Health foods and supplements in good shape for 20104 January 2010
After a bearish year for markets everywhere, Nutrafiles reveals positive times ahead for food and supplements.
The journal Circulation revealed that a reduced risk of heart disease and mortality can be established for people with a positive attitude to life.
The research, which followed more than 97,000 women over the age of 50 for eight years, found that optimists are 9% less likely to develop heart disease and 14% less likely to die than their pessimistic counterparts.
2009 was a dreadful year financially and we all need to look forward despite the continuing feeling of insecurity in the markets, not only for the sake of our earnings but also our health. Investing in innovation for health and foods seems to be a good solution.
Examining stockmarket developments in this industry, the coming year looks positive. Nutrafiles' stockmarket surveillance system showed a 52-week percentage change that was above average, but most notably research and market innovative companies were demonstrating a better performance.
PanGenex Corporation, a global nutraceutical and dietary supplement manufacturer and marketer, announced that it had achieved a record sales increase in the fourth quarter of 2009. Growth occurred among its three trademarked and patented nutraceutical and dietary supplement product lines: Calci-Clear, LIPIDEME and Omeganol. The sales success is partly attributed to the e-commerce strategy of the company.
DSM is boosting its business with high speed product launching activities, notably with the introduction of CaroCare Nat. ß-Carotene 10% CWS Star, a state-of-the-art, high-performance, natural-source ß-Carotene formulation for use in ready-to-drink beverages, offering colour intensity, superior stability for enhanced appearance and greater consumer appeal - as well as the health benefits of ß-carotene.
NXT Nutritionals Holdings, a developer and marketer of natural sweeteners, and food and beverage products, announced that its SUSTA natural sweetener 50-packet boxes has been authorised to expand distribution into more than 2,400 Kroger retail locations in 31 states across the US.
The Nutrafiles stockmarket surveillance system reacts to the changes of companies in the supplement, food, and beverage industry, and market indicators.
Some companies will try achieving success by using new channel strategies such as the social networking success at Vitacost.com, which launched its online health community, MyVitacost Community. It offers a free and unique way to connect with like-minded health enthusiasts.
Food giants do battle
Among the big players, we are looking to forward to see the M&As status of 2010; for example, when will Cadbury find a home? Italy's La Stampa reported that Ferrero is out of the running for Cadbury, as an independent bid and out of a joint-bid with Hershey. We look forward to hearing more about the battle of the chocolate titans.
Dairy giants will also be interesting to follow. Danone announced a change of strategies to a shift towards volume rather than sales growth by sales in emerging markets. The company cannot expect to generate the same profit margins right away, but with the economical shift in the future, it may be on the right track.
This does not mean that its innovation strategies are left in the corner. Danone is experimenting with selling its Activia yoghurt in powdered form, which would allow it to bypass expensive cold storage costs.
Welcome to 2010 - an exciting new year for the health and nutrition industry.