'Market is wide enough for new players in vitamins and supplements industry'

MANILA, Philippines - With potential sales of at least P150 billion annually, the local vitamins and supplements industry is robust and continues to rise with encouraging numbers. It comes as no surprise then that more and more business ventures have emerged to lure the increasing number of health-conscious consumers.

“The market is wide enough for new players because of the growing consciousness of Filipinos about health. For instance, we have set a P200 million target for this year and we are positive that we will achieve this because all sectors of the society are becoming aware that they need to take care of their health more than anything,” explains Yvonne Benavidez, general manager of Mega C Health Ventures, Inc., one of the new players in the Vitamin C sector.

Mother of all vitamins

The dietary and nutritional supplement market generated $50B sales worldwide in 2010. Multivitamins make up a major portion of this market and grew almost 7.9 percent. Japan, which leads the nutritional and dietary supplements market in Asia, is also third largest player globally.

In the Philippines, although the sector is expected to increase sales with a compounded annual growth of three percent, a large chunk of the market remains untapped.

According to a food consumption survey conducted by the Food and Nutrition Research Institute of the Dept of Science and Technology (FNRI-DOST), Filipinos mostly rely on vegetables for their Vitamin C requirements. However, no more than 30 percent of the population meets the estimated average requirement (EAR) which is 80 percent of the recommended intake of Vitamin C.

The Swine Flu outbreak in 2009 saw an upsurge in demand for Vitamin C but only high-income consumers would purchase vitamin supplements as they were perceived to be expensive. These days, however, manufacturers and distributors have become more aggressive in targeting low and middle income groups who have become more aware of the need to reduce the risk of illness and avoid steep medical costs.

Vitamin C is known as the “Mother of all vitamins” and is known to fight stress, boost the immune system, and maintain a healthy cardiovascular system. Mega C takes it a few notches higher with two of its unique selling propositions: it is 100 percent all-natural pure Vitamin C in veggie capsules, so that it dissolves and is absorbed by the body faster; and its price is affordable to everybody, at five pesos each capsule.

The trend towards marketing to the critical mass, healthier lifestyles, improvements in distribution and the continued use of celebrities to endorse brands are all working for Mega C, Benavidez adds.

Furthermore, with a team of professionals that has both business and medical backgrounds, Mega C is seeing growth in many areas that include Panay, Davao, Ilocos provinces, Quezon, Pangasinan, Olongapo, Baguio, Bicol, Leyte, Laguna, and Metro Manila. It is currently available thru distributors, direct sellers and drugstores.

Managing a new business is not entirely new to Benavidez, even as her past endeavors were totally unrelated to the vitamins business. She is chairman of the board and president of Hard Security Services, which deploys at least 1,000 security guards around the country. But the 45-year old entrepreneur is ready to take on the challenge.

“We are repositioning our brand through a new distribution model that would not only increase awareness but also promote a healthier lifestyle. There is wealth in health,” says Benavidez.