188 Figure 5-17 U.S. Noni Juice Sales by Channel in 2011 ........................................................................................... 189 Figure 5-18 U.S. Mangosteen Juice Sales & Growth, 2000-2020e ........................................................................ 190 Figure 5-19 U.S. Mangosteen Juice Sales by Channel in 2011 .............................................................................. 190 Figure 5-20 U.S. Goji Juice Sales & Growth, 2000-2020e ...................................................................................... 191 Figure 5-21 U.S. Goji Juice Sales by Channel in 2011 ............................................................................................ 192 Figure 5-22 U.S. Green Tea Sales & Growth, 1999-2020e ..................................................................................... 193 Figure 5-23 U.S. Green Tea Sales by Channel in 2011 ........................................................................................... 193 Figure 5-24 U.S. Echinacea Sales & Growth, 1999-2020e ..................................................................................... 194 Figure 5-25 U.S. Echinacea Sales by Channel in 2011 ........................................................................................... 195 Figure 5-26 U.S. Garlic Sales & Growth, 1999-2020e ............................................................................................ 195 Figure 5-27 U.S. Garlic Sales by Channel in 2011 .................................................................................................. 196 Figure 5-28 U.S. Saw Palmetto Sales & Growth, 1999-2020e ............................................................................... 196 Figure 5-29 U.S. Saw Palmetto Sales by Channel in 2011 ..................................................................................... 197 Figure 5-30 U.S. Ginkgo Biloba Sales & Growth, 1999-2020e ............................................................................... 198 Figure 5-31 U.S. Ginkgo Biloba Sales by Channel in 2011 ..................................................................................... 198 Figure 5-32 U.S. Milk Thistle Sales & Growth, 1999-2020e ................................................................................... 199 Figure 5-33 U.S. Milk Thistle Sales by Channel in 2011 ......................................................................................... 200 Figure 5-34 U.S. Açaí Sales & Growth, 2002-2020e .............................................................................................. 200 Figure 5-35 U.S. Açaí Sales by Channel in 2011 ..................................................................................................... 201 Figure 5-36 U.S. Psyllium Sales & Growth, 1999-2020e ........................................................................................ 202 Figure 5-37 U.S. Psyllium Sales by Channel in 2011 .............................................................................................. 202 Figure 5-38 U.S. Ginseng Sales & Growth, 1999-2020e ........................................................................................ 203 Figure 5-39 U.S. Ginseng Sales by Channel in 2011 ............................................................................................... 203 Figure 5-40 U.S. Green Foods Sales & Growth, 2002-2020e ................................................................................. 204

Index of Figures

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Figure 5-41 U.S. Green Foods Sales by Channel in 2011 ....................................................................................... 204 Figure 6-1 U.S. Sports Nutrition Supplement Sales by Product Category in 2011 ................................................ 213 Figure 6-2 U.S. Sports Nutrition Supplements vs. Total Supplement Sales , 2001-2011 ...................................... 214 Figure 6-3 U.S. Sports Nutrition Supplement Sales by Product , 2001-2011 ........................................................ 214 Figure 6-4 U.S. Sports Nutrition Supplement Sales Growth by Product , 2001-2011 ........................................... 214 Figure 6-5 U.S. Sports Nutrition Supplement Sales by Product as % of Total , 2001-2011 ................................... 215 Figure 6-6 U.S. Sports Nutrition Supplement Sales Growth by Product in 2011 .................................................. 215 Figure 6-7 U.S. Sports Nutrition Supplement Sales & Growth, 2000-2020e ......................................................... 216 Figure 6-8 U.S. Sports Nutrition Product Category Sales Growth, 2000-2020e .................................................... 216 Figure 6-9 Top 20 Sports Nutrition Companies in 2011 ........................................................................................ 217 Figure 6-10 U.S. Sports Nutrition Sales by Channel in 2011 .................................................................................. 218 Figure 6-11 U.S. Sports Nutrition Supplement Sales and Annual Growth by Channel, 2009-2011 ...................... 218 Figure 6-12 U.S. Sports Nutrition Supplement Sales by Channel, 2001-2011 ....................................................... 219 Figure 6-13 U.S. Sports Nutrition Supplements vs. Dietary Supplements Sales Growth, 2000-2020e ................. 219 Figure 6-14 U.S. Sports Nutrition vs. Total Dietary Supplement Sales and Growth, 2012e-2020e ...................... 220 Figure 6-15 U.S. Sports Nutrition Supplement Sales by Product, 2012e-2020e ................................................... 220 Figure 6-16 U.S. Sports Nutrition Supplement Sales by Product as % of Total, 2012e-2020e .............................. 220 Figure 6-17 U.S. Consumer Use of Sports Nutrition Supplements in 2011 ........................................................... 221 Figure 6-18 U.S. Consumer Use of Sports Nutrition Supplements in 2001 ........................................................... 221 Figure 6-19 U.S. Sports Nutrition Powders & Formulas Sales & Growth, 2000-2020e ......................................... 222 Figure 6-20 U.S. Sports Nutrition Pills Sales & Growth, 2000-2020e .................................................................... 223 Figure 6-21 U.S. Sports Nutrition Hardcore Drinks Sales & Growth, 2000-2020e ................................................ 223 Figure 7-1 U.S. Mineral Sales by Product Category in 2011 .................................................................................. 253 Figure 7-2 U.S. Minerals vs. Total Supplement Sales , 2001-2011 ........................................................................ 254 Figure 7-3 U.S. Mineral Sales by Product , 2001-2011 .......................................................................................... 254 Figure 7-4 U.S. Mineral Sales Growth by Product , 2001-2011 ............................................................................. 255 Figure 7-5 U.S. Mineral Sales by Product at % of Total , 2001-2011 ..................................................................... 255 Figure 7-6 U.S. Mineral Sales Growth by Product in 2011 .................................................................................... 256 Figure 7-7 U.S. Mineral Sales & Growth, 2000-2020e ........................................................................................... 256 Figure 7-8 Top 20 Mineral Companies in 2011 ..................................................................................................... 257 Figure 7-9 U.S. Mineral Sales by Channel in 2011 ................................................................................................. 258 Figure 7-10 U.S. Mineral Sales and Annual Growth by Channel, 2009-2011 ........................................................ 258 Figure 7-11 U.S. Mineral Sales by Channel, 2001-2011 ......................................................................................... 259 Figure 7-12 U.S. Minerals vs. Dietary Supplements Sales Growth, 2000-2020e ................................................... 259 Figure 7-13 U.S. Minerals vs. Total Dietary Supplement Sales and Growth, 2012e-2020e .................................. 260 Figure 7-14 U.S. Mineral Sales by Product , 2012e-2020e .................................................................................... 260 Figure 7-15 U.S. Mineral Sales by Product as % of Total , 2012e-2020e ............................................................... 260 Figure 7-16 U.S. Consumer Use of Minerals in 2011 ............................................................................................. 261 Figure 7-17 U.S. Consumer Use of Minerals in 2001 ............................................................................................. 261 Figure 7-18 U.S. Calcium Sales & Growth, 1999-2020e ........................................................................................ 262 Figure 7-19 U.S. Calcium Sales by Channel in 2011 ............................................................................................... 263 Figure 7-20 U.S. Magnesium Sales & Growth, 1999-2017e .................................................................................. 263 Figure 7-21 U.S. Magnesium Sales by Channel in 2011 ......................................................................................... 265 Figure 7-22 U.S. Chromium Sales & Growth, 1999-2020e .................................................................................... 265 Figure 7-23 U.S. Chromium Sales by Channel in 2011 .......................................................................................... 266 Figure 7-24 U.S. Zinc Sales & Growth, 1999-2020e ............................................................................................... 267 Figure 7-25 U.S. Zinc Sales by Channel in 2011 ..................................................................................................... 267

