Health And Wellness Foods Market Size, Share & Trends Analysis Report By Product (Functional Foods, Organic Foods, BFY Foods, Healthy Beverages), By Distribution, By Region, And Segment Forecasts, 2024 - 2030

Health And Wellness Foods Market Trends

The global health and wellness foods market size was estimated at USD 858.8 billion in 2023 and is expected to grow at a CAGR of 9.4% from 2024 to 2030. Growing consumer awareness and health consciousness is a crucial factor for market growth. Consumers are increasingly aware of the impact of diet on overall health. This awareness has led to a surge in demand for foods that provide functional benefits, such as enhanced immune support, weight management, and digestive health. The COVID-19 pandemic has particularly heightened this focus on health, prompting individuals to prioritize products that support overall well-being.

An aging population is also driving demand for healthier food options as older adults seek to maintain their health and vitality through better nutrition. In addition, rising disposable incomes in emerging markets enable more consumers to invest in premium health-oriented products. In addition, the prevalence of lifestyle-related diseases, such as obesity and diabetes, has prompted consumers to seek healthier food options. Awareness of these conditions has fueled interest in foods that promote weight management and overall health.

There is a growing focus on plant-based foods as it is perceived as a healthy food option. Consumers are opting for foods rich in essential nutrients, fiber, and antioxidants while being lower in saturated fats and cholesterol. This shift is driven by health benefits associated with plant-based diets, including reduced risks of chronic diseases like heart disease and diabetes. Additionally, there is a growing demand for protein-rich food products as consumers seek to support a healthy lifestyle. This trend encompasses traditional protein sources and plant-based proteins and supplements, reflecting a broader shift towards health-oriented eating habits.

Consumers are actively seeking foods that offer specific health benefits beyond basic nutrition. Functional foods, i.e., foods fortified with vitamins, minerals, probiotics, and other beneficial ingredients-are gaining popularity as individuals look to enhance their immune function, manage weight, and support overall health. The demand for clean-label products is rising as consumers prefer foods with transparent ingredient lists free from artificial additives. This movement reflects a broader desire for simplicity and authenticity in food choices, prompting manufacturers to develop products emphasizing natural ingredients and minimal processing.

The trend towards healthier snacking options is becoming mainstream as consumers seek convenient yet nutritious alternatives to traditional snacks. Products that are low in calories, high in protein, and rich in nutrients are increasingly favored. The companies are responding with innovative offerings such as protein bars, baked snacks, and nutrient-dense treats. The shift towards an at-home lifestyle has accelerated online grocery shopping, making it easier for consumers to access health-focused products. Brands are enhancing their online presence to cater to this growing demand for convenience and contactless purchasing options.

The critical challenge for the market is the high cost of health-beneficial products. The perception that health and wellness foods are premium products can deter consumers from purchasing them. Many healthier options are priced higher due to quality ingredients and specialized production methods, making them less accessible to price-sensitive consumers. Despite the growing interest, there remains a significant gap in consumer education regarding the benefits of health and wellness foods. Many consumers do not fully understand the nutritional advantages or may be misled by marketing claims, which can hinder market penetration.

Product Insights

Functional foods were the largest consumed health and wellness food product with revenue exceeding USD 285 billion in 2023. Consumers are becoming more conscious of their health and the role of diet in preventing chronic diseases. This awareness leads to a higher demand for foods that offer specific health benefits, such as improved immunity, digestive health, and heart health. There is a rising interest in foods fortified with vitamins, minerals, and other beneficial ingredients. This trend is powerful among populations concerned about nutrient deficiencies due to hectic lifestyles and dietary restrictions.

The rise in preventive healthcare is expected to remain a key driver for market growth. Functional foods are crucial in preventive healthcare because they offer specific health benefits beyond essential nutrition. They can be fortified, enriched, altered, or enhanced to provide additional health benefits. The market is influenced by consumer trends like increasing health consciousness and demand for personalized nutrition. The industry responds with increased R&D and marketing strategies focused on health claims.

Organic foods are expected to grow at a CAGR of 13.6% over the forecast period, primarily due to improved consumer awareness about their benefits. Consumers are becoming more aware of the health benefits of organic foods, which are perceived as free from synthetic pesticides, genetically modified organisms (GMOs), and artificial additives. This awareness has led to a willingness to pay a premium for organic products, particularly in larger economies with higher access to information and disposable income. The association of organic food with a healthier lifestyle significantly influences purchasing decisions.

Government initiatives promoting organic farming and stringent certification processes bolster consumer confidence in organic products. These regulations ensure that organic food producers adhere to strict guidelines, making it easier for consumers to identify genuine organic products on the market. As awareness of these certifications grows, so does consumer trust in the authenticity of organic offerings. Integrating organic products into mainstream retail channels has made them more accessible to a broader audience. Major supermarket chains are dedicating more shelf space to organic items, while restaurants incorporate organic options into their menus, further normalizing their consumption. This accessibility expands consumer reach and enhances awareness of the benefits associated with organic farming.

Another trending product is better-for-you foods, better known as BFY foods. These foods are formulated, processed, or packaged to offer health benefits beyond their basic nutritional value. They often have reduced ingredients considered less healthy (like sugar, salt, or fat) or increased levels of beneficial nutrients. There is a significant shift towards healthier eating, with consumers increasingly seeking nutritious snacks. This trend is driven by a growing health and wellness awareness, especially among younger generations like Millennials and Gen Z, who often replace meals with snacks.

