Americans are woefully deprived of quality sleep. Though the Centers for Disease Control and Prevention suggest that adults between the ages of 18 and 60 get seven or more hours of sleep per night, about one third are not hitting this target. And the result is more serious than drowsiness. The CDC links missing out on shut-eye with many chronic diseases and conditions, ranging from type 2 diabetes to heart disease, obesity, and depression, in addition to motor vehicle crashes, mistakes at work (injury and disability), and other health problems.

It’s no surprise, then, that when SPINS published its 2019 Trend Predictions report, there was one section that called out a top supplement demand: better sleep. According to SPINS, there are a lot of reasons why sleep is on consumers’ radars. First, daily caffeine consumption and excessive screen time are putting a damper on consumers’ ability to get a quality night’s rest. This has spawned the rise of “sleep hygiene” routines and habits to help them unwind and get better sleep, which include products like herbal sprays, eye masks, blue-light-blocking glasses, aromatherapy, wearable devices to track sleep cycles and, yes, dietary supplements all dedicated to a more peaceful slumber.

“Several factors have been associated with increased sleep deprivation in adults and adolescents,” said Loukiana Chatzinasiou, product manager at Sibelius Natural Products, Oxford, U.K., citing increases in late-night activities, working hours, workload, and screen viewing times as impacting consumers’ ability to get quality sleep.

Indeed, Bruce Brown, president of Natreon, Inc., New Brunswick, NJ, which markets Sensoril Ashwagandha for mood and sleep, said that today’s technology is at least partly to blame for the increase in sleep troubles. “With today’s technology, more people are utilizing cells phones, tablets, and computers than ever. Using smart devices at night can detriment one’s sleep, as blue light decreases the body’s response to producing melatonin.”

Though poor sleep has always impacted a swath of consumers, more recently, sleep disorders have received the attention often devoted to other chronic conditions, offering fertile ground for supplement brands and ingredient suppliers.

“There are both chemical and herbal options available in the market,” Chatzinasiou said, “however, natural sleep aid supplements are on the rise when compared to synthetic alternatives due to adverse side effects,” including the addictive nature of prescription medications for sleep. Over-the-counter options also come up short for many consumers because they largely act as sedatives, which can indeed reduce wakefulness, but don’t necessarily enhance sleep nor provide the benefits of a quality night’s rest.

But the biggest factor impacting the sleep nutraceuticals market, said Chatzinasiou, is that “consumers have recognized the mental, physical, and economic impact of sleep deprivation and have started to consider sleep as a key component of their healthy lifestyles, along with diet and exercise.” This positions poor sleep not as a symptom to be corrected with pharmaceuticals or over-the-counter solutions, but a long-term health concern to be approached through a more holistic lens.

The good news, according to Brown, is that the sleep supplement category, which is represented largely by melatonin, is not limited to this one ingredient, as consumers seek out a variety of natural options, opening the door for innovation across the category.

Of course, sleep goes hand-in-hand with another supplement category seeing growth: stress management. Anyone who’s ever “woken up on the wrong side of the bed” knows the inextricable link between a good night’s rest and the next day’s mood (which comes first—the lack of sleep or the stress—is a riddle for another day). “Improved sleep patterns have shown to directly correlate with a person’s productivity throughout the day,” said Brown. “With a better night’s rest, you are more inclined to be in a better mood with more focus.”

Perhaps it’s a lack of sleep, or perhaps it’s one of the many ways in which stress is impacting Americans’ daily lives, but mood is an issue not to be ignored. “Stressors are all around—environmentally, psychologically, physically, socially, politically,” said Annie Eng, CEO of HP Ingredients, Bradenton, FL, marketer of LJ 1000 Tongkat ali for stress, which was recently introduced in microencapsulated form for functional foods and beverages. “Individual stressor profiles are unique,” she noted, “but the results are often quite similar: excessive cortisol production that leads to a host of physical discomforts and low mood.”

According to the American Institute of Stress, the most common stressor for U.S. adults is the future of the nation (63%), followed by money (62%), work (61%), the political climate (57%), and violence/crime (51%). Over 75% of Americans regularly experience the physical symptoms of stress (like fatigue, headache, upset stomach, muscle tension, etc.), and 73% experience the psychological symptoms (anger, nervousness, lack of energy, etc.). Notably, 33% report they are living with “extreme stress,” and nearly half of all respondents feel their stress has increased over the last five years.