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Figure 7-26 U.S. Selenium Sales & Growth, 1999-2020e ...................................................................................... 268 Figure 7-27 U.S. Selenium Sales by Channel in 2011 ............................................................................................. 269 Figure 7-28 U.S. Potassium Sales & Growth, 1999-2020e ..................................................................................... 270 Figure 7-29 U.S. Potassium Sales by Channel in 2011 ........................................................................................... 270 Figure 7-30 U.S. Iron Sales & Growth, 1999-2017e ............................................................................................... 271 Figure 7-31 U.S. Iron Sales by Channel in 2011 ..................................................................................................... 271 Figure 7-32 U.S. Other Mineral Sales & Growth, 1999-2017e .............................................................................. 272 Figure 7-33 U.S. Other Mineral Sales by Channel in 2011 ..................................................................................... 272 Figure 8-1 U.S. Meal Replacement vs. Total Supplement Sales , 2001-2011 ........................................................ 279 Figure 8-2 U.S. Meal Replacement Sales & Growth, 2000-2020e ......................................................................... 279 Figure 8-3 Top 10 Meal Replacement Companies in 2011 .................................................................................... 280 Figure 8-4 U.S. Meal Replacement Sales by Channel in 2011 ............................................................................... 281 Figure 8-5 U.S. Meal Replacement Supplement Sales and Annual Growth by Channel, 2009-2011 .................... 281 Figure 8-6 U.S. Meal Replacement Supplements vs. Total Dietary Supplement Sales and Growth, 2012e-2020e ............................................................................................................................................................................... 282 Figure 8-7 U.S. Meal Replacement Supplements vs. Dietary Supplements Sales Growth, 2000-2020e .............. 282 Figure 8-8 U.S. Consumer Use of Meal Replacement Supplements in 2011 ........................................................ 283 Figure 8-9 U.S. Consumer Use of Meal Replacement Supplements in 2001 ........................................................ 283 Figure 9-1 U.S. Specialty Supplement Sales by Product Category in 2011 ............................................................ 291 Figure 9-2 U.S. Specialty Supplement vs. Total Supplement Sales , 2001-2011 ................................................... 292 Figure 9-3 U.S. Specialty Supplement Sales by Product , 2001-2011 .................................................................... 292 Figure 9-4 U.S. Specialty Supplement Sales Growth by Product , 2001-2011 ....................................................... 293 Figure 9-5 U.S. Specialty Supplement Sales by Product as % of Total , 2001-2011 .............................................. 293 Figure 9-6 U.S. Specialty Sales Growth by Top 8 Growth Products in 2011 .......................................................... 294 Figure 9-7 U.S. Specialty Sales & Growth, 2000-2020e ......................................................................................... 295 Figure 9-8 Top 20 Specialty Supplement Companies in 2011 ............................................................................... 296 Figure 9-9 U.S. Specialty Sales by Channel in 2011 ............................................................................................... 297 Figure 9-10 U.S. Specialty Sales and Annual Growth by Channel, 2009-2011 ...................................................... 297 Figure 9-11 U.S. Specialty Supplement Sales by Channel, 2001-2011 .................................................................. 298 Figure 9-12 U.S. Specialty vs. Total Dietary Supplements Sales Growth, 2000-2020e ......................................... 298 Figure 9-13 U.S. Specialty vs. Total Dietary Supplement Sales and Growth, 2012e-2020e .................................. 299 Figure 9-14 U.S. Specialty Supplement Sales by Product , 2012e-2020e .............................................................. 299 Figure 9-15 U.S. Specialty Supplement Sales by Product as % of Total , 2012e-2020e ........................................ 300 Figure 9-16 U.S. Consumer Use of Specialty/Other Supplements in 2011 ........................................................... 300 Figure 9-17 U.S. Consumer Use of Specialty Supplements in 2001 ...................................................................... 301 Figure 9-18 U.S. Melatonin Sales & Growth, 1999-2020e ..................................................................................... 301 Figure 9-19 U.S. Melatonin Sales by Channel in 2011 ........................................................................................... 302 Figure 9-20 U.S. Probiotics Sales & Growth, 1999-2020e ..................................................................................... 302 Figure 9-21 U.S. Probiotics Sales by Channel in 2011 ........................................................................................... 303 Figure 9-22 U.S. DHEA Sales & Growth, 1999-2020e ............................................................................................ 304 Figure 9-23 U.S. DHEA Sales by Channel in 2011 .................................................................................................. 304 Figure 9-24 U.S. Fish/Animal Oil Sales & Growth, 1999-2020e ............................................................................. 305 Figure 9-25 U.S. Fish/Animal Oil Sales by Channel in 2011 ................................................................................... 306 Figure 9-26 U.S. Plant Oil Sales & Growth, 1999-2020e ........................................................................................ 307 Figure 9-27 U.S. Plant Oil Sales by Channel in 2011 .............................................................................................. 307 Figure 9-28 U.S. Glucosamine/Chondroitin Sales & Growth, 1999-2020e ............................................................ 308 Figure 9-29 U.S. Glucosamine/Chondroitin Sales by Channel in 2011 .................................................................. 308 Figure 9-30 U.S. Bee Products Sales & Growth, 1999-2020e ................................................................................ 309

