Dietary supplements have become incredibly popular as evidenced by the 2019 Council for Responsible Nutrition (CRN) survey on supplements revealing that 77% of adults in the United States take some form of supplements. The most common supplement categories are vitamin and nutritional supplements, but other categories include botanical supplements, sports nutrition supplements, and weight loss supplements.
The dietary supplement industry market value was estimated at $140.1 billion in 2018 and is projected to reach $216.3 billion by 2026. Factors contributing to the extreme popularity of supplements include increased awareness of obesity and other common health issues, healthy lifestyles becoming more popular, and the beauty and fitness industries embracing supplements. Of course, there’s also the fact that they can be conveniently ordered online. The supplement market can be a great choice for new entrepreneurs, but supplements don’t automatically pave a road to success. Here are some of the most important things to consider to set up your business.
Discover Your Target Audience
Like with any business venture, your first step should be figuring out who you’re marketing your products to. This will help you determine what kind of supplements to develop and how to market them. If you’re developing supplements that promote muscle mass, you’ll likely want to target fitness enthusiasts and bodybuilders. If you’re developing a supplement to help with weight loss, it’s probably a good idea to market on weightloss forums or to weightloss support groups. You might even pitch your product as a way to maintain a healthy lifestyle and keep weight loss goals after leaving a weight loss center.
It’s important to remember your goal is to solve a problem for your audience, and this should be your greatest concern during early development.
Perform a Competitive Analysis
Because supplements are so popular, you’re naturally going to have a great deal of competition. In order to stand out, you’ll need to do a competitive analysis of poplar companies that are selling the same kinds of products you are. This can help you emulate what they’re doing right while also building on things they could improve. You may discover gaps in the market where your competitors are failing to meet consumer demand, or you may find ways that you can produce similar products for a lower price.
Understand the Regulations
In the United States, the Food and Drug Administration (FDA) sets the regulations for dietary supplements. Supplements are regulated differently from food and traditional drugs. The FDA regulates the ingredients that can be used in supplements, and they ensure that all supplements sold are labeled properly. Attempting to misbrand products can result in harsh penalties, and you’ll also need to be licensed if you want to develop and mix your own formulas.
Find a Manufacturer
You can avoid the need for licensure if you decide to work with softgel manufacturers. Of course, supplements also come in other forms like capsules, tablets, powders, and liquids as well. Partnering with a manufacturer allows you to choose ingredients for your own custom formula while your partners handle the actual manufacturing process and deal with the regulations. Soft gelatin capsules have been rising in popularity in the pharmaceutical industry thanks to their extended shelf life and convenience, and they’re likely a great choice for your supplements as well.
In addition to offering a custom blend for formulas made at the highest standards, a contract manufacturer can also help you design eye-catching labels that fulfill all regulatory requirements as well as unique packaging to best represent your products. Once you’ve finalized a fulfillment plan for your customers, you can start selling high quality dietary supplements you can be proud of.