As with sleep, consumers are starting to consider stress management part of their whole-body health plan and look to supplements for support. According to research commissioned by Lonza Consumer Health & Nutrition (Greenwood, SC, and Morristown, NJ), 42% of U.S. consumers said they’re very likely to use supplements to address stress and anxiety, representing a 56% increase since 2009. Along these same lines, 30% of respondents said they would use supplements for sleeplessness and sleep disorders, a 50% popularity jump since 2009. “This marks a substantial increase in interest in these condition-specific supplements,” said Juliana Erickson, senior marketing manager for Lonza, “indicating that there is potential for further growth of this market in years to come.”

This spike in interest is translating to rising sales. According to data from SPINS, dollar sales for mood support supplements showed double-digit growth over the past year at 18% to reach $114.5 million. Similarly, sleep supplements grew 19.1% over the past year to reach $389.3 million.

Who’s Buying?
Though supplements for sleep and mood are on the rise with all kinds of consumers, there are specific demographics worth watching.

One group contributing to the popularity of sleep supplements is senior citizens, since aging can disrupt sleep. “Seniors experience a reduction in both the length of time in restful sleep and the overall quality of sleep,” said Chatzinasiou. “It takes longer to fall asleep and sleep fragmentation is increased with less time spent in NREM and REM sleep cycles.” Also contributing to their trouble sleeping is chronic aging conditions—which, of course, can also impact mood.

On the other end of the spectrum, younger adults who are increasingly interested in holistic, healthy living are also showing increased interest in mood and sleep supplements. This group includes parents, said Chatzinasiou, who “are trying to fit more responsibilities and activities into an already fully packed day, bringing their stress, mood, and anxiety levels up, which ultimately impacts their sleep cycles.”

It also includes those balancing work and family related issues, said Suresh Lakshmikanthan, global head of human health business at India-based Natural Remedies. “They see supplements offering multiple health benefits including energy, vitality, and stress relief, thus providing better mood and sleep qualities than over-the-counter sedatives.” AIDP is the exclusive distributor of Natural Remedies’ ingredients, including the Ocibest ingredient for stress and sleep.

The consumer base also includes millennials of any sort, who are “particularly susceptible to the challenges associated with busy, on-the-go lifestyles,” according to Erickson, “and are looking for solutions to help manage their everyday stress levels.” In fact, Lonza’s survey found there’s been significant growth in the number of millennials turning to supplements to mange sleep and anxiety/stress (45%), suggesting this demographic is playing a key role in driving demand.

Generation Z isn’t necessarily exempt from this category either, according to Eng, as today’s teens and pre-teens suffer from fears of potential school safety threats, bullying, and mounting peer pressure on social media.

“Any person wanting relief from a lack of sleep or to be in a better mood is a candidate for these products, so the demographics of the consumer are vast,” said Yusuke Sauchi, product manager of nutritional ingredients at Mitsubishi International Food Ingredients, Inc., marketer of PharmaGABA for mental relaxation and quality sleep. “Feeling refreshed or being refreshed from getting a good sleep are basic needs, so many consumers are drawn to supplement products that can help fill those needs.”

Top Trends
The clean label trend impacting nearly every category of food and beverage is making its way to supplements and to the sleep and mood categories. At Lonza, the clean label attribute with the most traction in the supplement category is sustainability. According to its survey, Lonza found a 97% growth in the proportion of supplement users over five years who said that an environmentally responsible brand is a very important factor in their purchasing decision. While this is good news for many brands, Erickson also pointed out that it’s posed some challenges.

“Developers and marketers have had to adapt to meet increased consumer demand for products that are from natural sources, organic, or non-GMO certified,” she said. Lonza’s Relora ingredient is a blend of Magnolia officinalis and Phellodendron amurense bark extracts for improved mood and stress reduction.

Selecting and sourcing ingredients becomes even more challenging when ingredients not only need to be ethically sourced, but also meet certain on-trend delivery specifications driving sleep and mood supplement purchases. Erickson said that release profile is a key consideration in this market, whether that means time-released or sustained-released options.

