Rebecca Wright03.01.08
Millions of consumers have decided to break their silence about constipation, regularity, bloating and gas. Believe it or not that's good news for the 60 to 70 million consumers suffering from one digestive ailment or another. From mild digestive complaints to severe issues, each corner of the product spectrum-including foods, beverages, dietary supplements and pharmaceuticals-has an important role to play.
As long as legions of consumers continue to share the intimate details of their bowel health with each other and the world, there will be plenty of fertile ground for new marketing messages and product opportunities in the digestive health market for years to come.
For some people digestive ailments can be debilitating, but for most, digestive health issues are just downright annoying. As a result, Joe O'Neill, executive vice president of sales and marketing, BENEO-Orafti, Morris Plains, NJ, believes consumers have come to the realization that there is something out there that can make a difference, and that those annoying but not debilitating problems should be controllable or resolvable if they eat right or take the right supplements.
In the U.S. alone, digestive diseases affect up to 70 million people, resulting in over $90 billion in direct and indirect medical costs, according to The Foundation for Digestive Health and Nutrition, which is part of the American Gastroentrological Association (AGA), Bethesda, MD. Although some digestive disturbances don't always rank as "serious," the organization claims the impact is still significant in terms of days spent out of work, visits to the doctor, and even visits to the emergency room.
Further, digestive issues don't discriminate-they touch every consumer segment, from the child with a mild case of diarrhea to an adult experiencing symptoms of irritable bowel syndrome (IBS).
IBS is one of the most common functional bowel disorders diagnosed by primary care physicians and gastroenterologists. Unfortunately, it is tough to pinpoint exactly how many consumers may be affected by IBS because a lot of them don't even know they have it.
To put it into perspective, IBS affects one in five Americans and is second only to the common cold as a leading cause of workplace absenteeism. IBS alone costs the healthcare system up to $25 billion in direct and indirect medical costs per year.
According to a report sponsored by the AGA, the great health and economic burden of gastrointestinal (GI) disease in the U.S., as well as abroad, "calls attention to the need for research into the etiology, epidemiology, prevention, and treatment of these diseases." This report was commissioned to estimate the prevalence and annual economic burden of common GI disorders from a societal perspective.
"While research expenditures on GI disease were approximately $1.4 billion in 2000, a substantial commitment that was evenly divided between the public and private sectors, this magnitude of effort is significantly less than the research commitment to other diseases with lower health and economic burdens in the U.S.," the report said.
Today a lot more researchers are paying attention to the digestive health category because of the impact on such a large number of people. In fact, Denmark-based Chr. Hansen, a major player in the probiotics sector, claims the connection between gut health and cancer is being heavily investigated at several research institutions worldwide.
But digestive health certainly goes beyond some of the more severe issues affecting the digestive tract. While not considered diseases, constipation, diarrhea, bloating and gas impact the quality of life for millions of consumers daily. The good news for functional foods and dietary supplements is that for these consumers digestive health is largely a "wellness" issue, not a "death and disease" issue, according to Julian Mellentin, editor, New Nutrition Business.
"Scientifically, the link between the health of a person's gut and other aspects of their health is just starting to be understood," he said. "What is being revealed is that the gut influences our health, well-being and resistance to disease to an extraordinary extent."
The potential consumer base for digestive health products is so large that food, beverage and dietary supplement sales may someday outpace that of pharmaceuticals.
"Big Pharma," for the moment, rules the digestive health market in terms of sales. In fact, according to Brandweek magazine, the third and fourth best-selling drugs in the world are for digestive complaints. This includes Nexium, which is worth approximately $4.4 billion, and Prevacid, which is worth approximately $3.8 billion.
So given the heavy competition from pharmaceuticals, how do nutraceuticals fit into the digestive health picture? Tom Bohager, founder and president, Enzymedica, Port Charlotte, FL, says the playing field is challenging, particularly because consumers are looking for short-term relief but ignoring the long-term consequences of some of the most popular medicines. "I think consumers are driven by short-term relief, price and doctor recommendations. Unfortunately, the best selling products outside the natural foods industry are inexpensive products that provide immediate relief but have long-term consequences (i.e., Tums, Rolaids)," he said.
Mr. Bohager claims some of these products neutralize stomach acid and over time result in the production of more acid-because the body requires acid to break down protein. This in turn pushes consumers to take greater amounts of an over-the-counter (OTC) remedy until finally acid production is so great they begin taking products that shut production down (i.e. proton pump inhibitors such as Prilosec). Eventually this process inhibits the proper digestion of proteins and becomes increasingly difficult to correct. "I suspect that many loyal consumers of natural products have members of their household taking such OTC and prescription medicines since, relatively speaking, there is an enormous gap in sales," Mr. Bohager commented.
Offering a similar point of view was Dan Murray vice president, Business Development, Xsto Solutions, Morristown, NJ. "Consumer demand for immediate relief feeds into the OTC product offerings, regardless of whether or not they represent a long-term solution," he explained. "Natural products better meet consumer expectations when a mid- to long-term strategy is used to address the situation. Since they focus on metabolic function rather than stopping or suppressing a normal reaction, natural products inherently take longer to work."
Fitting into the long-term relief category is zinc-carnosine, which Mr. Murray said remains one of the best supported digestive ingredients backed by numerous human trials, with no evidence of side effects or reactions. "Digestive ingredients that support natural function rather than suppress it all have a bright future," he offered.
Michael Shahani, director of operations, Nebraska Cultures, Walnut Creek, CA, isn't scared of a little competition from the pharmaceutical industry. "It's a little like asking bicycle makers if they are concerned about competition from cars," he said. "Sometimes you need to drive 500 miles to a location and sometimes you can take your bicycle. In other words, pharmaceuticals represent a totally different approach to digestive health. The only time I get concerned is when consumers view pharmaceuticals as a panacea for all digestive ailments."
Caroline Brons, senior marketing manager, DSM Nutritional Products, Inc., Parsippany, NJ, agrees that in a lot of cases pharmaceuticals may not be necessary. "Many digestive problems originate from lifestyle issues such as poor diet and lack of exercise. A lot of these problems are not treated with medication but with alterations in diet and lifestyle," she said. "The use of nutraceuticals fits very well into this concept."
Scott Daniel, marketing and communications manager, National Enzyme Company, Forsyth, MO, also believes consumers are continually searching for ways to stay away from pharmaceuticals. "Every time a press release comes out about a prescription drug recall, our industry gains new customers," she said. "Consumers are really starting to understand that prevention is key. Products that keep you healthy and full of life are the ones that are doing well in the market."