Index of Figures

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Figure 9-31 U.S. Bee Products Sales by Channel in 2011 ...................................................................................... 309 Figure 9-32 U.S. CoQ10 Sales & Growth, 1999-2020e .......................................................................................... 310 Figure 9-33 U.S. CoQ10 Sales by Channel in 2011 ................................................................................................. 310 Figure 9-34 U.S. 5HTP Sales & Growth, 1999-2020e ............................................................................................. 311 Figure 9-35 U.S. 5HTP Sales by Channel in 2011 ................................................................................................... 311 Figure 9-36 U.S. SAMe Sales & Growth, 2000-2020e ............................................................................................ 312 Figure 9-37 U.S. SAMe Sales by Channel in 2011 .................................................................................................. 312 Figure 9-38 U.S. MSM Sales & Growth, 1999-2020e ............................................................................................. 313 Figure 9-39 U.S. MSM Sales by Channel in 2011 ................................................................................................... 313 Figure 9-40 U.S. Gelatin Sales & Growth, 1999-2020e .......................................................................................... 314 Figure 9-41 U.S. Gelatin Sales by Channel in 2011 ................................................................................................ 314 Figure 9-42 U.S. Digestive Enzymes Sales & Growth, 1999-2020e ....................................................................... 315 Figure 9-43 U.S. Digestive Enzymes Sales by Channel in 2011 .............................................................................. 315 Figure 9-44 U.S. Homeopathic Sales & Growth, 1999-2020e ............................................................................... 316 Figure 9-45 U.S. Homeopathic Sales by Channel in 2011 ...................................................................................... 317 Figure 9-46 U.S. Other Specialty Supplement Sales & Growth, 1999-2020e ........................................................ 317 Figure 9-47 U.S. Other Specialty Supplement Sales by Channel in 2011 .............................................................. 318 Figure 9-48 NBJ Consumer Survey: Actively Looking to Increase Omega-3 Usage ............................................... 321 Figure 9-49 NBJ Consumer Survey: Omega-3s for Condition Specific Uses .......................................................... 322 Figure 10-1 U.S. Supplement Sales by Condition in 2011 ..................................................................................... 333 Figure 10-2 U.S. Dietary Supplement Sales & Growth by Condition Specific Market, 2007-2011 ........................ 334 Figure 10-3 U.S. Condition Specific Sales by Market, 2002-2011 .......................................................................... 335 Figure 10-4 U.S. Condition Specific Sales by Top 17 Conditions, 2002-2011 ........................................................ 335 Figure 10-5 U.S. Condition Specific Supplement, OTC and Rx Sales in 2011 ......................................................... 335 Figure 10-6 NBJ Consumer Survey: Health Condition Treatment Methods .......................................................... 336 Figure 10-7 NBJ Consumer Survey: Reasons for Taking Supplements .................................................................. 337 Figure 10-8 NBJ Consumer Survey: Supplement Trust .......................................................................................... 339 Figure 10-9 U.S. General Health Condition Specific Supplement Sales by Product in 2011 ................................. 344 Figure 10-10 U.S. General Health Condition Specific Supplement Sales & Growth, 2000-2015e ........................ 345 Figure 10-11 U.S. General Health Condition Specific Sales by Market, 2001-2011 .............................................. 345 Figure 10-12 U.S. General Health Condition Specific Supplement Sales, 2001-2011 ........................................... 346 Figure 10-13 U.S. Cold/Flu-Immune Condition Specific Supplement Sales by Product in 2011 ........................... 347 Figure 10-14 U.S. Cold/Flu-Immune Condition Specific Supplement Sales & Growth, 2000-2015e .................... 348 Figure 10-15 U.S. Cold/Flu-Immune Condition Specific Sales by Market, 2002-2011 .......................................... 348 Figure 10-16 U.S. Cold/Flu-Immune Condition Specific Supplement Sales, 2001-2011 ....................................... 349 Figure 10-17 U.S. Sports/Energy/Weight-Loss Condition Specific Supplement Sales by Product in 2011 ........... 354 Figure 10-18 U.S. Sports/Energy/Weight-Loss Condition Specific Supplement Sales & Growth, 2000-2015e ..... 355 Figure 10-19 U.S. Sports/Energy/Weight-Loss Condition Specific Sales by Market, 2002-2011 .......................... 355 Figure 10-20 U.S. Sports/Energy/Weight-Loss Condition Specific Supplement Sales, 2001-2011 ....................... 356 Figure 10-21 U.S. Brain/Mental Acuity Condition Specific Supplement Sales by Product in 2011 ....................... 359 Figure 10-22 U.S. Brain/Mental Acuity Condition Specific Supplement Sales & Growth, 2000-2015e ................ 360 Figure 10-23 U.S. Brain/Mental Acuity Condition Specific Sales by Market, 2002-2011 ...................................... 360 Figure 10-24 U.S. Brain/Mental Acuity Condition Specific Supplement Sales, 2001-2011 ................................... 361 Figure 10-25 U.S. Insomnia Condition Specific Supplement Sales by Product in 2011 ......................................... 371 Figure 10-26 U.S. Insomnia Condition Specific Supplement Sales & Growth, 2000-2015e .................................. 372 Figure 10-27 U.S. Insomnia Condition Specific Sales by Market, 2002-2011 ........................................................ 372 Figure 10-28 U.S. Insomnia Condition Specific Supplement Sales, 2001-2011 ..................................................... 373

