FACTSHEET

TheFoodSupplementsMarketinGermany

Issue2021/2022

Germany’sconsumerhealthmarketisenjoyingconsis-tentgrowththankstoanincreasingfocusonpreventa-tivehealthcareandself-medicationinGermansociety.MoreandmoreGermansareshowingincreasedhealthawarenessandseekingtopursueamoreactiveand

healthylifestyle–atrendthatisreflectedinthefast-growingfoodsupplementsmarket.

Europe’sbiggesthealthcaremarket

Europe'smostpopulouscountrywith83millioninhabitantsalsorepresentsthelargesthealthcaremarketinEurope.

HealthspendinginGermanyisgrowingcontinuously,exceed-ingtheEUR400billionmarkin2019.Thistrendcreatesan

arrayofopportunitiesforinternationalcompaniesoperatinginthemarket.

Demandforfoodsupplementsisboomingasaresultof

increasedhealthconsciousness,adesireforself-improvementandthewishtogrowolderinahealthyfashion.According

totheGermanFederalInstituteforRiskAssessment(BfR),almostoneinthreeGermanscurrentlytakessuchpills,pow-derorcapsules.

Growingfoodsupplementsdemand

TotalfoodsupplementrevenueintheGermanmarketgrewbyfivepercenttoEUR2.6billionin2019.Pharmacies,includ-ingbrick-and-mortaraswellasmail-orderpharmacies,con-stitutethemaindistributionchanneloffoodsupplements.In2019,morethan84percentofrevenues–equivalenttoEUR2.2billion–weregeneratedinthepharmacymarket.

ManyGermansstockedupondifferentover-the-counter

(OTC)productsinresponsetotheCovid-19pandemic,includ-ingnutraceuticalsassociatedwithapositiveeffectonthe

immunedefenseandforthepreventionofdiseases.Withinthefirstsixmonthsof2020,foodsupplementsalesbyphar-maciesincreasedbyalmosteightpercenttoEUR1.2billioncomparedtothesameperiodthepreviousyear.

FoodSupplementsinNumbers

EUR2.6billion

Totalsalesoffoodsupplements

5.8percent

AnnualrevenuegrowthintheGermanmarketbetween2017and2019

266million

TotalnumberofpackagessoldinGermanyin2019

>84percent

ofrevenuesgeneratedinpharmacymarketin2019

TotalSalesofFoodSupplements

inEURbillion

2.57

2.29

2.44

2019

2017

2018

Note:Revenuesarebasedonretailprices.

Sources:IQVIA2020

MARKETOPPORTUNITIES

Vitamins,Minerals,BeautyCarefromtheInside

AtthestartoftheCovid-19pandemic,demandforfoodsupplementsstrengtheningtheimmunesystemreachedanewhigh.Inthefirstquarterof2020,pharmacysalesofpurevitaminCalmostdoubled,simultaneouslyrev-enueofzincpreparations,vitaminCcombinationsandimmunestimulantsgrewbybetween40to60percent

comparedtothesameperiodinthepreviousyear.

Marketdiversitycreatingnewproducts

AccordingtotheGermanFederalOfficeofConsumerProtec-tionandFoodSafety(BVL),almost8,000newfoodsupple-

mentproductswereregisteredinGermanyin2018.Vitaminsandmineralsrepresentthehighest-revenueproductgroupintheGermanfoodsupplementsmarket.In2019,aroundhalfofsupplementrevenues(EUR1.11billion)inthepharmacymarketweregeneratedinthissegment,followedbyremediesforthecardiovascularsystemandanalgesicsformusclesandjoints.Duringthesameperiod,theproductgroupsrecordingthe

strongestincreaseinsales-withgrowthratesofaroundseventoeightpercent-wereremediesforthebladderandrepro-

ductiveorgans,vitaminsandmineralsaswellasprobioticsforthedigestivetract,aimingtobuildahealthyintestinalflora.

VitaminsandmineralshighestOTCrevenuegrowth

Vitaminsandmineralnutrientsconstitutethefourth-largestsegmentamongallmajorOTCsegmentsinthepharmacy

marketanddemonstratedthehighestrevenuegrowth(6.8percent)in2019.Salesvolumealsoincreasedby3.7percentduringthesameperiod.Ofthosevitaminsandmineralsdis-tributedbypharmacies,magnesiumpreparationsrepresentthelargestsegment–accountingforalmost19percentof

saleandgeneratingrevenueofmorethanEUR209millionin2019.Vitaminsandmultivitaminsarealsoingreatdemand.

SalesofvitaminAandD,forinstance,increasedbymorethan15percentin2019toEUR108.4million.