Bryan Rodriguez, technical and applications manager, Lonza, Allendale, NJ, views all products in the digestive health category as competitive and complementary. "Digestive health as a market is serviced by both nutraceutical companies and pharmaceutical providers. Not only do pharmaceutical companies offer drugs for specific indications, but many also offer dietary supplements-such as fiber products-through their consumer health divisions. So, the two industries may complement each other as well as compete," he said. "Nutraceutical products, including prebiotics, offer a convenient and inexpensive format that consumers can use to address digestive health issues. These products can be delivered in a variety of different forms, including beverages or bars, instead of being limited to pills or tablets."
Most experts agree that it couldn't be a better time to launch a digestive health product as either a dietary supplement or functional food. "Right now we are witnessing the perform storm of product opportunities," said Gail Barnes, PhD, vice president, Industry Innovation Consulting, Dairy Management Inc. (DMI), Chicago, IL. "You have a consumer need, rising awareness, and availability, all of which have come together to make digestive health the hottest category in functional foods right now."
A new report called "10 Key Health Trends in Food, Nutrition & Health 2008" by Julian Mellentin of New Nutrition Business hails the category of digestive health as one of the biggest opportunities for functional foods. "If looking only at probiotic dairy products," the report says, "the global market for foods and beverages for digestive health was worth over $6.5 billion in 2006-80% of which came from dairy-based products."
The report goes on to say that even in a market in which digestive health has never really taken off-such as the U.S.-change is already happening. And it is being carried out single-handedly by one brand, Dannon Activia.
While the market for digestive health foods and beverages in the U.S. is only $460 million, it is poised to explode. In fact, following Activia's debut in the U.S., the market for digestive health foods and beverages grew 80% in 2006 alone.
How did Dannon's Activia crack the digestive health market wide open? In the words of Mr. Mellentin, "Activia dispelled the long-held myth that Americans weren't motivated by explicit digestive health messages and unleashed a frenzy of interest in digestive health products."
What is Dannon's secret? According to Ms. Barnes of DMI, it all comes down to segmentation. "Dannon really understands the consumer and meets their needs," she said. "In addition, the company's advertising message has become relevant to so many generations of consumers."
So what makes a digestive health product successful? Mr. Mellentin first suggests using a technology that works-specifically a fiber or "bug" (i.e. probiotic) that is scientifically well established and supplied in a sufficient dose to deliver a digestive health benefit a consumer can feel relatively quickly. He also recommends demonstrating the effect-a perfect example being Activia's two-week challenge, which has been widely copied by others in the market.
Efficacy is also a key factor, especially in the case of the digestive health consumer who is typically seeking quick relief. The shorter the timeframe for seeing a benefit, the more successful the product will be in terms of demonstrating efficacy.
Mr. Mellentin also says it helps to create a new category-similar to what Yakult did in Europe and Activia did in the U.S. "Also, be first in the consumer's mind-to do that you need a clear and uncompromising brand position with a clear and consistent benefit statement supported by long-term marketing expenditure linked to consumer education," he said. "Lastly, develop innovative packaging to help establish and maintain a significant price premium for your product and encourage multiple use."
As much as Dannon has become a leader in the digestive health category, it has also become a target. In late January, a class action lawsuit was filed against the company for allegedly misleading consumers as to the benefits of Activia, Activia Light, and its immune support product, DanActive.
The suit was brought by law firms Coughlin Stoia Geller Rudman & Robbins and Mager & Goldstein, both of Los Angeles, CA. They claim Dannon mounted a massive false advertising campaign to convince consumers to pay more for yogurt containing "probiotic" bacteria because of the products' health benefits.
A Reuters article said the lawsuit also cites scientific reports showing, counter to Dannon's advertising, that there was no conclusive evidence that the bacteria prevented illness or was beneficial to healthy adults-and that Dannon knew this. The lawsuit calls for Dannon to refund everyone in the U.S. who purchased the products, an amount approaching $300 million, according to Brandweek magazine.
In response to the lawsuit, Dannon said it proudly stands by the claims of its products and the clinical studies that support them. "All of Dannon's claims for Activia and DanActive are completely supported by peer-reviewed science and are in accordance with all laws and regulations," a company statement said. "Dannon's advertising has always been and will continue to be absolutely truthful, and Dannon will vigorously challenge this lawsuit. The filed complaint does not contain any support for the broad generalizations made in the lawsuit."
The company also points out that the one publication cited in the lawsuit does not disprove Dannon's scientific substantiation for its proven product benefits. Indeed, the report, published by the American Academy of Microbiology, does not even reference any Dannon products.
Dannon makes all scientific studies about its products available to the public following the established method of peer-review and publication. Dannon says it also regularly consults with leading independent experts in the field of probiotics about the science behind all of its probiotic claims.
Commenting on the lawsuit, DMI's Ms. Barnes said, "The lawsuit against Dannon is a good example of the challenges of success. Well over 90% of Dannon's customers are coming from referrals, and sales data point to repeat purchases-so why would people continue to purchase the product if it wasn't working?"
U.S. sales of probiotic dairy products were over $400 million in 2007, as estimated by
There are other opportunities outside dairy, but Mr. Mellentin doesn't see them being major blockbusters. He says while many in the U.S. believe that there are opportunities for categories other than dairy to succeed with the concept, they will be marginal at best and most dry-form probiotics are likely to end up either withdrawn or selling as ultra-niche brands.
This is because, as Mr. Mellentin points out, probiotic breakfast cereals or bread run counter to consumer logic. "Dry form probiotic foods will, of course, find some devoted fans in today's increasingly fragmented market for health, everything does. But such products will be marginal brands with little impact on dairy's dominance."
In Europe, for example, Mr. Mellentin says the marketing of the dairy industry has been so effective, its products so good, and its connecting of probiotics with consumer logic of bacteria in yogurt so thorough, that no other category has been able to compete.
Although other products like cereals, sausages and bars have been attempted, most have disappeared from the market. For a company to be successful in probiotics, Mr. Mellentin said, "You need to be early to market and focused on supporting the formats that fly. In the case of probiotics, that means dairy drinks and yogurts-it means juices and perhaps some other beverages."
Probiotics are live cultures that, when consumed in sufficient quantities, can provide health benefits to the individual. They can help maintain the digestive system by providing a regular source of "friendly" bacteria to the intestinal tract, helping to improve the functioning of the intestinal microflora. Normally a healthy intestine is one that is dominated by "friendly" bacteria, but several factors can disrupt the intestinal ecosystem, including stress, antibiotic use, lack of sleep, illness, diet and aging.
Although digestive health is probably the most established health platform for probiotics, the awareness of the term "probiotics" remains relatively low, although it's growing, according to DSM's Ms. Brons. "There is mounting awareness in North America about probiotics. Growth figures are high (>10% per year) and a wide range of new probiotic product concepts are entering the market," she said. "In 2006, more than 375 new products containing probiotics were launched in a variety of categories, including dietary supplements, foods, beverages, pet foods and personal care products."
