The health and wellness industry has experienced unprecedented growth in recent years. It soared to a whopping $5.46 trillion in 2023 from $4.92 trillion and is expected to reach $13.89 trillion by 2032, expanding at a CAGR of 10.93%.
The wellness industry post-COVID has seen tremendous growth, with more consumers seeking healthier lives. This creates opportunities for brands to step in and offer services and products to help consumers reach their wellness goals.
Does increasing interest mean more competition? It is not always so!
Here are a few trends shaping the future of the health and wellness industry.
Trend# 1 Personalised Experiences Take Root in Wellness
The health and wellness industry is turning away from the one-size-fits-all model and veering towards personalized experiences, especially diets, and supplements. However, since 2020, consumers have been unwilling to share data due to privacy concerns.
In saying that, the market is ready to turn towards personalisation. A recent survey by Vesta indicates that 58% of consumers are interested in personalised supplements. The most interested are the younger generation at 71%.
According to the FDA, there are more than 29,000 different supplements available in the US market, including vitamins, minerals, protein powders, and gummies, to name a few. While consumers are spoilt for choice, they need someone to help make decisions, which is where personalized nutrition comes into the picture.
With personalized nutrition, people can have products tailored to their needs and achieve their health goals easily.
Trend# 2 DTC Brands are Tapping into the Service Market
While products continue to be a major part of the health and wellness market, services are not far behind. According to research by McKinsey and Company, services and apps currently occupy 30% of the current market spend. This figure is bound to increase in 2024, with more and more consumers ready to invest in services and apps.
Tapping into this trend are the DTC brands offering experiences, most recently Peloton. The indoor cycling fitness brand offers subscription-based services, even for those who do not have the Peloton equipment.
Trend# 3 Utilisation of AR and VR for Fitness
AR and VR, once a foreign concept, is becoming popular more so in the hands of fitness enthusiasts. People now use AR and VR to participate in Augmented Reality Fitness classes from the comfort of their home. Not only do you participate, but also share the programs on social media.
This could be a great advantage for those who find it difficult to use smartphones while working out. But with the hands-free AR, they are free to concentrate on the workout.
In addition to workouts, some apps provide a gamified version to encourage people to exercise. A great example is Zombies, Run!, where you outrun the zombie apocalypse. Complete with instructions from a helicopter pilot, the app aims to motivate runners.
Trend# 4 Weight Management with Intervention is Taking Off
Though exercise is still the leading weight loss management, more and more people are also considering medical intervention as well. The rise of the GLP-1 weight loss drugs, especially Ozempic and Wegovy, is not much of a surprise considering America’s obsession with weight loss.
Having said that, not everyone is sold on medical intervention. Less than 30% of people are ready to consider GLP-1 drugs for weight loss management. However, GLP-1 drugs are still in their early stages and can definitely benefit those for whom traditional methods did not work.
Trend# 5 Overall Health is the Highest Priority
While weight loss still has an iron grip on society, the focus is slowly turning towards overall health. New diet fads have taken a back seat with a growing interest in healthy foods made from unprocessed, whole ingredients.
The same trend was observed in low-fat, low-calorie, sugar-free, and fat-free products as well. Instead, probiotics, prebiotics, and products focusing on wellness are seeing soaring sales. A great example of this trend is Olipop, a prebiotic soda company. With a revenue of $850K in 2018, the brand currently has Mindy Kaling, Gwyneth Paltrow, and the Jonas brothers as its investors.
Trend# 6 Focus is on Good Quality Sleep
Sometimes, the modern lifestyle may not give you time to rest and have a good night's sleep. However, good sleep is much more important than you think.
According to a recent survey by McKinsey and Company, 45% of consumers consider good sleep the second highest priority. As such, sleep science has been increasingly gaining attention. There has been a 66% increase in funding for sleep technology between the years 2019 - 2022.
Consumers now use wearables or apps to track their sleep and improve their sleeping habits. Apps like Sleep Cycle and Sleep Town and wearables such as Whoop and Oura Ring help improve their quality of sleep.
Trend# 7 Building Solid Health and Wellness Routines Through Apps
While in-person gym sessions haven’t taken their last breath, more people are willing to adopt remote workouts. According to Statista, the most downloaded apps in 2023 include five weight loss apps, and the trend is bound to continue, if not increase in 2024. In addition to workout apps, there is a healthy sprinkle of wellness and activity tracker apps.
Tapping into this trend are brands such as Nike, Boat and Adidas, which have comprehensive fitness and wellness platforms offering guided workouts, personalised training plans, and health-tracking features.
Trend# 8 Mental Health is a Priority for the Younger Generation
Another wellness trend taking a lead is mental health, and rightfully so. After decades of ignoring mental health concerns, more and more people, both kids and adults, are seeking help.
According to Growtherapy, more than 83% of therapists have reported an increase in patients in 2023. Along the same line, the online therapy service BetterHelp also saw a 15% increase in revenue.
Many brands have created their apps to advocate for mental health. The Mental Health Coalition by Kenneth Cole aims to advocate, educate and provide resources for those suffering from mental health issues.
Trend# 9 Personal Care Brands for Men Are on the Rise
Personal care brands for women have always been on the rise, but what is surprising is the emergence of personal care brands for men.
The global personal care market for men, valued at $79.6 billion in 2022 is expected to reach $115.3 billion by 2028. Brands such as Dr. Squatch and Manscaped offer gender-specific face wash, shampoos, conditioners, face masks, and such.
This increasing demand has paved the way for more innovative and diverse products tailored to men's grooming needs, normalizing male personal care routines.
Trend# 10 Gut Health is Much More than Digestive Health
The gut, also called the second brain, is gaining attention for all the right reasons. It is more than just the digestive system. A healthy gut influences everything from mental health to energy levels and skin health.
However, there is a distinct lack of products that support gut health. Gut health and digestive supplements are two areas showing consistent growth, with consumers increasingly seeking out probiotics, prebiotics, and other gut-friendly products.