Additionally, not only do the ingredients need to sustain efficacy over time, according to Chatzinasiou, but they must not take too long to kick in. “Developers should be considering the efficacy and the immediacy of their product,” she said. “Ideally, a consumer would feel the impact of the product they are taking without much delay.” Product developers also need to keep in mind the possible side effects that ingredients can have when used in conjunction with other drugs or ingredients, especially for the elderly, she noted.

And, of course, any sleep or mood supplement developer needs to take into consideration the clinical and safety data before incorporating an ingredient into a formulation. “Just because other companies use a specific ingredient does not prove that it is safe or effective,” said Sauchi. “Even if your product is ‘clinically proven,’ developers need to be sure they don’t step outside of the FDA guidelines and make claims that cannot be substantiated or are considered of medical nature.”

One trend on the radar at Applied Food Sciences (AFS), Austin, TX is organic caffeine, which can of course help boost energy after a lackluster night of sleep, but is also linked to better mood. “However, it is interesting to see the challenge for product developers around trying to counter some of the more neurological stimulation impacts on the end consumer,” said Brian Zapp, creative director. “This is mostly around the adrenal hormonal response from consuming caffeine.”

In response, he’s seen a rise in product development efforts to add adaptogens and other calming botanicals to formulations to mitigate some of these effects, particularly pairing caffeine with ashwagandha, L-theanine, holy basil, cannabidiol (CBD) and others. “The idea is to create a more balanced energy that does not leave the consumer ‘hard wired’ throughout the day,” he added, “which often carries over into the evening.”

AFS’ contribution to the mood and sleep supplement market is KAVOA, a standardized extract of kava root, which “has been used for over a thousand years in the Pacific Islands as a social and ceremonial drink due to its ability to relax and improve the mood of participants,” Zapp said. “Scientific research has shown that a class of biologically active compounds, known as kavalactones, contribute to these properties of kava through their interaction with a variety of mood-stabilizing processes within the body.” AFS also recently developed a full-spectrum hemp CBD ingredient, extracted with a CO2-based method that leaves harsh chemical solvents out of the equation.

Looking Ahead
Many of the emerging trends in the mood and sleep space relate to delivery formats.

For example, SPINS said that transdermal delivery is an area to watch when it comes to sleep products, with patches and lotions aimed at promoting shut-eye growing in popularity among consumers. However, by regulatory definition, these products are not dietary supplements, which must be ingestible.

If you ask Eng, beverages as well as chews, gummies, and sublinguals are also top delivery methods to watch. “And, because good mood is something that is desired to last all day, why not offer kit solutions,” she added, “such as a beverage, a healthy snack bar, and AM/PM capsule formulas to help promote that good mood all day, as well as sleep.”

At Lonza, DUOCAP capsule-in-capsule technology enables formulators to combine ingredients such as Relora with other trending ingredients in the sleep and mood category. “A small dose of Relora plant extract blend can be contained in the inner capsule, with complementary ingredients delivered in the outer capsule,” said Erickson. “This enables individuals to benefit from two ingredients in a single capsule, further boosting product appeal in the eyes of the consumer searching for innovative solutions to support mood and sleep conditions.”

Lonza also offers lipid multiparticulate (LMP) technology, which enables manufacturers to formulate ingredients like melatonin into sustained released formats, which helps ensure they are delivered to the body over an extended period of time—up to six hours in some cases, said Erickson—delivering supplement performance throughout the sleep cycle.

According to Brian Appell, marketing manager at OmniActive Health Technologies, Morristown, NJ, the opportunity here is to provide consumers with specific benefits they can expect from their supplement. “Like most health categories, consumers’ purchasing decisions are driven on benefits,” he said. “How is this supplement or food or drink going to help solve a problem? Consumers find it hard to relate to generic statements like ‘healthy stress.’ Detailing the health benefit makes it relatable and relevant to a consumer’s need.”

But, as Brown pointed out, delivering solutions for the most discerning consumers will be about more than just the supplement. In order to compete, brands must bring these shoppers a complete and holistic solution.

“Growth will be led by companies that embrace a holistic approach to mood and sleep management,” said Brown. “Consumers are looking for complete solutions including nutrition, exercise, devices, and novel technology applications—those nutrition companies that can effectively align their products with strong science and position themselves as part of a multifaceted holistic approach to improve sleep
and mood.”