In functional foods, Ms. Brons points out, the use of probiotics is clearly no longer restricted to yogurt type products only-probiotics can now also be found in cereals, beverages and even in chocolate bars. "The high potential of the probiotics product category in North America is evident," she said.
Although Dannon and others have done a good job heightening the awareness of the role of probiotics in good digestive health, Scott Bush, vice president-Dietary Supplements Business Unit, Danisco Cultures Division, Madison, WI, believes a thorough understanding of probiotics by the average U.S. consumer is still pretty far off. Further, he says the strongest acceptance remains mostly among people that tend to do more research and are already in tune with alternative therapies. "The mainstream consumer is becoming more familiar with the terms 'acidophilus' and 'bifidus'-some even understand the benefit of these microorganisms when taking antibiotics or experiencing diarrhea or vaginal yeast infections. However, a gap still exists regarding what probiotics are and when, how and why they should be taken," he commented. "People will get the message about probiotics as continued evidence of their clinical benefits accumulates and the medical and nutritional communities recommend them more frequently as proven therapies."
Vincent Annunziata, a consultant to Jarrow Formulas, Los Angeles, CA, agrees. "Many consumers have never heard of probiotics, let alone understand the different strains. However, as the research behind probiotics continues to strengthen, more American physicians are recommending them to their patients," he said. "As a result, more consumers are learning about probiotics and their role in the prevention and management of intestinal issues. Given this development, companies would be wise to stay on top of the latest probiotic research."
Long-term educational efforts are crucial due to the complexities of digestive health and the ingredients that play a role in this market. "From my perspective, we have a long way to go before consumers can understand probiotics and prebiotics," said Dr. Robert Hutkins, Khem Shahani professor of food science, University of Nebraska, Lincoln, NE. "Even students in my classes have only a vague understanding of probiotics."
For example, in a recent seminar with 30 microbiology students, Dr. Hutkins says although most were familiar with probiotics, none had heard of prebiotics. "At this point in time, strain designations (which I strongly favor) may cause even more confusion for consumers," he said. "On the other hand, television commercials for some of these products have really raised public awareness, even if consumers don't fully understand much of the science."
Still, the strain-specific benefits of probiotics cannot be ignored. Even in just the last 10 years the research has picked up considerably all over the world. To that end, Mr. Annunziata points to a recent meta-analysis published in the journal Travel Medicine and Infectious Disease, which found that several probiotics (Saccharomyces boulardii and a mixture of Lactobacillus acidophilus and Bifidobacterium bifidum) were very successful in preventing traveler's diarrhea. Another review, he said, published in the Journal of Alimentary Pharmacology & Therapeutics, found that supplementation with probiotics could be effective in increasing eradication rates of anti-H. pylori therapy and displayed a positive impact on H. pylori therapy-related side effects.
So will probiotics have a better life in functional foods or dietary supplements? Mr. Bush believes consumers will gravitate toward the format that is right for them. "The U.S. is typically a pill popping society, but then again a lot of people have recently taken quite an interest in functional foods like yogurt and bars. I think both types of applications will grow," he offered. "The advantage with supplements is that they can deliver a bigger payload of probiotics. With food, consumers are buying food first so the premium they are willing to pay is much lower."
Moreover, Mr. Annunziata suggests while most consumers probably rely on food for their digestive health issues, in the case of probiotics, the majority of scientific evidence indicates that specific bacteria do not increase unless subjects consume very high doses of probiotics in the form of supplements, not those naturally found in foods.
Fiber is a slam-dunk in the digestive health market. Due to newer, more versatile fiber sources, as well as technological advances that enable the seamless addition of fiber to various applications, fiber has indeed become friendlier. Additionally, the recent intense interest in digestive wellness, prompted initially by probiotics, has moved companies and consumers to take a second look at fiber.
The International Food Information Council (IFIC), Washington, D.C., claims 86% of Americans are aware of fiber's link to maintaining a healthy digestive system. As a result of this awareness, IFIC says 57% of Americans are already consuming fiber for these benefits. Despite their efforts, however, consumers continue to struggle to get enough fiber in their diets.
Counter to Mr. Mellentin's position on dry-form probiotic opportunities, he says fiber has the best chance of success in dry-form foods like breakfast cereals and bars because most of these products already contain fiber. "More cereal makers are looking to market products on a digestive health platform. In the U.K., for example, all breakfast cereal manufacturers have decided that prebiotics-added fibers that encourage the growth of beneficial intestinal bacteria-are now their way of creating a real point of difference," he said. "These companies also want to make sure prebiotics are very well associated with cereal just as probiotics are well associated with dairy foods and beverages."
As fiber gains more traction, Mr. Mellentin predicts "high in fiber" will become a category standard, just as "with vitamins" is for juices and breakfast cereals today. In the end, he believes fiber will cease to be a point of difference and instead become a message that every product will have to have if it is to maintain credibility as a healthy choice.
In that respect, Mr. Mellentin points out that high-fiber products will not be high-growth products in the way that digestive health dairy or juice will continue to be. Instead, fiber will be added to formulations to support an existing position, with the value most likely coming from the secondary health messages attached to fiber, such as blood sugar control and satiety.
As for prebiotics, Mr. Mellentin explained, "The term 'prebiotic' is still at the earliest stage of consumer understanding, particularly in the U.S. (where it is almost unknown), and it will be some time before foods that use this marketing term can attain anything near the scale of dairy probiotics (if they ever do)."
He argues that the prebiotic message-"a fiber that boosts the growth of beneficial bacteria"-is too long a chain for most consumers to follow. Also, he says, if they want to boost the beneficial bacteria in their gut, why wouldn't they just take a probiotic, as advertising urges them to do every day?
All things considered, Mr. Mellentin does believe the future for fiber as a "must-have" part of a healthy diet is unmistakably bright.
Market research firm Frost & Sullivan predicts the food fiber industry will reach nearly $500 million in sales by 2011, compared to $193 million in 2004. Further, soluble fiber is growing 26% annually and insoluble fiber is growing 13%. "I think these categories are growing so rapidly because consumers are more interested in handling their digestive health issues with supplements and foods, rather than pharmaceuticals," commented Neel Varde, PhD, Nutriose business developmentcoordinator, Roquette America, Keokuk, IA.
In addition to suggesting that fiber is the most important digestive health ingredient, BENEO-Orafti's Mr. O'Neill says while many consumers ingest dietary fiber through supplements, even more people consume high-fiber natural foods and/or fiber-enriched foods. "When it comes to digestive health, consumer research shows that most consumers prefer to get this kind of functionality from food because it seems like the natural way," he said. "So in the future, it's the functional food/beverage market that will grow faster, especially in the case of prebiotics."