Healthy drinks are an essential part of the health and wellness foods market. Consumers are actively seeking drinks that provide specific health benefits beyond essential hydration. The focus on wellness has led to a surge in the popularity of functional drinks, including sports drinks, energy drinks with natural ingredients, and probiotic beverages. Innovation in product formulations plays a crucial role in market growth. Introducing new flavors, formulations, and packaging innovations is driving market growth. Manufacturers are responding to consumer preferences for unique tastes and health benefits by developing products that incorporate natural ingredients, such as herbal extracts and superfoods.

Distribution Channel Insights

Supermarkets and hypermarkets accounted for over USD 400 billion in market sales. Supermarkets and hypermarkets play a crucial role in promoting health and wellness foods. Supermarkets serve as major distribution channels for health and wellness foods, providing a wide range of products under one roof. This convenience caters to consumers seeking quick access to nutritious options, making incorporating healthy foods into their diets easier. The variety available helps meet diverse dietary needs and preferences.

Many supermarkets employ registered dietitians to provide personalized nutrition counseling, conduct store tours, and offer workshops. This educational approach empowers consumers to make informed dietary choices, helping them navigate the landscape of health and wellness foods. By integrating health professionals into their operations, these retailers position themselves as trusted sources of nutritional information.

The online sales segment are expected to grow at a CAGR of 11.2% from 2024 to 2030. The convenience offered by e-commerce is a significant driver for the online sales of health and wellness foods. Consumers appreciate the ability to browse extensive product selections, read nutritional information, and compare prices without visiting physical stores. Many brands are adopting D2C models, eliminating traditional retail barriers and allowing manufacturers to sell directly to consumers via online platforms. This approach enhances product visibility and provides consumers access to exclusive products and promotions that may not be available in stores. The rise of mobile commerce is another factor contributing to online sales growth in this sector. Consumers increasingly use smartphones to shop for health and wellness foods, leading retailers to optimize their websites and apps for mobile users.

Regional Insights

North America health &wellness foods market was the largest market with revenue of USD 285 billion in 2023. It is expected to grow at a CAGR of 9.2% over the forecast period. Rising health awareness is expected to be a key driver for market growth in the region. The growing awareness has resulted in a shift in dietary habits. Individuals actively seek functional foods contribute to overall health, reflecting a broader trend toward healthier lifestyles. The growing incidence of health issues such as obesity and diabetes has heightened consumer focus on nutrition. North America has a high prevalence of obesity, which has resulted in consumers seeking healthier food options. The rising popularity of plant-based diets is driving market growth. Consumers are increasingly choosing plant-based foods due to their perceived health benefits and lower environmental impact than animal-derived products.

U.S. Health And Wellness Foods Market Trends

The health and wellness foods market in the U.S. was estimated at USD 250 billion in 2023 and is expected to grow at a CAGR of 9.4% over the forecast period. The clean label trend in the U.S. encompasses a growing preference for organic products, free from artificial additives, and made with recognizable ingredients. This trend is supported by increasing consumer willingness to pay higher prices for clean-label products, as evidenced by studies indicating that 71% of consumers are open to spending more on these options. Advances in food technology allow manufacturers to create products that meet clean label criteria without compromising on taste or shelf life. This innovation is essential for catering to the evolving preferences of health-conscious consumers.

Regulatory support is another key factor driving market growth in the country. Regulatory agencies like the FDA are implementing stricter labeling regulations that promote clear ingredient declarations. This regulatory environment encourages manufacturers to adopt clean label practices, aligning product offerings with consumer expectations for transparency and health.

Europe Health And Wellness Foods Market Trends

Germany health & wellness foods market is a key European market for functional foods and is expected to grow at a CAGR of over 9.5% from 2024 to 2030. German consumers prefer organic food, which is closely linked to the demand for functional foods. Consumers are increasingly inclined to choose products made from natural ingredients over processed options. This trend is reflected in the significant growth of organic food consumption, which is expected to continue driving the demand for functional foods. Germany's aging demographic is an essential driver of the functional foods market. As the population ages, there is an increasing focus on products that support health issues prevalent among older adults, such as digestive health and cognitive function. Functional foods targeting these specific needs are gaining traction.

Asia Pacific Health And Wellness Foods Market Trends

The health and wellness food market in Asia Pacific is expected to grow at a CAGR of 9.8% from 2024 to 2030. Rising demand in countries such as China, India, and Japan are significant market growth drivers. Rapid urbanization in many Asian countries is leading to lifestyle changes, including dietary habits. An increasing middle-class population with higher disposable incomes is more willing to invest in health-focused food products, contributing to market growth.

Strong cultural influences on dietary habits in Asian countries promote market growth. Traditional wellness practices, such as Ayurveda and traditional Chinese medicine, significantly influence Asian nutritional choices. These practices encourage the consumption of natural and functional foods that align with a health-oriented lifestyle.

Key Health And Wellness Foods Company Insights

The market is intensely competitive, with both public and private companies prioritizing research and development as well as product innovation. Public companies are actively implementing strategies to secure competitive advantages within the market.

Health And Wellness Foods Market Report Scope

Global Health And Wellness Foods Market Report Segmentation

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global health and wellness foods market report based on product, packaging, and region.

• Product Outlook (Revenue, USD Billion, 2018 - 2030)

  • Functional Foods

  • Organic Foods

  • BFY Foods

  • Healthy Beverages

  • Others

• Distribution Outlook (Revenue, USD Billion, 2018 - 2030)

  • Supermarket & Hypermarket

  • Convenience Stores

  • Specialty Stores

  • Online Retailers

• Regional Outlook (Revenue, USD Billion, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • UK

    • France

    • Italy

    • Spain

  • Asia Pacific

    • China

    • Japan

    • India

    • Australia & New Zealand

    • South Korea

  • Central & South America

    • Brazil

  • Middle East & Africa

    • South Africa