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Figure 10-29 U.S. Mood/Depression Condition Specific Supplement Sales by Product in 2011 .......................... 374 Figure 10-30 U.S. Mood/Depression Condition Specific Supplement Sales & Growth, 2000-2015e.................... 374 Figure 10-31 U.S. Mood/Depression Condition Specific Sales by Market, 2002-2011 ......................................... 375 Figure 10-32 U.S. Mood/Depression Condition Specific Supplement Sales, 2001-2011 ...................................... 376 Figure 10-33 U.S. Menopause Condition Specific Supplement Sales by Product in 2011 .................................... 377 Figure 10-34 U.S. Menopause Condition Specific Supplement Sales & Growth, 2000-2015e .............................. 378 Figure 10-35 U.S. Menopause Condition Specific Sales by Market, 2002-2011 ................................................... 378 Figure 10-36 U.S. Menopause Condition Specific Supplement Sales, 2001-2011 ................................................ 379 Figure 10-37 U.S. Cardio/Heart Health Condition Specific Supplement Sales by Product in 2011 ....................... 383 Figure 10-38 U.S. Cardio/Heart Health Condition Specific Supplement Sales & Growth, 2000-2015e ................ 384 Figure 10-39 U.S. Cardio/Heart Health Condition Specific Sales by Market, 2002-2011 ...................................... 384 Figure 10-40 U.S. Cardio/Heart Health Condition Specific Supplement Sales, 2001-2011 ................................... 385 Figure 10-41 U.S. Joint Health Condition Specific Supplement Sales by Product in 2011 .................................... 390 Figure 10-42 U.S. Joint Health Condition Specific Supplement Sales & Growth, 2000-2015e .............................. 391 Figure 10-43 U.S. Joint Health Condition Specific Sales by Market, 2002-2011 ................................................... 391 Figure 10-44 U.S. Joint Health Condition Specific Supplement Sales, 2001-2011 ................................................ 392 Figure 10-45 U.S. Sexual Health Condition Specific Supplement Sales by Product in 2011.................................. 397 Figure 10-46 U.S. Sexual Health Condition Specific Supplement Sales & Growth, 2000-2015e ........................... 398 Figure 10-47 U.S. Sexual Health Condition Specific Sales by Market, 2002-2011 ................................................. 398 Figure 10-48 U.S. Sexual Health Condition Specific Supplement Sales, 2001-2011 .............................................. 399 Figure 10-49 U.S. Bone Health Condition Specific Supplement Sales by Product in 2011 .................................... 401 Figure 10-50 U.S. Bone Health Condition Specific Supplement Sales & Growth, 2000-2015e ............................. 402 Figure 10-51 U.S. Bone Health Condition Specific Sales by Market, 2002-2011 ................................................... 402 Figure 10-52 U.S. Bone Health Condition Specific Supplement Sales, 2001-2011 ................................................ 403 Figure 10-53 U.S. Gastrointestinal Health Condition Specific Supplement Sales by Product in 2011 .................. 406 Figure 10-54 U.S. Gastrointestinal Health Condition Specific Supplement Sales & Growth, 2000-2015e ........... 407 Figure 10-55 U.S. Gastrointestinal Health Condition Specific Sales by Market, 2002-2011 ................................. 407 Figure 10-56 U.S. Gastrointestinal Health Condition Specific Supplement Sales, 2001-2011 .............................. 408 Figure 10-57 U.S. Diabetes Condition Specific Supplement Sales by Product in 2011 ......................................... 416 Figure 10-58 U.S. Diabetes Condition Specific Supplement Sales & Growth, 2000-2015e ................................... 417 Figure 10-59 U.S. Diabetes Health Condition Specific Sales by Market, 2002-2011 ............................................. 417 Figure 10-60 U.S. Diabetes Health Condition Specific Supplement Sales, 2001-2011 .......................................... 418 Figure 10-61 U.S. Cancer Prevention Condition Specific Supplement Sales by Product in 2011 .......................... 423 Figure 10-62 U.S. Cancer Prevention Condition Specific Supplement Sales & Growth, 2000-2015e ................... 424 Figure 10-63 U.S. Cancer Prevention Condition Specific Sales by Market, 2002-2011 ......................................... 424 Figure 10-64 U.S. Cancer Prevention Condition Specific Supplement Sales, 2001-2011 ...................................... 425 Figure 10-65 U.S. Hair/Skin/Nails Condition Specific Supplement Sales by Product in 2011 ............................... 430 Figure 10-66 U.S. Hair/Skin/Nails Condition Specific Supplement Sales & Growth, 2006-2015e ......................... 431 Figure 10-67 U.S. Hair/Skin/Nails Condition Specific Sales by Market, 2007-2011 .............................................. 431 Figure 10-68 U.S. Hair/Skin/Nails Condition Specific Supplement Sales, 2006-2011 ........................................... 432 Figure 10-69 U.S. Vision Condition Specific Supplement Sales by Product in 2011 .............................................. 436 Figure 10-70 U.S. Vision Condition Specific Supplement Sales & Growth, 2006-2015e ....................................... 437 Figure 10-71 U.S. Vision Condition Specific Sales by Market, 2007-2011 ............................................................. 437 Figure 10-72 U.S. Vision Condition Specific Supplement Sales, 2006-2011 .......................................................... 438 Figure 10-73 U.S. Anti-Aging Condition Specific Supplement Sales by Product in 2011 ....................................... 440 Figure 10-74 U.S. Anti-Aging Condition Specific Supplement Sales & Growth, 2006-2015e ................................ 441 Figure 10-75 U.S. Anti-Aging Condition Specific Supplement Sales, 2006-2011 ................................................... 442 Figure 11-1 U.S. Animal Nutrition Market: 2001-2015e ....................................................................................... 445

