Probiotics Market is Estimated To Witness High Growth Owing To Adoption Of Health and Wellness Trends

Market Overview:
Probiotics are live bacteria and yeast that are good for the intestinal tract. They help restore balance in the gut. When taken regularly, probiotic supplements can help support digestive and immune health. They work by crowding out harmful bacteria and promote the growth of healthy bacteria in the digestive system. Probiotics are commonly found in supplements and foods, including yogurts, kefir, sauerkraut, and kimchi.

The probiotics market is estimated to be valued at US$ 63.79 Bn in 2023 and is expected to exhibit a CAGR of 8.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:
The adoption of health and wellness trends among consumers is driving the growth of the probiotics market. People are increasingly adopting probiotic supplements and foods to support digestive health, boost immunity, and improve overall well-being. Awareness about gut health and its relation to systemic health conditions is growing rapidly. Moreover, busy lifestyles and consumption of processed foods have disrupted the gut microbiome of many people, driving the need for probiotic interventions. Probiotic ingredients are widely used in functional foods & beverages, driving new product innovation. Customizable probiotic supplements catering to specific health conditions also present lucrative growth opportunities. The market is expected to witness high demand during the forecast period owing to the various health benefits of probiotics.

Porter’s Analysis
Threat of new entrants: Low cost of production machinery and technology results in low barriers to entry in the probiotics market. However, significant brand recognition for major players makes it difficult for new entrants to gain market share.

Bargaining power of buyers: Buyers have moderate bargaining power as probiotic supplements and products are not very differentiated and buyers can switch between brands easily.

Bargaining power of suppliers: Major players source probiotics from a limited number of suppliers, which gives suppliers higher bargaining power. Suppliers can impact prices by controlling raw material supply.

Threat of new substitutes: Alternatives like prebiotics and synbiotics pose minimal threat as they are not direct substitutes and have distinct functionality from probiotics.

Competitive rivalry: Intense competition exists between major players to leverage brand value, research capabilities, and distribution networks.

SWOT Analysis
Strengths: Rising awareness about gut and digestive health benefits of probiotics. Strong production capabilities and R&D of major players.

Weaknesses: High costs associated with clinical trials to prove efficacy of various probiotic strains. Sparse regulation of probiotic product labels and marketing claims in some regions.

Opportunities: Untapped growth potential in developing countries. Novel delivery formats like gummies and drinks expanding product lines.

Threats: Stringent labelling rules by regulatory bodies. Potential side effects and inconsistent quality of some products hurting the industry image.

Key Takeaways
The Global Probiotics Market Size is expected to witness high growth, exhibiting CAGR of 8.3% over the forecast period, due to increasing consumer awareness about gut health and digestive issues. The Asia Pacific probiotics market is projected to grow at the fastest rate during the forecast period due to rising health consciousness and disposable incomes in major economies like China and India.

Regional analysis: North America dominates the global probiotics market, followed by Europe. Asia Pacific exhibits the highest growth potential and is expected to overtake Europe as the second largest market by 2028. Growing middle-class population, urbanization, and focus on prevention over treatment are driving probiotic sales in the region.

Key players operating in the probiotics market are BioGaia AB, Chr. Hansen, Groupe Danone S.A., Nestle S.A., PROBI AB, Lifeway Foods, Inc., Mother Dairy, General Mills, Inc., China-Biotics, Inc., Yakult Honsha Co., Ltd., and E. I. du Pont de Nemours and Company. Players are adopting inorganic growth strategies like acquisitions and partnerships with complementary brands to expand their product portfolio and regional presence.