Trend toward food forms. Nutraceuticals have historically been a pill business. However, both the more recent availability and popularity of fortified and functional foods and a better popular understanding of the importance of macronutrients (protein, carbohydrate, and fat) to a healthy diet have changed the nutraceuticals business. Food bars, functional beverages and other functional foods have gained popularity with consumers, growing much faster than the pill segment of the nutraceuticals market over the past five years.

Demand for convenience. Convenience is a major driver of consumer choice in the nutraceuticals category. Time-pressed consumers are often “conditionally health conscious” and will select healthier alternatives when available. Much of the growth in functional food sales has resulted from simply offering a healthier alternative to available choices (e.g. Balance Bar vs. Snickers). Further growth from expanding consumer choice will broaden the nutraceuticals category for years to come.