Index of Figures

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Figure 11-2 U.S. Household Pet Ownership in 2011 ............................................................................................. 446 Figure 11-3 $45 Billion U.S. Total Pet Food, Supplies and Services Market in 2011 ............................................. 447 Figure 11-4 U.S. Animal Supplement Sales by Targeted Condition ....................................................................... 447 Figure 11-5 $1.4 Billion U.S. Animal Supplement Sales by Channel in 2011 ......................................................... 448 Figure 11-6 U.S. Animal Supplement Sales: 2001-2015e ...................................................................................... 449 Figure 11-7 NBJ’s Top U.S. Animal Supplement Companies in 2010 .................................................................... 450 Figure 11-8 Universe of U.S. Pet Supplement Companies in 2010 ....................................................................... 451 Figure 12-1 U.S. Dietary Supplement Sales by Channel in 2011 ........................................................................... 473 Figure 12-2 U.S. Dietary Supplement Sales and Annual Growth by Channel, 2009-2011 .................................... 474 Figure 12-3 U.S. Natural & Specialty Retail Channel Dietary Supplement Sales by Product in 2011 ................... 474 Figure 12-4 U.S. Natural & Specialty Retail Channel Dietary Supplement Sales & Annual Growth by Product, 2009-2011 .............................................................................................................................................................. 475 Figure 12-5 U.S. Natural & Specialty Retail Channel Dietary Supplement Sales by Product, 2001-2011 ............. 475 Figure 12-6 U.S. Natural & Specialty Retail Dietary Supplement Sales & Growth, 1998-2011 ............................. 476 Figure 12-7 U.S. Natural & Specialty Retail Channel Dietary Supplement Sales by Product , 2012e-2020e ........ 476 Figure 12-8 U.S. Natural & Specialty Retail vs. Total Dietary Supplement Sales Growth, 2000-2020e ................ 477 Figure 12-9 NBJ Manufacturer Survey: Whole Foods as Quality Standard ........................................................... 478 Figure 12-10 NBJ Manufacturer Survey: Impact of Whole Foods Standards ........................................................ 479 Figure 12-11 U.S. Mass Market Retail Channel Dietary Supplement Sales by Product in 2011 ........................... 484 Figure 12-12 U.S. Mass Market Retail Channel Dietary Supplement Sales & Annual Growth by Product, 2009-2011 ....................................................................................................................................................................... 484 Figure 12-13 U.S. Mass Market Retail Channel Dietary Supplement Sales by Product , 2001-2011 .................... 485 Figure 12-14 U.S. Mass Market Retail Dietary Supplement Sales & Growth, 1998-2011 ..................................... 485 Figure 12-15 U.S. Mass Market Retail Channel Dietary Supplement Sales by Product , 2012e-2020e ................ 486 Figure 12-16 U.S. Mass Market Retail vs. Total Dietary Supplement Sales Growth 2000-2020e ......................... 486 Figure 12-17 Walmart vs. Mass Market Supplement Industry Growth ................................................................ 487 Figure 12-18 U.S. Practitioner Channel Dietary Supplement Sales by Product in 2011 ........................................ 491 Figure 12-19 U.S. Practitioner Channel Dietary Supplement Sales & Annual Growth by Product, 2009-2011 .... 491 Figure 12-20 U.S. Practitioner Channel Dietary Supplement Sales by Product , 2001-2011 ................................ 492 Figure 12-21 U.S. Practitioner Dietary Supplement Sales & Growth, 1998-2011 ................................................. 492 Figure 12-22 U.S. Practitioner Channel Dietary Supplement Sales by Product , 2012e-2020e ............................ 493 Figure 12-23 U.S. Practitioner vs. Total Dietary Supplement Sales Growth, 2000-2020e .................................... 493 Figure 12-24 U.S. Multi-level Marketing Channel Dietary Supplement Sales by Product in 2011 ........................ 506 Figure 12-25 U.S. Multi-Level Marketing Channel Dietary Supplement Sales & Annual Growth by Product, 2009-2011 ....................................................................................................................................................................... 506 Figure 12-26 U.S. Multi-Level Marketing Channel Dietary Supplement Sales by Product , 2001-2011 ................ 507 Figure 12-27 U.S. Multi-Level Marketing Dietary Supplement Sales & Growth, 1998-2011 ................................ 507 Figure 12-28 U.S. Multi-Level Marketing Channel Dietary Supplement Sales by Product , 2012e-2020e ............ 508 Figure 12-29 U.S. Multi-Level Marketing vs. Total Dietary Supplement Sales Growth, 2000-2020e ................... 508 Figure 12-30 U.S. Mail Order/DRTV/Radio Channel Dietary Supplement Sales by Product in 2011 .................... 517 Figure 12-31 U.S. Mail Order/DRTV/Radio Channel Dietary Supplement Sales & Annual Growth by Product, 2009-2011 ....................................................................................................................................................................... 517 Figure 12-32 U.S. Mail Order/DRTV/Radio Channel Dietary Supplement Sales by Product , 2001-2011 ............. 518 Figure 12-33 U.S. Mail Order/DRTV/Radio Dietary Supplement Sales & Growth, 1998-2011 ............................. 518 Figure 12-34 U.S. Mail Order/DRTV/Radio Channel Dietary Supplement Sales by Product , 2012e-2020e ......... 519 Figure 12-35 U.S. Mail Order/DRTV/Radio vs. Total Dietary Supplement Sales Growth, 2000-2020e ................. 519 Figure 12-36 NBJ Survey: Age of Customers ......................................................................................................... 522