Jennifer Stephens, marketing analyst, GTC Nutrition, Golden, CO, recognizes the growth and stability in insoluble and soluble fibers as well as whole grain flours for their digestive health benefits, but she believes novel ingredients such as prebiotics, probiotics and resistant starches are becoming more popular as digestive health fortification options.
Ms. Stephens also says some products have already started touting the synergy between prebiotic and probiotic ingredients. "The dairy segment was one of the first to introduce products touting the synergistic effects of pre- and probiotics for improved digestive function. More and more market segments are picking up on this trend," she offered.
Take Kraft, for example, which unveiled its LiveActive Movement last year. The movement, according to the company, involves a lifestyle-based approach to help people achieve digestive wellness. To support this new "movement," Kraft launched new offerings that make use of both prebiotics and probiotics. The idea is to take various brands owned by Kraft and put those that make sense under the LiveActive umbrella-which is supposed to be a tagline that indicates to consumers which Kraft brands support digestive as well as overall health.
The first introductions were unveiled in September last year and included cottage cheese fortified with the prebiotic fiber inulin under the Breakstone's/Knudsen brand, as well as natural cheese sticks fortified with the probiotic Bifidobacterium lactis, which debuted under the Kraft brand. The other additions came early this year with a cereal boasting prebiotic fiber for digestive health, as well as Planter's nuts also fortified with inulin. The next launch will include Kraft's Crystal Light line, which will be available in the form of drink sticks, and will also be fortified with inulin.
Beyond food, Mr. Mellentin said in his report that there is also a massive and growing opportunity in probiotic supplements. Highlighting two Swedish companies as examples, he claims they recently achieved profitability for the first time in their histories as a result of focusing on serving the supplement market. Further, he says companies investing in technologies that can add more value in supplements will be successful.
According to Nutrition Business Journal, the digestive health supplement market is worth more than $820 million-a figure that pales in comparison to sales of foods and beverages that target digestive health. However, the role of supplements will become more important as time goes on and as consumers realize the complementary nature of foods and supplements for digestive health.
Although Tim Gamble, vice president, Sales & Marketing, Nutraceutix, Redmond, WA, believes food and beverage products deliver exponentially fewer viable probiotics than properly manufactured and delivered probiotic dietary supplements, the recent marketing exposure is good for everyone in the probiotic and digestive health category, as it brings digestive health to the front of consumers' minds.
Dosage and delivery are important factors to consider when deciding whether to create a supplement or functional food, particularly in the case of probiotics. "The main probiotic product forms on the market are capsules and yogurt products. This is now changing as manufacturers add probiotics to cheeses, fruit drinks, nutrition bars and cereals," DSM's Ms. Brons explained. "These developments present formulation and stability challenges as probiotics are sensitive to moisture and heat. Also, for probiotics to be able to exert their health benefits, they must remain alive, not only during manufacturing and storage of the food product, but also in the gastrointestinal tract, particularly in the stomach and the small intestine where the conditions are harshest."
To resolve these issues, many suppliers have retooled their probiotic-based formulations to be more tolerant of certain processing conditions. For example, DSM's LAFTI probiotics are specifically designed to survive the harsh conditions of the GI tract, thanks to a unique coating system (designed specifically for each individual strain). According to DSM, studies show that the LAFTI strains have superior survivability compared to other leading strains on the market.
Capsugel, Greenwood, SC, has also been hard at work on this front. Low-moisture Vcaps hydroxypropyl methylcellulose (HPMC) capsules help preserve the potency of probiotic supplements. Further, they enhance stability and extend shelf life. This is possible because of the capsules' low water content, an important attribute that reduces exposure to moisture, which can prematurely activate the live cultures before ingestion. Capsugel claims other coatings and encapsulation materials have a much higher water content.
As technology continues to advance the probiotic supplement category, quality will follow. Indeed, Mr. Gamble says this is already happening. "The quality of probiotic supplements on store shelves is increasing rapidly as quality conscious brands and retailers become better educated about what makes a viable and efficacious probiotic product," he said. "Since natural, safe-for-human-use, non-GMO probiotics are perishable, both in terms of shelf-life and during passage through the acids of the stomach, good probiotic supplements must be manufactured using processes and delivery technologies designed to help them remain viable and reach their goal, which is the consumer's intestinal tract."
Another ingredient category that has found much success in supplements is enzymes. National Enzyme's Ms. Daniel says this is because consumers are really starting to understand that good health starts in the gut. As a result, the interest in enzymes remains high because consumers want to improve their overall health, lead an active life, and avoid taking prescription medications.
More specifically, Ms. Daniel said, "General digestive products are taking the lead in the enzymes category. By simply taking an enzyme supplement with a meal, consumers can prevent most of the 'unspeakable' side effects that go along with eating over-processed food and eating while on the go."
But Jarrow Formulas' Mr. Annunziata says the confusion surrounding probiotics is also prevalent in the enzymes category too. "It is probably safe to say that most people have no idea what enzymes do in the body, or the benefits they offer," he said. "Although enzymes are a little more complex than other dietary supplements, companies should understand the importance of enzyme activity and be able to explain the significance of enzymes to customers."
Out of all nutritional categories, DSM's Ms. Brons believes probiotics offer the most opportunity for growth. "Consumer awareness is gaining ground, research is intensifying, and new studies are substantiating what many people have already experienced-better health with probiotics," she said.
DMI's Ms. Barnes also believes there is a sizable market for probiotic digestive health products in the U.S. "We have only just scratched the surface in terms of probiotic bacteria. Just looking at U.S. demographics is reason enough to believe this market will continue to thrive as digestive systems age and start to decline. When the digestive system makes its presence felt, probiotics can return it to its natural state."
Mr. O'Neill of BENEO-Orafti also sees some opportunities within the aging population. "Perhaps we will see the day when regulations allow companies to promote prebiotic foods with claims addressing anti-cancer effects in the digestive system, which is a major and real concern associated with digestive aging," he said.
Enzymedica's Mr. Bohager envisions enzyme products following a similar course as probiotics. "Overall, I believe enzymes will be the major player in the future digestive health market," he said.
The U.S. digestive health market is only just beginning its rise to prominence. And although single ingredient technology has fueled growth in the digestive health market, GTC's Ms. Stephens believes new technologies and ingredient blends will sustain it. Due to new and emerging technologies, she says manufacturers will have no problem differentiating their product lines when targeting the digestive health market in the future.
