Inside Out Beauty: The Latest Trends and Insights for the Beauty Supplement Industry

Consumers are increasingly looking beyond topical beauty products and embracing the power of ingestible supplements to achieve their hair, skin, and nail goals. The global beauty supplement market was valued at USD 5.19 billion in 2018 and is projected to reach USD 8.69 billion by 2026, with a CAGR of 6.5%. Beauty supplements, which are available in various forms like tablets, capsules, and powders, are used to address body deficiencies related to beauty and health. The market's growth is driven by increasing consumer awareness of health, a growing focus on personal appearance, and the rising popularity of beauty supplements among millennials.

Key Drivers of Demand

• Heightened interest in natural, clean beauty products
• Growing awareness of the gut-skin axis and the importance of internal wellness
• Desire for multi-functional products that address various beauty concerns
• Influence of social media beauty trends, from #skincare to #haircare

Market Growth and Consumer Trends

Nutri-beauty supplements are thriving, driven by a broader trend of self-care that combines health and beauty benefits. The market for these supplements has grown significantly, with a reported 57% increase since 2019. In 2023, the market was valued at $53.4 billion and is expected to continue expanding. Consumers are increasingly interested in products that not only enhance external beauty but also support healthy aging from within.

A survey conducted by The Benchmarking Company in October 2022 highlighted that a significant portion of U.S. female beauty buyers are interested in beauty supplements for hair growth, stronger nails, and collagen restoration. The survey found that 91% of respondents were open to taking supplements specifically for beauty, and 92% believed in an inside-out approach to skin and hair care. This data underscores the growing consumer belief that what they consume directly impacts their appearance.

Key Segments:

• Supplement Forms: Tablets are the largest segment, holding nearly 28% of the market in 2018, while capsules are expected to grow the fastest due to advancements in micro-encapsulation technology.
• Distribution Channels: Online sales are expected to grow at the highest CAGR of 10.5%, driven by the millennial population and the expansion of online distribution networks.
• Applications: Skin care supplements lead the market, accounting for over 55% of the market share, followed by hair care supplements.

Regional Insights:

• Europe is the largest market, with a 40% share, driven by high disposable incomes and a focus on appearance.

• Asia Pacific is expected to experience the highest growth rate, fueled by digitalization and rising consumer purchasing power in countries like China and India.

The beauty supplement market continues to soar, driven by consumer demand for natural, holistic approaches to skin, hair, and nail health. In this newsletter, we dive into the latest trends, data, and insights to help your brand stay ahead of the curve.

Key Nutri-Beauty Ingredients

The demand for functional ingredients in beauty supplements is on the rise, with several ingredients experiencing significant growth. Some of the top-growing ingredients include:

• Collagen: A critical component for maintaining skin elasticity and strength, collagen is one of the most popular ingredients in beauty supplements. It has been shown to improve skin hydration, reduce wrinkles, and promote healthy hair and nails.
• Biotin: A B vitamin known for promoting hair growth and nail strength, biotin has seen a surge in popularity. The global biotin supplement market is expected to grow significantly, driven by consumer demand for dietary supplements and a focus on health-conscious behaviors.
• Hyaluronic Acid (HA): Known for its skin-hydrating properties, HA is gaining traction as an oral supplement. Studies suggest that HA can help reduce the appearance of fine lines and wrinkles and improve skin elasticity.
• Vitamin C: Often combined with other ingredients like collagen, vitamin C is essential for collagen production and overall skin health. It helps protect the skin from free radical damage and supports a youthful appearance.
• Vitamin E: Another antioxidant, vitamin E helps protect the skin from oxidative stress and can improve skin texture and reduce the appearance of fine lines.
• Astaxanthin: A powerful antioxidant, astaxanthin is known for its ability to protect skin cells and support overall skin health.
• Omega-3 Fatty Acids: Found in fish oil, omega-3s are valued for their anti-inflammatory properties and ability to support skin health and promote hair growth.
• Turmeric: Known for its anti-inflammatory and antioxidant properties, turmeric is increasingly used in beauty supplements to support skin health.
• Glutathione: A potent antioxidant, glutathione helps neutralize free radicals, detoxify the body, and support healthy skin, hair, and nails.
• Retinol: While traditionally used in topical products, retinol is now also available in supplement form to support skin health from within.
• Ceramides: Essential for maintaining skin barrier function, ceramides are gaining popularity in beauty supplements to support skin hydration and reduce signs of aging.

Formulation Insights

• Clean, plant-based formulations are increasingly in demand, with consumers scrutinizing ingredient lists.
• Combination supplements that address multiple beauty concerns (skin, hair, nails) are gaining popularity.

• Gummy and powder formats are appealing to consumers seeking convenient, easy-to-consume options.
• Personalized, customizable supplements are emerging as a trend, catering to individual needs and goals.

Opportunities for Brands

As the beauty supplements market continues to evolve, brands that can effectively communicate the science-backed benefits of their products and align with consumer values around natural, holistic wellness will be poised for success. Invest in market research, innovative formulations, and strategic positioning to capture a share of this rapidly growing industry.

The "Beauty-From-Within" boom reflects a significant shift in how consumers approach beauty, emphasizing the idea that true beauty stems from within, supported by a combination of nutrition and targeted supplements. This trend is gaining momentum as more people recognize the importance of overall wellness, particularly as it relates to aging gracefully and maintaining health and vitality.