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Health and Wellness in Chile

Chile health and wellness market driven by increased demand for diet-related products in 2012

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2014-02-03 06:11:01 - Health and Wellness in Chile - a new market research report on

Diet-related issues influence positively the performance of health and wellness. Sedentary lifestyles and the rapidly increasing presence of fast food and processed food are generating health problems such as obesity, heart disease, colon cancer and diabetes that are currently on the rise in Chile. At the same time, Chilean consumers are increasing their knowledge about how a well-balanced diet can help to improve general health and reduce the risk of certain diseases. Leading food and beverage manufacturers have responded to these trends by offering an ever-widening assortment of healthy alternatives.

Health and wellness has great potential to develop with consumer awareness regarding products remaining relatively low. However, as more products entered the health and wellness landscape, consumer interest heightened and value



growth year-on-year was robust over the review period.

Increased health-related awareness and government initiatives boost health and wellness sales. Chileans are increasingly adopting healthier lifestyles when it comes to their eating and drinking habits. Either by their own initiative or as a result of government legislation, the appeal of natural and fortified references is growing amongst all population segments. This trend combines both health awareness and the desire to look good. The growth of gym memberships, popularity of dieting and the good image enjoyed by dietary supplements and anti-ageing products as well as the proliferation of functional food products indicate the strength of this trend.

Competition relies on new product development. Towards the end of the review period, rising health awareness and economic improvements in Chile prompted a wave of new launches in the health and wellness sector. As consumers became better educated about health and nutrition, they demanded products with more potent effects or specific health benefits such as probiotics, fibre or omega-3. At the same time, consumers became more willing to experiment with different flavours, product types and ingredients, particularly in health and wellness beverages. For example, soft drinks categories such as RTD tea witnessed the launch of new flavours associated with fruit/herbal tea. New product launches continued to make a significant contribution to volume and current value sales growth across the wider health and wellness sector in 2012.

Supermarkets and hypermarkets continue to concentrate health and wellness sales. Distribution is another important factor shaping the performance of health and wellness sales and supermarkets and hypermarkets continue to dominate the distribution in Chile. Larger companies are already well established, but small manufacturers (especially within the organic field) face difficulties reaching wider audiences. Many small companies have introduced their products in specialist stores and others have launched their own stores to compete with modern distribution channels, which is proving to be a successful strategy.

Positive health and wellness prospects. Health awareness amongst consumers will continue to be more prevalent over the forecast period. The government will continue doing campaigns to promote the need of eating healthier foods in order to prevent health problems, particularly obesity and diabetes. Media advertisements by manufacturers will also continue to promote the benefits of eating health and wellness foods. Coupled with a continuing ageing of the population, demand for health and wellness foods and beverages will be assured, particularly better for you reduced-fat and -sugar products and naturally healthy high-fibre products. Predicted acceleration in the economy will increase household budgets so that they can purchase more expensive but healthier fortified/functional products amongst other health and wellness products.

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