As long as legions of consumers continue to share the intimate details of their bowel health with each other and the world, there will be plenty of fertile ground for new marketing messages and product opportunities in the digestive health market for years to come.
Digestive Wellness: A Mass Market Target
For some people digestive ailments can be debilitating, but for most, digestive health issues are just downright annoying. As a result, Joe O'Neill, executive vice president of sales and marketing, BENEO-Orafti, Morris Plains, NJ, believes consumers have come to the realization that there is something out there that can make a difference, and that those annoying but not debilitating problems should be controllable or resolvable if they eat right or take the right supplements.
In the U.S. alone, digestive diseases affect up to 70 million people, resulting in over $90 billion in direct and indirect medical costs, according to The Foundation for Digestive Health and Nutrition, which is part of the American Gastroentrological Association (AGA), Bethesda, MD. Although some digestive disturbances don't always rank as "serious," the organization claims the impact is still significant in terms of days spent out of work, visits to the doctor, and even visits to the emergency room.
Further, digestive issues don't discriminate-they touch every consumer segment, from the child with a mild case of diarrhea to an adult experiencing symptoms of irritable bowel syndrome (IBS).
IBS is one of the most common functional bowel disorders diagnosed by primary care physicians and gastroenterologists. Unfortunately, it is tough to pinpoint exactly how many consumers may be affected by IBS because a lot of them don't even know they have it.
To put it into perspective, IBS affects one in five Americans and is second only to the common cold as a leading cause of workplace absenteeism. IBS alone costs the healthcare system up to $25 billion in direct and indirect medical costs per year.
According to a report sponsored by the AGA, the great health and economic burden of gastrointestinal (GI) disease in the U.S., as well as abroad, "calls attention to the need for research into the etiology, epidemiology, prevention, and treatment of these diseases." This report was commissioned to estimate the prevalence and annual economic burden of common GI disorders from a societal perspective.
"While research expenditures on GI disease were approximately $1.4 billion in 2000, a substantial commitment that was evenly divided between the public and private sectors, this magnitude of effort is significantly less than the research commitment to other diseases with lower health and economic burdens in the U.S.," the report said.
Today a lot more researchers are paying attention to the digestive health category because of the impact on such a large number of people. In fact, Denmark-based Chr. Hansen, a major player in the probiotics sector, claims the connection between gut health and cancer is being heavily investigated at several research institutions worldwide.
But digestive health certainly goes beyond some of the more severe issues affecting the digestive tract. While not considered diseases, constipation, diarrhea, bloating and gas impact the quality of life for millions of consumers daily. The good news for functional foods and dietary supplements is that for these consumers digestive health is largely a "wellness" issue, not a "death and disease" issue, according to Julian Mellentin, editor, New Nutrition Business.
"Scientifically, the link between the health of a person's gut and other aspects of their health is just starting to be understood," he said. "What is being revealed is that the gut influences our health, well-being and resistance to disease to an extraordinary extent."
The potential consumer base for digestive health products is so large that food, beverage and dietary supplement sales may someday outpace that of pharmaceuticals.
Competing with 'Big Pharma'
"Big Pharma," for the moment, rules the digestive health market in terms of sales. In fact, according to Brandweek magazine, the third and fourth best-selling drugs in the world are for digestive complaints. This includes Nexium, which is worth approximately $4.4 billion, and Prevacid, which is worth approximately $3.8 billion.
So given the heavy competition from pharmaceuticals, how do nutraceuticals fit into the digestive health picture? Tom Bohager, founder and president, Enzymedica, Port Charlotte, FL, says the playing field is challenging, particularly because consumers are looking for short-term relief but ignoring the long-term consequences of some of the most popular medicines. "I think consumers are driven by short-term relief, price and doctor recommendations. Unfortunately, the best selling products outside the natural foods industry are inexpensive products that provide immediate relief but have long-term consequences (i.e., Tums, Rolaids)," he said.
Mr. Bohager claims some of these products neutralize stomach acid and over time result in the production of more acid-because the body requires acid to break down protein. This in turn pushes consumers to take greater amounts of an over-the-counter (OTC) remedy until finally acid production is so great they begin taking products that shut production down (i.e. proton pump inhibitors such as Prilosec). Eventually this process inhibits the proper digestion of proteins and becomes increasingly difficult to correct. "I suspect that many loyal consumers of natural products have members of their household taking such OTC and prescription medicines since, relatively speaking, there is an enormous gap in sales," Mr. Bohager commented.
Offering a similar point of view was Dan Murray vice president, Business Development, Xsto Solutions, Morristown, NJ. "Consumer demand for immediate relief feeds into the OTC product offerings, regardless of whether or not they represent a long-term solution," he explained. "Natural products better meet consumer expectations when a mid- to long-term strategy is used to address the situation. Since they focus on metabolic function rather than stopping or suppressing a normal reaction, natural products inherently take longer to work."
Fitting into the long-term relief category is zinc-carnosine, which Mr. Murray said remains one of the best supported digestive ingredients backed by numerous human trials, with no evidence of side effects or reactions. "Digestive ingredients that support natural function rather than suppress it all have a bright future," he offered.
Michael Shahani, director of operations, Nebraska Cultures, Walnut Creek, CA, isn't scared of a little competition from the pharmaceutical industry. "It's a little like asking bicycle makers if they are concerned about competition from cars," he said. "Sometimes you need to drive 500 miles to a location and sometimes you can take your bicycle. In other words, pharmaceuticals represent a totally different approach to digestive health. The only time I get concerned is when consumers view pharmaceuticals as a panacea for all digestive ailments."
Caroline Brons, senior marketing manager, DSM Nutritional Products, Inc., Parsippany, NJ, agrees that in a lot of cases pharmaceuticals may not be necessary. "Many digestive problems originate from lifestyle issues such as poor diet and lack of exercise. A lot of these problems are not treated with medication but with alterations in diet and lifestyle," she said. "The use of nutraceuticals fits very well into this concept."
Scott Daniel, marketing and communications manager, National Enzyme Company, Forsyth, MO, also believes consumers are continually searching for ways to stay away from pharmaceuticals. "Every time a press release comes out about a prescription drug recall, our industry gains new customers," she said. "Consumers are really starting to understand that prevention is key. Products that keep you healthy and full of life are the ones that are doing well in the market."
Bryan Rodriguez, technical and applications manager, Lonza, Allendale, NJ, views all products in the digestive health category as competitive and complementary. "Digestive health as a market is serviced by both nutraceutical companies and pharmaceutical providers. Not only do pharmaceutical companies offer drugs for specific indications, but many also offer dietary supplements-such as fiber products-through their consumer health divisions. So, the two industries may complement each other as well as compete," he said. "Nutraceutical products, including prebiotics, offer a convenient and inexpensive format that consumers can use to address digestive health issues. These products can be delivered in a variety of different forms, including beverages or bars, instead of being limited to pills or tablets."
