U.S. Nutrition Product Sales Via Direct-to-Consumer Channels Grow 7.7% to $12.2 billion in 2007

CONTACT: Patrick Rea, Publisher & Editorial Director: 303-998-9229, [email protected]

(Boulder, Colorado – Tuesday, May 27, 2008) New research from Nutrition Business Journal shows that U.S. direct-to-consumer sales of nutrition products grew 7.7% to $12.2 billion in 2007, as reported in NBJ’s Direct Selling in the Nutrition Industry VIII issue being released this week. Direct-to-Consumer sales include U.S. sales made via Internet, health practitioners, network/multi-level marketing companies, mail order, direct-response TV (DRTV) and direct-response radio. NBJ defines nutrition products as dietary supplements, natural & organic foods, functional foods, and natural & organic personal care and household products.

Although total direct-sales expansion lagged slightly behind the retail market—which saw total U.S. nutrition product sales grow 11.1% in 2007—several of the direct channels experienced double-digit sales expansion last year.

Once again, Web sales were a standout for the nutrition industry in 2007. “The Internet continues to churn out 20%-plus growth as it develops into one of the more viable outlets for consumers to purchase supplements and other nutrition products,” said NBJ Publisher and Editorial Director Patrick Rea. Last year, consumers rang up $1.1 billion in U.S. e-commerce sales of nutrition products, NBJ research found. “Increasingly, nutrition industry entrepreneurs are turning to the direct channels to launch new businesses and products via direct-to-consumer sales channels because of their low barriers to entry and favorable economics.”

Nutrition product sales via the practitioner channel also rose steadily in 2007, as more consumers turned to doctors, nurses, chiropractors and other healthcare practitioners for their dietary supplements and other nutrition-related needs.

In its 32-page Direct Selling in the Nutrition Industry VIII issue, NBJ provides the latest research on nutrition product growth rates and sales figures for the Internet, practitioner network/multi-level marketing, mail order, DRTV and direct-response radio channels. The issue also examines key trends and companies operating within the direct-to-consumer channels and offers details on hundreds of companies including Amway, Atrium, Bodybuilding.com, Drugstore.com, Enzymatic Therapy, Herbalife, Isagenix, Mannatech, Metagenics, NBTY, NuSkin Enterprises, OceanGrown International, Shaklee Corp. and XanGo.

Order your copy online at www.nutritionbusiness.com or by calling 303-998-9263.

Based in Boulder, Colorado, Nutrition Business Journal (NBJ) is an executive newsletter for decision-makers in the natural, nutrition and complementary & alternative health industries. The singular focus of NBJ's research and editorial team to the strategic issues of the nutrition industry has made NBJ the leading business intelligence resource for subscribers since 1996. To purchase detailed market research reports, subscribe to the journal, or sign-up for NBJ's free weekly eNewsletter, please visit nutritionbusiness.com. Nutrition Business Journal also hosts the NBJ/Newport Summit, an invite-only retreat for C-level executives in the nutrition industry every July. For more information visit www.nbjsummit.com .

New Hope Natural Media ( www.newhope.com ), a division of the Penton Media, Inc., is the leading media resource and information provider for the natural, organic and healthy products industry with print, in-person/event, and e-business products and services. Penton Media, Inc. is the largest independent business-to-business media company in the U.S., serving more than six million business professionals every month. The company’s market-leading brands are focused on 30 industries and include 113 trade magazines, 145 Web sites, 150 industry trade shows and conferences, and more than 500 information data products. Headquartered in New York City, the privately held company is owned by MidOcean Partners and U.S. Equity Partners II, an investment fund sponsored by Wasserstein & Co., LP, and its coinvestors. For additional information on the company and its businesses, visit www.penton.com .
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