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Figure 12-37 U.S. Internet Channel Dietary Supplement Sales by Product in 2011 ............................................. 529 Figure 12-38 U.S. Internet Channel Dietary Supplement Sales & Annual Growth by Product, 2009-2011 .......... 529 Figure 12-39 U.S. Internet Channel Dietary Supplement Sales by Product , 2001-2011 ...................................... 530 Figure 12-40 U.S. Internet Dietary Supplement Sales & Growth, 1998-2011 ....................................................... 530 Figure 12-41 U.S. Internet Channel Dietary Supplement Sales by Product , 2012e-2020e .................................. 531 Figure 12-42 U.S. Internet vs. Total Dietary Supplement Sales Growth, 2000-2020e .......................................... 531 Figure 12-43 NBJ Survey: Tools Used to Increase Online Product Sales ............................................................... 532 Figure 13-1 Global Nutrition Industry Sales by Product, 2010 .............................................................................. 541 Figure 13-2 Global Nutrition Industry Sales & Growth, 2000-2014e .................................................................... 542 Figure 13-3 Global Nutrition Industry Sales by Product, 2001-2010 ..................................................................... 542 Figure 13-4 U.S. Nutrition Industry Sales by Product as % of Total, 2001-2010 ................................................... 543 Figure 13-5 Global Nutrition Industry Sales by Product, 2011e-2016e ................................................................. 543 Figure 13-6 Global Nutrition Industry Sales by Region, 2001-2010 ...................................................................... 544 Figure 13-7 Global Nutrition Industry Sales by Region, 2011e-2016e .................................................................. 544 Figure 13-8 Global Supplement Sales by Region, 2010 ......................................................................................... 545 Figure 13-9 Global Supplement Industry Sales & Growth, 2002-2016e ............................................................... 546 Figure 13-10 Global Supplement Sales by Region, 2001-2010 .............................................................................. 547 Figure 13-11 European Supplement Sales by Region, 2001-2010 ........................................................................ 548 Figure 14-1 NBJ Manufacturer Survey: Future of Genetically Modified Organisms ............................................. 569 Figure 15-1 21st Century HealthCare Inc. S.W.O.T. Analysis .................................................................................. 583 Figure 15-2 24 Hour Fitness (Apex Fitness) S.W.O.T. Analysis .............................................................................. 586 Figure 15-3 Abbott Laboratories S.W.O.T. Analysis .............................................................................................. 587 Figure 15-4 Airborne Consumer Health S.W.O.T. Analysis .................................................................................... 590 Figure 15-5 Alacer S.W.O.T. Analysis ..................................................................................................................... 592 Figure 15-6 Applied Nutrition (Irwin Naturals) S.W.O.T. Analysis ......................................................................... 596 Figure 15-7 AST Sports Science S.W.O.T. Analysis ................................................................................................. 602 Figure 15-8 Atkins Nutritionals S.W.O.T. Analysis ................................................................................................. 605 Figure 15-9 Atrium Innovations S.W.O.T. Analysis ................................................................................................ 609 Figure 15-10 Barlean’s Organic Oils S.W.O.T. Analysis .......................................................................................... 611 Figure 15-11 Basic Research/Zoller Labs S.W.O.T. Analysis .................................................................................. 613 Figure 15-12 Bausch & Lomb S.W.O.T. Analysis .................................................................................................... 615 Figure 15-13 Bayer Group S.W.O.T. Analysis ......................................................................................................... 618 Figure 15-14 Beehive Botanicals S.W.O.T. Analysis............................................................................................... 620 Figure 15-15 Bio-Botanica (Nature’s Answer) S.W.O.T. Analysis .......................................................................... 622 Figure 15-16 Bluebonnet Nutrition S.W.O.T. Analysis .......................................................................................... 624 Figure 15-17 Boiron USA S.W.O.T. Analysis ........................................................................................................... 626 Figure 15-18 Botanical Laboratories S.W.O.T. Analysis ......................................................................................... 628 Figure 15-19 Bristol Myers S.W.O.T. Analysis ....................................................................................................... 631 Figure 15-20 Carlson Laboratories S.W.O.T. Analysis ............................................................................................ 633 Figure 15-21 Carlyle Group - NBTY S.W.O.T. Analysis ........................................................................................... 636 Figure 15-22 Nutrition Now S.W.O.T. Analysis ...................................................................................................... 638 Figure 15-23 Cornerstone Research S.W.O.T. Analysis ......................................................................................... 641 Figure 15-24 Coromega S.W.O.T. Analysis ............................................................................................................ 643 Figure 15-25 CytoSport S.W.O.T. Analysis ............................................................................................................. 646 Figure 15-26 Delavau S.W.O.T. Analysis ................................................................................................................ 648 Figure 15-27 DSM (i-Health) S.W.O.T. Analysis ..................................................................................................... 650 Figure 15-28 Dymatize Nutrition S.W.O.T. Analysis .............................................................................................. 653 Figure 15-29 Factor Nutrition S.W.O.T. Analysis ................................................................................................... 657