Most experts agree that it couldn't be a better time to launch a digestive health product as either a dietary supplement or functional food. "Right now we are witnessing the perform storm of product opportunities," said Gail Barnes, PhD, vice president, Industry Innovation Consulting, Dairy Management Inc. (DMI), Chicago, IL. "You have a consumer need, rising awareness, and availability, all of which have come together to make digestive health the hottest category in functional foods right now."
Market Strategies & Challenges
A new report called "10 Key Health Trends in Food, Nutrition & Health 2008" by Julian Mellentin of New Nutrition Business hails the category of digestive health as one of the biggest opportunities for functional foods. "If looking only at probiotic dairy products," the report says, "the global market for foods and beverages for digestive health was worth over $6.5 billion in 2006-80% of which came from dairy-based products."
The report goes on to say that even in a market in which digestive health has never really taken off-such as the U.S.-change is already happening. And it is being carried out single-handedly by one brand, Dannon Activia.
While the market for digestive health foods and beverages in the U.S. is only $460 million, it is poised to explode. In fact, following Activia's debut in the U.S., the market for digestive health foods and beverages grew 80% in 2006 alone.
How did Dannon's Activia crack the digestive health market wide open? In the words of Mr. Mellentin, "Activia dispelled the long-held myth that Americans weren't motivated by explicit digestive health messages and unleashed a frenzy of interest in digestive health products."
What is Dannon's secret? According to Ms. Barnes of DMI, it all comes down to segmentation. "Dannon really understands the consumer and meets their needs," she said. "In addition, the company's advertising message has become relevant to so many generations of consumers."
So what makes a digestive health product successful? Mr. Mellentin first suggests using a technology that works-specifically a fiber or "bug" (i.e. probiotic) that is scientifically well established and supplied in a sufficient dose to deliver a digestive health benefit a consumer can feel relatively quickly. He also recommends demonstrating the effect-a perfect example being Activia's two-week challenge, which has been widely copied by others in the market.
Efficacy is also a key factor, especially in the case of the digestive health consumer who is typically seeking quick relief. The shorter the timeframe for seeing a benefit, the more successful the product will be in terms of demonstrating efficacy.
Mr. Mellentin also says it helps to create a new category-similar to what Yakult did in Europe and Activia did in the U.S. "Also, be first in the consumer's mind-to do that you need a clear and uncompromising brand position with a clear and consistent benefit statement supported by long-term marketing expenditure linked to consumer education," he said. "Lastly, develop innovative packaging to help establish and maintain a significant price premium for your product and encourage multiple use."
As much as Dannon has become a leader in the digestive health category, it has also become a target. In late January, a class action lawsuit was filed against the company for allegedly misleading consumers as to the benefits of Activia, Activia Light, and its immune support product, DanActive.
The suit was brought by law firms Coughlin Stoia Geller Rudman & Robbins and Mager & Goldstein, both of Los Angeles, CA. They claim Dannon mounted a massive false advertising campaign to convince consumers to pay more for yogurt containing "probiotic" bacteria because of the products' health benefits.
A Reuters article said the lawsuit also cites scientific reports showing, counter to Dannon's advertising, that there was no conclusive evidence that the bacteria prevented illness or was beneficial to healthy adults-and that Dannon knew this. The lawsuit calls for Dannon to refund everyone in the U.S. who purchased the products, an amount approaching $300 million, according to Brandweek magazine.
In response to the lawsuit, Dannon said it proudly stands by the claims of its products and the clinical studies that support them. "All of Dannon's claims for Activia and DanActive are completely supported by peer-reviewed science and are in accordance with all laws and regulations," a company statement said. "Dannon's advertising has always been and will continue to be absolutely truthful, and Dannon will vigorously challenge this lawsuit. The filed complaint does not contain any support for the broad generalizations made in the lawsuit."
The company also points out that the one publication cited in the lawsuit does not disprove Dannon's scientific substantiation for its proven product benefits. Indeed, the report, published by the American Academy of Microbiology, does not even reference any Dannon products.
Dannon makes all scientific studies about its products available to the public following the established method of peer-review and publication. Dannon says it also regularly consults with leading independent experts in the field of probiotics about the science behind all of its probiotic claims.
Commenting on the lawsuit, DMI's Ms. Barnes said, "The lawsuit against Dannon is a good example of the challenges of success. Well over 90% of Dannon's customers are coming from referrals, and sales data point to repeat purchases-so why would people continue to purchase the product if it wasn't working?"
Dairy Dominates Digestive Health
U.S. sales of probiotic dairy products were over $400 million in 2007, as estimated by
New Nutrition Business,
based on supermarket scanning data from IRI, and will exceed $600 million by 2010. Further, 80% of that market is dominated by two brands-Activia and Stonyfield Farm-both of which are owned by France-based Danone.There are other opportunities outside dairy, but Mr. Mellentin doesn't see them being major blockbusters. He says while many in the U.S. believe that there are opportunities for categories other than dairy to succeed with the concept, they will be marginal at best and most dry-form probiotics are likely to end up either withdrawn or selling as ultra-niche brands.
This is because, as Mr. Mellentin points out, probiotic breakfast cereals or bread run counter to consumer logic. "Dry form probiotic foods will, of course, find some devoted fans in today's increasingly fragmented market for health, everything does. But such products will be marginal brands with little impact on dairy's dominance."
In Europe, for example, Mr. Mellentin says the marketing of the dairy industry has been so effective, its products so good, and its connecting of probiotics with consumer logic of bacteria in yogurt so thorough, that no other category has been able to compete.
Although other products like cereals, sausages and bars have been attempted, most have disappeared from the market. For a company to be successful in probiotics, Mr. Mellentin said, "You need to be early to market and focused on supporting the formats that fly. In the case of probiotics, that means dairy drinks and yogurts-it means juices and perhaps some other beverages."
The Probiotic Picture
Probiotics are live cultures that, when consumed in sufficient quantities, can provide health benefits to the individual. They can help maintain the digestive system by providing a regular source of "friendly" bacteria to the intestinal tract, helping to improve the functioning of the intestinal microflora. Normally a healthy intestine is one that is dominated by "friendly" bacteria, but several factors can disrupt the intestinal ecosystem, including stress, antibiotic use, lack of sleep, illness, diet and aging.
Although digestive health is probably the most established health platform for probiotics, the awareness of the term "probiotics" remains relatively low, although it's growing, according to DSM's Ms. Brons. "There is mounting awareness in North America about probiotics. Growth figures are high (>10% per year) and a wide range of new probiotic product concepts are entering the market," she said. "In 2006, more than 375 new products containing probiotics were launched in a variety of categories, including dietary supplements, foods, beverages, pet foods and personal care products."
