Millennials: Tomorrow's Biggest Purchasers of Supplements - Private Label Supplement Blog Authored by Our Owner & CEO Stefani Thionnet

Do you know how to reach them?

A recent industry report on supplement usage in the U.S. states that the past 4 years have seen an 11% increase in supplement usage by adults (from 62% to 73%). This strong growth in the nutraceutical market is expected to continue and reach $75.3 billion in 2017, and some estimate it will reach $1.4 trillion by 2020. These rather imposing figures signal that there are important factors at work, playing such a major role that they deserve detailed attention.

Millennials – a force to be reckoned with

2013 Millennial Impact Report

There are three key players, or generations of consumers, to which we can refer when analyzing the strong growth of the supplement and nutraceutical market.

These are the Boomers, Gen X’ers and Millennials. All of these share certain similar traits and there is even a type of inherited consumer behavior among them. This behavior has evolved over time and is currently seeing its latest expression among Millennials in the form of some very particular and definite consumer choices and attitudes. It is these choices and attitudes that have influenced the growth of the market over the past four years and which should be understood well if suppliers of supplements wish to expand their business and grow along with the market. Furthermore, they are also important because as Millennials grow and develop they will also grow in purchasing power as well as in the way they make their choices – consciously and with certain guiding principles in mind.

Conscious and attentive consumers

What sets Millennials apart from other generations is their very particular and careful way of choosing where they put their money. A number of studies over the years have demonstrated that, among consumers, Millennials (born between 1980 and 2000) are the ones who pick their brands with much attention and forethought. On the other hand, they are easily persuaded to try out many products in search of the best deal. That said, while they usually adhere to a rather frugal lifestyle, they are not stingy when it comes to their health and food. They carefully research anything they plan on consuming or buying and always make sure to explore a variety of opinions and options. Being children of the digital age and quite tech-savvy, they know their way around and know quite well what they want from a brand, though they also very much rely on word-of-mouth and the approval of their friends and loved ones.

Furthermore, unlike Boomers or Gen X’ers, Millennials early on display a very heightened sense of care for themselves and an attitude which is seriously concerned with old age. They wish to be independent, socially and financially, and start thinking both about their physical and mental health much earlier than their parents did. And because of their sense of entitlement or even superiority in relation to previous generations, their choices as consumers and their loyalty to certain brands over others is determined by how they are being treated. Good customer service is sure to please and impress them and convert them into long-term customers.

Another very important and major factor in how they make their decisions is whether they can relate to the message that a company is getting across. Brands that offer alternative, sustainable and responsible services and products are big on Millennials’ list and will benefit the most from their increasing force as consumers. This is because with all the information available nowadays, these smart kids of yesterday and today are simply not impressed by authority anymore. They are quite aware that there are many and different sources of authoritative information and are sure to explore all of them before opting for one.

Millennials display a heightened sense of care for themselves and start considering old age early on.: Helga Weber / Foter / CC BY-ND

A few concrete steps which a private label supplements seller can adopt in relation to them as customers and so attract their attentions are:

Building a brand which is responsible and concerned with current social and global issues.
Paying attention to social media, having a strong online presence and reaching out through all forms of media.
Developing good customer service, investing in brand image and creating meaningful and personal client relationships, founded upon respect and honesty (don’t forget they might know more than you!).

Millennials constitute one of the most important segments of both the health food as well as nutraceutical market and will continue to do so over the next 30-40 years. They are, indeed, a force to be reckoned with and anyone who pays attention to the trends that Millennials set and follow, and adjusts one’s business accordingly, is sure to see growth, loyalty and a relationship with consumers unlike any other before.