Index of Figures

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Figure 15-30 Flora S.W.O.T. Analysis ..................................................................................................................... 661 Figure 15-31 Gaia Herbs S.W.O.T. Analysis ........................................................................................................... 665 Figure 15-32 Gaspari Nutrition S.W.O.T. Analysis ................................................................................................. 667 Figure 15-33 GENr8 S.W.O.T. Analysis .................................................................................................................. 669 Figure 15-34 Glanbia (Optimum Nutrition) S.W.O.T. Analysis .............................................................................. 671 Figure 15-35 GlaxoSmithKline S.W.O.T. Analysis .................................................................................................. 674 Figure 15-36 GNC (contract manufacturing) S.W.O.T. Analysis ............................................................................ 677 Figure 15-37 Healthy Directions S.W.O.T. Analysis ............................................................................................... 679 Figure 15-38 Herbs, Etc. S.W.O.T. Analysis ............................................................................................................ 685 Figure 15-39 Hero Nutritionals S.W.O.T. Analysis ................................................................................................. 688 Figure 15-40 International Vitamin Corporation S.W.O.T. Analysis ...................................................................... 692 Figure 15-41 Iovate S.W.O.T. Analysis ................................................................................................................... 694 Figure 15-42 iSatori Technologies S.W.O.T. Analysis ............................................................................................ 696 Figure 15-43 ISI Brands S.W.O.T. Analysis ............................................................................................................. 700 Figure 15-44 Jarrow Formulas S.W.O.T. Analysis .................................................................................................. 703 Figure 15-45 Kaizen S.W.O.T. Analysis .................................................................................................................. 705 Figure 15-46 Kikkoman (Country Life, Allergy Research Group) S.W.O.T. Analysis .............................................. 707 Figure 15-47 Labrada Nutrition S.W.O.T. Analysis ................................................................................................ 711 Figure 15-48 LaneLabs-USA S.W.O.T. Analysis ...................................................................................................... 713 Figure 15-49 Liberty Media (Bodybuilding.com) S.W.O.T. Analysis ...................................................................... 715 Figure 15-50 Life Extension Foundation S.W.O.T. Analysis ................................................................................... 718 Figure 15-51 Marlyn Nutraceuticals, Inc. S.W.O.T. Analysis ................................................................................. 721 Figure 15-52 Mason Vitamins S.W.O.T. Analysis ................................................................................................... 723 Figure 15-53 Matrixx Initiatives S.W.O.T. Analysis ................................................................................................ 725 Figure 15-54 Max Muscle Sports Nutrition S.W.O.T. Analysis .............................................................................. 727 Figure 15-55 Maximum Human Performance S.W.O.T. Analysis .......................................................................... 729 Figure 15-56 McNeil Nutritionals S.W.O.T. Analysis ............................................................................................. 731 Figure 15-57 MegaFood S.W.O.T. Analysis ............................................................................................................ 733 Figure 15-58 Metagenics S.W.O.T. Analysis .......................................................................................................... 738 Figure 15-59 National Enzyme Company S.W.O.T. Analysis ................................................................................. 745 Figure 15-60 Naturade Inc. S.W.O.T. Analysis ....................................................................................................... 749 Figure 15-61 Natural Alternatives S.W.O.T. Analysis ............................................................................................ 751 Figure 15-62 Natural Factors S.W.O.T. Analysis .................................................................................................... 753 Figure 15-63 Natural Organics/Nature’s Plus S.W.O.T. Analysis ........................................................................... 755 Figure 15-64 Nature’s Best S.W.O.T. Analysis ....................................................................................................... 757 Figure 15-65 Nature’s Products S.W.O.T. Analysis ................................................................................................ 760 Figure 15-66 Nestlé S.W.O.T. Analysis ................................................................................................................... 765 Figure 15-67 New Chapter S.W.O.T. Analysis ........................................................................................................ 768 Figure 15-68 Nexgen Pharma S.W.O.T. Analysis ................................................................................................... 769 Figure 15-69 Nordic Naturals S.W.O.T. Analysis .................................................................................................... 773 Figure 15-70 NOW Foods S.W.O.T. Analysis .......................................................................................................... 775 Figure 15-71 Nutraceutical International Corporation S.W.O.T. Analysis ............................................................. 778 Figure 15-72 Nutramax S.W.O.T. Analysis ............................................................................................................. 780 Figure 15-73 Nutrex Research S.W.O.T. Analysis .................................................................................................. 782 Figure 15-74 Nutrition Research Group (ANSI) S.W.O.T. Analysis ........................................................................ 786 Figure 15-75 Perrigo S.W.O.T. Analysis ................................................................................................................. 789 Figure 15-76 Pfizer S.W.O.T. Analysis .................................................................................................................... 791

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Figure 15-77 Pharmavite S.W.O.T. Analysis .......................................................................................................... 793 Figure 15-78 Plethico (Natrol) S.W.O.T. Analysis .................................................................................................. 795 Figure 15-79 ProCaps Laboratories (Andrew Lessman) S.W.O.T. Analysis ........................................................... 797 Figure 15-80 Procter & Gamble (Metamucil) S.W.O.T. Analysis ........................................................................... 799 Figure 15-81 Progressive Laboratories S.W.O.T. Analysis ..................................................................................... 801 Figure 15-82 ProPhase Labs S.W.O.T. Analysis ...................................................................................................... 803 Figure 15-83 Renew Life Formulas S.W.O.T. Analysis ........................................................................................... 806 Figure 15-84 ReserveAge Organics S.W.O.T. Analysis ........................................................................................... 808 Figure 15-85 S.A.N Corporation S.W.O.T. Analysis ................................................................................................ 810 Figure 15-86 Sanofi-Aventis S.W.O.T. Analysis ...................................................................................................... 812 Figure 15-87 Schiff S.W.O.T. Analysis .................................................................................................................... 814 Figure 15-88 Schwabe S.W.O.T. Analysis .............................................................................................................. 816 Figure 15-89 Similasan USA S.W.O.T. Analysis ...................................................................................................... 818 Figure 15-90 Standard Homeopathic S.W.O.T. Analysis ....................................................................................... 820 Figure 15-91 Standard Process S.W.O.T. Analysis ................................................................................................. 823 Figure 15-92 Swanson Health S.W.O.T. Analysis ................................................................................................... 827 Figure 15-93 Thorne Research S.W.O.T. Analysis .................................................................................................. 834 Figure 15-94 Threshold Enterprises S.W.O.T. Analysis .......................................................................................... 836 Figure 15-95 Unilever (SlimFast) S.W.O.T. Analysis .............................................................................................. 843 Figure 15-96 USPlabs S.W.O.T. Analysis ................................................................................................................ 847 Figure 15-97 Vega S.W.O.T. Analysis ..................................................................................................................... 849 Figure 15-98 VitaQuest International S.W.O.T. Analysis ....................................................................................... 855 Figure 15-99 Vita-Tech International S.W.O.T. Analysis ........................................................................................ 857 Figure 15-100 VMI Nutrition S.W.O.T. Analysis ..................................................................................................... 859 Figure 15-101 VPX Sport Nutrition S.W.O.T. Analysis ........................................................................................... 861 Figure 15-102 Wellnx Life Sciences (NX Labs, Slimquick) S.W.O.T. Analysis ......................................................... 865 Figure 15-103 Xymogen S.W.O.T. Analysis ............................................................................................................ 867