In functional foods, Ms. Brons points out, the use of probiotics is clearly no longer restricted to yogurt type products only-probiotics can now also be found in cereals, beverages and even in chocolate bars. "The high potential of the probiotics product category in North America is evident," she said.
Although Dannon and others have done a good job heightening the awareness of the role of probiotics in good digestive health, Scott Bush, vice president-Dietary Supplements Business Unit, Danisco Cultures Division, Madison, WI, believes a thorough understanding of probiotics by the average U.S. consumer is still pretty far off. Further, he says the strongest acceptance remains mostly among people that tend to do more research and are already in tune with alternative therapies. "The mainstream consumer is becoming more familiar with the terms 'acidophilus' and 'bifidus'-some even understand the benefit of these microorganisms when taking antibiotics or experiencing diarrhea or vaginal yeast infections. However, a gap still exists regarding what probiotics are and when, how and why they should be taken," he commented. "People will get the message about probiotics as continued evidence of their clinical benefits accumulates and the medical and nutritional communities recommend them more frequently as proven therapies."
Vincent Annunziata, a consultant to Jarrow Formulas, Los Angeles, CA, agrees. "Many consumers have never heard of probiotics, let alone understand the different strains. However, as the research behind probiotics continues to strengthen, more American physicians are recommending them to their patients," he said. "As a result, more consumers are learning about probiotics and their role in the prevention and management of intestinal issues. Given this development, companies would be wise to stay on top of the latest probiotic research."
Long-term educational efforts are crucial due to the complexities of digestive health and the ingredients that play a role in this market. "From my perspective, we have a long way to go before consumers can understand probiotics and prebiotics," said Dr. Robert Hutkins, Khem Shahani professor of food science, University of Nebraska, Lincoln, NE. "Even students in my classes have only a vague understanding of probiotics."
For example, in a recent seminar with 30 microbiology students, Dr. Hutkins says although most were familiar with probiotics, none had heard of prebiotics. "At this point in time, strain designations (which I strongly favor) may cause even more confusion for consumers," he said. "On the other hand, television commercials for some of these products have really raised public awareness, even if consumers don't fully understand much of the science."
Still, the strain-specific benefits of probiotics cannot be ignored. Even in just the last 10 years the research has picked up considerably all over the world. To that end, Mr. Annunziata points to a recent meta-analysis published in the journal Travel Medicine and Infectious Disease, which found that several probiotics (Saccharomyces boulardii and a mixture of Lactobacillus acidophilus and Bifidobacterium bifidum) were very successful in preventing traveler's diarrhea. Another review, he said, published in the Journal of Alimentary Pharmacology & Therapeutics, found that supplementation with probiotics could be effective in increasing eradication rates of anti-H. pylori therapy and displayed a positive impact on H. pylori therapy-related side effects.
So will probiotics have a better life in functional foods or dietary supplements? Mr. Bush believes consumers will gravitate toward the format that is right for them. "The U.S. is typically a pill popping society, but then again a lot of people have recently taken quite an interest in functional foods like yogurt and bars. I think both types of applications will grow," he offered. "The advantage with supplements is that they can deliver a bigger payload of probiotics. With food, consumers are buying food first so the premium they are willing to pay is much lower."
Moreover, Mr. Annunziata suggests while most consumers probably rely on food for their digestive health issues, in the case of probiotics, the majority of scientific evidence indicates that specific bacteria do not increase unless subjects consume very high doses of probiotics in the form of supplements, not those naturally found in foods.
The Reinvention of Fiber
Fiber is a slam-dunk in the digestive health market. Due to newer, more versatile fiber sources, as well as technological advances that enable the seamless addition of fiber to various applications, fiber has indeed become friendlier. Additionally, the recent intense interest in digestive wellness, prompted initially by probiotics, has moved companies and consumers to take a second look at fiber.
The International Food Information Council (IFIC), Washington, D.C., claims 86% of Americans are aware of fiber's link to maintaining a healthy digestive system. As a result of this awareness, IFIC says 57% of Americans are already consuming fiber for these benefits. Despite their efforts, however, consumers continue to struggle to get enough fiber in their diets.
Counter to Mr. Mellentin's position on dry-form probiotic opportunities, he says fiber has the best chance of success in dry-form foods like breakfast cereals and bars because most of these products already contain fiber. "More cereal makers are looking to market products on a digestive health platform. In the U.K., for example, all breakfast cereal manufacturers have decided that prebiotics-added fibers that encourage the growth of beneficial intestinal bacteria-are now their way of creating a real point of difference," he said. "These companies also want to make sure prebiotics are very well associated with cereal just as probiotics are well associated with dairy foods and beverages."
As fiber gains more traction, Mr. Mellentin predicts "high in fiber" will become a category standard, just as "with vitamins" is for juices and breakfast cereals today. In the end, he believes fiber will cease to be a point of difference and instead become a message that every product will have to have if it is to maintain credibility as a healthy choice.
In that respect, Mr. Mellentin points out that high-fiber products will not be high-growth products in the way that digestive health dairy or juice will continue to be. Instead, fiber will be added to formulations to support an existing position, with the value most likely coming from the secondary health messages attached to fiber, such as blood sugar control and satiety.
As for prebiotics, Mr. Mellentin explained, "The term 'prebiotic' is still at the earliest stage of consumer understanding, particularly in the U.S. (where it is almost unknown), and it will be some time before foods that use this marketing term can attain anything near the scale of dairy probiotics (if they ever do)."
He argues that the prebiotic message-"a fiber that boosts the growth of beneficial bacteria"-is too long a chain for most consumers to follow. Also, he says, if they want to boost the beneficial bacteria in their gut, why wouldn't they just take a probiotic, as advertising urges them to do every day?
All things considered, Mr. Mellentin does believe the future for fiber as a "must-have" part of a healthy diet is unmistakably bright.
Market research firm Frost & Sullivan predicts the food fiber industry will reach nearly $500 million in sales by 2011, compared to $193 million in 2004. Further, soluble fiber is growing 26% annually and insoluble fiber is growing 13%. "I think these categories are growing so rapidly because consumers are more interested in handling their digestive health issues with supplements and foods, rather than pharmaceuticals," commented Neel Varde, PhD, Nutriose business developmentcoordinator, Roquette America, Keokuk, IA.