SegmentRevenueShareintheGermanPharmacyMarket2019

+7.0%

Vitamins&Minerals

51%

-0.1%

-2.0%

Remediesforthe

cardiovascularsystem

10%

Analgesicsformusclesandjoints

9%

+8.0%

-2.0%

Remediesforthebladderandreproductiveorgans

8%

Ocularvitamins

2%

Source:IQVIA2020

LifestyleTrendsDriveDemand

Healthandfitnesstrendsaswellaschangingdietaryhabits–

includingthegrowingpopularityofvegetarianandvegannutrition–havedrivendemand.AboutfivepercentoftheGermanpopulationarevegetarians,whereasonepercentfollowavegandiet.

+0.2%

Tonics/geriatrics/immunestimulants

9%

+0.2%

Oralbeauty

2%

+7.0%

Probioticsforthedigestivetract

8%

+3.0%

Haircare

2%

Probioticsmarketcontinuingtogrow

Followingmanyyearswithdouble-digitgrowth,salesofpro-bioticsforthedigestivetractarestilldemonstratingattrac-tivegrowthrates.In2019,revenuesinthepharmacymarketrosetoEUR163million,equivalenttoagrowthrateofsevenpercentandasalesvolumeofsixmillionpackages.

OTCself-medicationandprescriptionwithhighrevenues

ThedominantshareoffoodsupplementsalesintheGermanmarketcanbecategorizedasself-medication.However,

nutraceuticals–likeotherOTCproducts–mayalsobe

prescribedbydoctors.In2017,approximatelyonequarterofsupplementsalesviapharmacies(24percentofsalesvolumeand26.9percentofrevenue)originatedfrommedicalpre-

scriptions.Intermsofleadingindicationareas,mineralsrep-resentthehighestrevenueproducts:notonlywithinthefoodsupplementssegmentbutamongallOTCproductsprescribedbydoctors.In2019,mineralnutrientsworthEUR135million

weredispensedtopatientsonprescription.

Pharmaciesmainpointofdistribution

Pharmaciesremainthemaindistributionchannelforfood

supplementsandenjoyahighleveloftrustamongtheGer-manpopulation.In2019,morethan84percentofoverall

foodsupplementsrevenueand43.2percentofsalesvolumeweregeneratedinthepharmacymarket.Consumersarealso

increasinglybuyingnutraceuticalsonline.In2019,oneinfivesupplementsdistributedinthepharmacymarketweresold

bymailorder.Witharevenueshareof10.6percent,drugstoresrepresentthemostimportantdistributionchannelafterphar-macies,followedbyothermass-marketchannelsincluding

supermarkets.

PharmaciesRemainTopDistributionChannelforFoodSupplements

Salesbydistributionchannel2019inpercent

Pharmacies●DrugstoresOthers

20.7

5.010.6

266

millionpackages

36.1

43.2

billion

EUR2.5784.5

Note:Othersincludesalesbydiscounters,supermarketsandfoodretailing.

Source:IQVIA2020

FoodSupplementRegulationsinGermany

notbemisledbytheinformationonthepackageand

disease-relatedclaimsareprohibited.However,claimstoreduceariskofdiseasearepossibleaftertheyhaveun-dergoneofficialexaminationandbeenapproved.

Whatkindofregistrationisneeded?

Foodsupplementsarenotsubjecttomandatoryapprovalregulations.PursuanttotheGermanFoodSupplements

Regulation(NemV),theymustberegisteredwiththeFede-ralOfficeofConsumerProtectionandFoodSafety(BVL).Responsibilityforthesafetyofproductsandcompliancewithfoodlawprovisionslieswithmanufacturersanddis-tributors.MonitoringoffoodsupplementsplacedonthemarketandofmanufacturingcompaniesisthetaskofthefoodmonitoringauthoritiesoftheGermanfederalstates.

Foodsupplementsarefoodsintendedtosupplementthegeneraldiet.Theymaycontainabroadspectrumofnutri-entsorothersubstanceswithaspecificnutritionalor

physiologicaleffect.Theymaybe,forinstance,vitamins,minerals,traceelements,aminoacids,fattyacids,fibre,

plantsorherbalextractswhichareaddedinconcentratedformeitherindividuallyorasacombination.Foodsupple-mentsaresoldinadosedform,forinstanceastablets,

capsules,coatedtablets,powdersorliquidsforintakeinsmall,measuredamounts.

Isofficialauthorizationrequired?

FoodsupplementsarecoveredbythebasicprovisionsoftheGermanFoodandFeedCodeofLaw(LFGB)aswellasallotherfoodlawlegislationoftheEuropeanUnion.

Amongstotherthings,foodsmustbesafe,consumersmay

Note:Extractsfromthe“FAQsonFoodSupplements”publishedbyBfR;Source:GermanFederalInstituteforRiskAssessment(BfR)2018

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