1 Executive Summary

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Here’s a milestone worth applauding: The dietary supplements industry surpassed $30 billion in 2011 sales,

growing 7% annually in a return to performance levels not seen since before the economic downturn. This represents $2 billion in incremental sales from year-ago levels and points toward the escalating interest in supplementation happening on two fronts—on the ground floor among consumers in search of natural, preventative solutions to health & wellness; and in executive suites, where M&A activity, especially from pharmaceutical strategic buyers, remains on a clear upswing.

The growth for supplements compares quite favorably to the major nutrition categories tracked by NBJ, with functional foods growing 7% in 2011, natural & organic food growing 11% and natural living—a category inclusive of personal care, pet food and household products—growing 7%. The good news here is that nutrition remains a solid growth industry regardless of the particular face it presents to the general public. Engineered approaches to nutrition—broadly positioned in functional ingredient and supplement form—are growing categories with the majority of industry sales, but, if there is a darker line to be drawn within the industry, there seems to exist a noticeable trend toward natural wherever that trend can manifest itself. Natural & organic foods have higher growth rates and estimates than supplements moving forward, while the natural subsectors of supplements–whole-food supplements, notably, an industry NBJ recently sized at $800 million–and naturally functional foods–think chia over an omega-3 additive to packaged fare—carry the true momentum in those spaces. “As people start thinking of food supplements more as supplemental food they’ll start asking the right questions and the whole-food category will continue to grow,” says Graham Rigby, vice president of innovation and marketing at New Chapter.

Within the supplements universe, two categories clearly outperformed–sports nutrition and meal replacements—both logging double-digit growth in 2011. The unifying theme here is protein, a macronutrient that has successfully averted the slings and arrows levied against its peers, fats and carbs, over recent years. Consumer awareness and hunger for protein sources throughout the day continues to drive sales along the performance end of the curve among physique and endurance enthusiasts, as well as the weight-loss crowd looking for satiety and nutritious shakes to begin their day. The specialty category of supplements also experienced respectable growth in 2011 thanks to continued advances from the industry’s major archetype ingredients—omega-3s and probiotics.

Figure 1-1 U.S. Dietary Supplement Sales by Product Category in 2011

Source: Nutrition Business Journal estimates.($mil., consumer sales)

Vitamins 34%

Herbs/Botanicals 17%

Sports Nutrition 12%

Minerals 8%

Meal Replacements 10%

Specialty/Other 19%

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In looking ahead, there appears to be a burgeoning renaissance underway for supplementation in some of the major condition-specific categories likely to drive growth for decades to come. The ‘brain space’—ingredients targeting cognition, mood and even insomnia—is gaining traction across delivery formats, from pills and powders to medical foods. It’s not hard to posit a line of thinking whereby brain health delivers the impact over the coming ten years that heart health delivered for supplementation over the past decade. Keep a close eye on Nestle and the Nestlé Health Science as a leader in this space.

Also of note, gut health—long-anticipated to be a growth driver through probiotic applications in functional food—is poised for a second coming on the heels of the Human Microbiome Project. As the scientific community uncovers the symbiotic relationships underway between our DNA and the bacteria we house, expect a new wave of product launches much more nuanced than massive loads of strain-specific probiotics flooding your GI tract. Interest in the human microbiome at the federal levels promises to create more nuanced packages from industry leaders of prebiotics, probiotics and other nutritive ingredients designed to rebalance flora.

As a parting piece of summary wisdom, consider the argument of Tom Aarts, chairman of NBJ’s editorial advisory board, envisioning a world in short course wherein 40% of the supplements industry falls into pharmaceutical hands. “If the consolidation trend continues at this same rate, the majority of the nutrition industry could be owned by the pharmaceutical and food industries within five years, and the shape and color of our industry could be much different,” says Aarts. What might this coming world look like? Will there be a viable natural channel for supplement sales? (Consider the fate of New Chapter, now in the hands of Procter & Gamble for precedent.) Will the supplements space fragment more along scientific lines, with natural, historical approaches to supplementation surviving in natural channels, while pharma-driven, science-backed medicines dominate mass channels? With the fate of DSHEA and comparable regulatory models increasingly called into scrutiny by regulators worldwide, is the supplements industry on its way toward medicine at the expense of its natural products roots?

One thing remains clear. The free-market forces let loose by DSHEA clearly want supplements within the modern American health regimen, and they want the supplements to behave more like medicine, with proven efficacy over shorter durations.

The 2012 Supplement Business Report is a running compilation of more than 15 years of continuous research by NBJ. This report was designed to deliver U.S. dietary supplement sales data and analysis necessary for companies to thrive in the current economy, and to make the most of future market opportunities.

In this year’s report, you will find: • Sales quantifications through 2011 and growth forecasts through 2020 for NBJ’s six supplement

categories: vitamins, minerals, herbs & botanicals, specialty supplements, meal replacement and sports nutrition supplements

• NBJ’s Top 100 Dietary Supplements in the U.S. ranked by sales • Analysis and forecasts for every distribution channel (mass market retail, natural & specialty retail,

multi-level marketing, direct media, practitioner and internet) in each product category • A breakdown of 2011 supplement, OTC and prescription sales estimates by 17 NBJ-defined health

categories, including cognition, mood, immunity and gastrointestinal health • Company case studies and expert interviews with CEOs and thought leaders within the U.S. dietary

supplement industry • SWOT analyses for more approximately 100 industry leaders, plus fully updated profiles of an additional

30+ companies