In addition to suggesting that fiber is the most important digestive health ingredient, BENEO-Orafti's Mr. O'Neill says while many consumers ingest dietary fiber through supplements, even more people consume high-fiber natural foods and/or fiber-enriched foods. "When it comes to digestive health, consumer research shows that most consumers prefer to get this kind of functionality from food because it seems like the natural way," he said. "So in the future, it's the functional food/beverage market that will grow faster, especially in the case of prebiotics."
Jennifer Stephens, marketing analyst, GTC Nutrition, Golden, CO, recognizes the growth and stability in insoluble and soluble fibers as well as whole grain flours for their digestive health benefits, but she believes novel ingredients such as prebiotics, probiotics and resistant starches are becoming more popular as digestive health fortification options.
Ms. Stephens also says some products have already started touting the synergy between prebiotic and probiotic ingredients. "The dairy segment was one of the first to introduce products touting the synergistic effects of pre- and probiotics for improved digestive function. More and more market segments are picking up on this trend," she offered.
Take Kraft, for example, which unveiled its LiveActive Movement last year. The movement, according to the company, involves a lifestyle-based approach to help people achieve digestive wellness. To support this new "movement," Kraft launched new offerings that make use of both prebiotics and probiotics. The idea is to take various brands owned by Kraft and put those that make sense under the LiveActive umbrella-which is supposed to be a tagline that indicates to consumers which Kraft brands support digestive as well as overall health.
The first introductions were unveiled in September last year and included cottage cheese fortified with the prebiotic fiber inulin under the Breakstone's/Knudsen brand, as well as natural cheese sticks fortified with the probiotic Bifidobacterium lactis, which debuted under the Kraft brand. The other additions came early this year with a cereal boasting prebiotic fiber for digestive health, as well as Planter's nuts also fortified with inulin. The next launch will include Kraft's Crystal Light line, which will be available in the form of drink sticks, and will also be fortified with inulin.
A Place for Supplements?
Beyond food, Mr. Mellentin said in his report that there is also a massive and growing opportunity in probiotic supplements. Highlighting two Swedish companies as examples, he claims they recently achieved profitability for the first time in their histories as a result of focusing on serving the supplement market. Further, he says companies investing in technologies that can add more value in supplements will be successful.
According to Nutrition Business Journal, the digestive health supplement market is worth more than $820 million-a figure that pales in comparison to sales of foods and beverages that target digestive health. However, the role of supplements will become more important as time goes on and as consumers realize the complementary nature of foods and supplements for digestive health.
Although Tim Gamble, vice president, Sales & Marketing, Nutraceutix, Redmond, WA, believes food and beverage products deliver exponentially fewer viable probiotics than properly manufactured and delivered probiotic dietary supplements, the recent marketing exposure is good for everyone in the probiotic and digestive health category, as it brings digestive health to the front of consumers' minds.
Dosage and delivery are important factors to consider when deciding whether to create a supplement or functional food, particularly in the case of probiotics. "The main probiotic product forms on the market are capsules and yogurt products. This is now changing as manufacturers add probiotics to cheeses, fruit drinks, nutrition bars and cereals," DSM's Ms. Brons explained. "These developments present formulation and stability challenges as probiotics are sensitive to moisture and heat. Also, for probiotics to be able to exert their health benefits, they must remain alive, not only during manufacturing and storage of the food product, but also in the gastrointestinal tract, particularly in the stomach and the small intestine where the conditions are harshest."
To resolve these issues, many suppliers have retooled their probiotic-based formulations to be more tolerant of certain processing conditions. For example, DSM's LAFTI probiotics are specifically designed to survive the harsh conditions of the GI tract, thanks to a unique coating system (designed specifically for each individual strain). According to DSM, studies show that the LAFTI strains have superior survivability compared to other leading strains on the market.
Capsugel, Greenwood, SC, has also been hard at work on this front. Low-moisture Vcaps hydroxypropyl methylcellulose (HPMC) capsules help preserve the potency of probiotic supplements. Further, they enhance stability and extend shelf life. This is possible because of the capsules' low water content, an important attribute that reduces exposure to moisture, which can prematurely activate the live cultures before ingestion. Capsugel claims other coatings and encapsulation materials have a much higher water content.
As technology continues to advance the probiotic supplement category, quality will follow. Indeed, Mr. Gamble says this is already happening. "The quality of probiotic supplements on store shelves is increasing rapidly as quality conscious brands and retailers become better educated about what makes a viable and efficacious probiotic product," he said. "Since natural, safe-for-human-use, non-GMO probiotics are perishable, both in terms of shelf-life and during passage through the acids of the stomach, good probiotic supplements must be manufactured using processes and delivery technologies designed to help them remain viable and reach their goal, which is the consumer's intestinal tract."
Another ingredient category that has found much success in supplements is enzymes. National Enzyme's Ms. Daniel says this is because consumers are really starting to understand that good health starts in the gut. As a result, the interest in enzymes remains high because consumers want to improve their overall health, lead an active life, and avoid taking prescription medications.
More specifically, Ms. Daniel said, "General digestive products are taking the lead in the enzymes category. By simply taking an enzyme supplement with a meal, consumers can prevent most of the 'unspeakable' side effects that go along with eating over-processed food and eating while on the go."
But Jarrow Formulas' Mr. Annunziata says the confusion surrounding probiotics is also prevalent in the enzymes category too. "It is probably safe to say that most people have no idea what enzymes do in the body, or the benefits they offer," he said. "Although enzymes are a little more complex than other dietary supplements, companies should understand the importance of enzyme activity and be able to explain the significance of enzymes to customers."
What Lies Ahead?
Out of all nutritional categories, DSM's Ms. Brons believes probiotics offer the most opportunity for growth. "Consumer awareness is gaining ground, research is intensifying, and new studies are substantiating what many people have already experienced-better health with probiotics," she said.
DMI's Ms. Barnes also believes there is a sizable market for probiotic digestive health products in the U.S. "We have only just scratched the surface in terms of probiotic bacteria. Just looking at U.S. demographics is reason enough to believe this market will continue to thrive as digestive systems age and start to decline. When the digestive system makes its presence felt, probiotics can return it to its natural state."
Mr. O'Neill of BENEO-Orafti also sees some opportunities within the aging population. "Perhaps we will see the day when regulations allow companies to promote prebiotic foods with claims addressing anti-cancer effects in the digestive system, which is a major and real concern associated with digestive aging," he said.
Enzymedica's Mr. Bohager envisions enzyme products following a similar course as probiotics. "Overall, I believe enzymes will be the major player in the future digestive health market," he said.
The U.S. digestive health market is only just beginning its rise to prominence. And although single ingredient technology has fueled growth in the digestive health market, GTC's Ms. Stephens believes new technologies and ingredient blends will sustain it. Due to new and emerging technologies, she says manufacturers will have no problem differentiating their product lines when targeting the digestive health market in the future.