PMR Business Cycle Index for dietary supplements hits highest level in years
According to research conducted by PMR on the dietary supplements market over the past 15 years, the current situation in the sector is considered the best in the history of conducting research. However, in our opinion, this is primarily due to the relatively weak performance of many supplement categories in 2020. Ultimately, the market value increased by 5% that year, which was a moderate but not the worst growth compared to the overall economy, as indicated by PMR’s study, whose results are presented in the report “Dietary Supplements Market in Poland 2021: Market Analysis and Development Forecasts for 2021-2026.”
The majority of manufacturers are very optimistic about the next 12 months
The situation in the dietary supplements market is currently assessed extremely positively. Almost 90% of respondents – managers of companies present on the market (producers and distributors) – evaluate it positively. This is the best result overall during the period of our analysis (since 2007). This is certainly due to the intensive sales growth that manufacturers have been experiencing from April 2021 compared to the previous year, as well as the fact that despite declines in many categories, the industry managed to finish 2020 with positive results (which contributed to the overall good situation of companies operating in this market).
Find comprehensive information about the current state of the Polish dietary supplements market in the PMR report:
Additionally, considering the projected situation in the coming months, optimism is unprecedented since 2007 – only 2% of companies expect the situation to worsen. The managers of companies present on the market most frequently justify their forecasts with an increase in interest in dietary supplements.
The PMR Market Sentiment Index for the dietary supplements market (which consists of the forecasted and current market situation assessment, as well as the current and expected financial situation of companies) currently reaches the highest level – 51 out of a maximum of 100. In 2020, it reached a level of 7.7, which was the lowest result since we started conducting research in this market. In 2020, the difference in dynamics between drugs and dietary supplements (including dietary foodstuffs) was relatively large, which, in our opinion, was a result of the COVID-19 pandemic outbreak. As a result, patients were keen to purchase painkillers and antiviral drugs, while in the case of dietary supplements, they focused more on cheaper vitamins and minerals, while giving up more expensive dietary supplements, such as those for joints, skin, hair, and nails.
The improvement of the economic situation in the coming years will contribute to the development of the dietary supplements market
According to our research, the improvement of the economic situation will favor the development of dietary supplements in 2021 and in the following years. The crisis will pass, and Poles will again be able to afford more expensive products, not only essential ones. And among those are dietary supplements – there are products on the market whose packaging costs several hundred zlotys. On the other hand, the reopening of gyms, permission to organize sports events, and generally the return to physical activity will contribute to the revival of the market for supplements for physically active people.
Another factor stimulating sales will be the growing trend of Polish people caring for their health, as well as the increased scale of certain health problems due to the pandemic (e.g., obesity), as well as the increase in illnesses due to neglecting diagnostic tests and doctor visits during the pandemic, such as cardiovascular diseases (supplements to support the function of this system).
According to the latest PMR forecasts, in 2021, we can expect a growth of this market by 7.7% to a value of 6.4 billion PLN at final prices (across all sales channels). Among the channels analyzed by PMR, sales in pharmacies will grow the slowest (the analysis includes the online channel – pharmacies, stores, and platforms, non-pharmacy retail – offline stores including those for sports, herbal, and cosmetic products, and the pharmacy channel).
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Senior Analyst