Nutrition Business Journal Releases First-Ever Mid-Year Update, Revising Growth Forecasts

BOULDER, Colo., April 10, 2023 /PRNewswire/ -- New Hope Network's Nutrition Business Journal (NBJ), an Informa Markets brand, has released its first-ever mid-year market update revising previous projections given the economic climate through the second half of 2022. NBJ previously released estimates in June 2022, with growth forecasted at 4.2% for 2022 and falling to 3.7% in 2023. After research and analysis completed in January 2023, NBJ now estimates growth at 1.7% in 2022 falling to 1.2% this year before anticipated recovery in 2024. 

This updated research is covered in NBJ's Special Report: Supplement Market Economy Update 2023, which is available for purchase. Research in the report includes not only updated market sizing forecasts but results from industry and consumer surveys conducted late last year as well. 

Key insights include:

• Coming off the record growth in 2020, NBJ had projected a normalization in 2022, but the reality of the year was a further slowdown than anyone had previously anticipated. NBJ's revised estimated growth of 1.7% in 2022 brings sales to a total of about $1.5 billion lower than previously thought. Even with this slowdown, NBJ expects sales will be back on track with pre-COVID projections by 2024 and pulling back ahead by 2025.
  
  
• One of the most surprising drops in growth last year came in e-commerce, which dropped to an estimated 3.9% growth coming off years of double-digits. An additional surprise was an uptick in mass market retail growth, the only channel where NBJ increased growth estimates, to 6.7%, given a shift in consumer preference toward store brands and value brands.
  
  
• In a survey of U.S. consumers repeated in July, September and November of 2022, NBJ found that consumers are definitely feeling the impacts of inflation. In November, 63% of consumers reported feeling pressure or stress due to inflation and rising costs, up from the previous two survey periods. Even more importantly, 61% of consumers have reported changing their grocery shopping behaviors as a result. Vitamins and minerals fare slightly better than other shopping categories, with 17% of consumers reporting buying more in November than the same time last year.

"Being the predictor for an industry is never an easy undertaking, but the events in 2020 and beyond have made it both easier and harder. In such unprecedented times, there is complete understanding in revising previous projections, though the news comes a lot easier when the projection comes in the form of record sales growth of 14.5%, rather than an adjustment in the opposite direction," said Claire Morton, NBJ Senior Manager of Data and Insights.

NBJ Director of Content Bill Giebler explains, "GDP is strong and unemployment is low, but inflation is real and supplement supplies are overstocked from ingredient suppliers all the way down to consumer cabinets. It's not just about recession and it's a confusing picture for the supplement industry—especially after pandemic-driven sales boom of the past three years."

Industry professionals can tune in for an in-depth discussion with the NBJ team about the report and what's to come in an exclusive Economic State of the Industry three-part video series. For information on NBJ's company plans or corporate subscriptions, please reach out to [email protected].

Industry members can visit Nutrition Business Journal online and follow on LinkedIn to join in on ongoing conversations.

About Nutrition Business Journal

Nutrition Business Journal guides decision makers in the nutrition, health, and wellness space in developing their strategy, understanding trends, realizing opportunity, and analyzing potential risks. NBJ's market research reports provide business intelligence and thought leadership to all levels of the nutrition industry. Each report is exhaustively researched by our staff of industry experts and presents an analysis of markets, trends, competition, and strategy in the U.S. and global nutrition industry. Learn more at nutritionbusinessjournal.com.

About New Hope Network

New Hope Network is at the forefront of the healthy lifestyle products industry. With solutions for the complete supply chain from manufacturers, retailers/distributors, service providers and ingredient suppliers, the network offers a robust portfolio of content, events, data, research and consultative services. Through all its actions, New Hope Network aims to cultivate a prosperous high-integrity CPG and retail ecosystem that creates health, joy and justice for all people while regenerating the planet. For more information visit www.newhope.com. 

About Informa Markets

Informa Markets creates platforms for industries and specialist markets to trade, innovate and grow. We provide marketplace participants around the globe with opportunities to engage, experience and do business through face-to-face exhibitions, targeted digital services and actionable data solutions. We connect buyers and sellers across more than a dozen global verticals, including Pharmaceuticals, Food, Medical Technology and Infrastructure. As the world's leading market-making company, we bring a diverse range of specialist markets to life, unlocking opportunities and helping them to thrive 365 days of the year. For more information, please visit www.informamarkets.com.

SOURCE New Hope Network

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