Omega-3: Global Product Trends and Opportunities
Omega-3 fatty acids are some of the most important nutrients to human health. The number of consumers globally who are aware of omega-3 fatty acids and their role in health is high, and the number of people who are specifically consuming omega-3 for health has increased dramatically over the past few years. Consumer demand for omega-3 products will continue to grow briskly over the 2011-2015 period, and will influence the activities of manufacturers and marketers worldwide in supplying omega-3 products across various categories and segments of consumer packaged goods (CPGs), including private label products.
In Omega-3: Global Product Trends and Opportunities, Packaged Facts analyzes the future of the global omega-3 market, and pinpoints opportunities in a $13 billion industry that is far from reaching its saturation point. The link between “dietary supplements” (the traditional method for boosting omega-3 intake) and consumer diets and grocery store food products is becoming ever stronger. Moreover, consumers increasingly regard the health and beauty products they use as extensions of the foods they eat and the nutritional supplements they take. What has emerged, therefore, is a continuum of nutrient-positioned products extending from whole foods (including natural and organic products) and fortified/functional foods through to nutritional supplements and personal care products. In the case of pet owners, this continuum also extends to pet foods (which are inherently functional), treats, supplements, and grooming products—essentially replicating the range of human products available.
Moreover, a significant amount of nutrient-based new product development is driven by the concept of “superfoods.” Although the concept of foods with pharmaceutical-grade benefits flies in the face of a strong medical and regulatory community distinction between food and drugs, “superfoods” has emerged as a powerful marketing concept—in part because it builds on age-old conventional wisdom and nutritional adages such as “an apple a day helps keep the doctor away.” Omega-3’s widely accepted status as a “superfood,” in combination with a globally expanding range of nutrient-based new product development across CPG markets, means that the market for omega-3 products will remain lively and opportunity-rich for years to come.
In Omega-3: Global Product Trends and Opportunities, Packaged Facts analyzes the future of the global omega-3 market, and pinpoints opportunities in a $13 billion industry that is far from reaching its saturation point. The link between “dietary supplements” (the traditional method for boosting omega-3 intake) and consumer diets and grocery store food products is becoming ever stronger. Moreover, consumers increasingly regard the health and beauty products they use as extensions of the foods they eat and the nutritional supplements they take. What has emerged, therefore, is a continuum of nutrient-positioned products extending from whole foods (including natural and organic products) and fortified/functional foods through to nutritional supplements and personal care products. In the case of pet owners, this continuum also extends to pet foods (which are inherently functional), treats, supplements, and grooming products—essentially replicating the range of human products available.
Moreover, a significant amount of nutrient-based new product development is driven by the concept of “superfoods.” Although the concept of foods with pharmaceutical-grade benefits flies in the face of a strong medical and regulatory community distinction between food and drugs, “superfoods” has emerged as a powerful marketing concept—in part because it builds on age-old conventional wisdom and nutritional adages such as “an apple a day helps keep the doctor away.” Omega-3’s widely accepted status as a “superfood,” in combination with a globally expanding range of nutrient-based new product development across CPG markets, means that the market for omega-3 products will remain lively and opportunity-rich for years to come.
- CHAPTER 1: EXECUTIVE SUMMARY
- Scope of Report
- Report Methodology
- Market Overview
- Knowledge About Omega-3 Fatty Acids Advances Quickly
- Opportunity-Rich Nutritional Product Continuum
- Figure 1-1: The Continuum of Nutritional Product Development
- Over Last Decade, 27% Global CAGR in New Product Introductions
- After Fish, Dog Food and Nutritional Supplements Are Most Active Omega-3 Segments
- U.S. Accounts for 41% of New Product Activity
- Latin America Jumps to 16% Share of New Product Activity
- Table 1-1: Global Product Introductions with High-Omega Claims: By Geographic Region, 52 Weeks Ending July 31, 2006 vs. 52 Weeks Ending July 31, 2011 (number and percent of global total)
- Product Market Distribution of High-Omega Claims
- Global Omega-3 Consumer Packaged Products Market at $13 Billion
- Figure 1-2: Market Share for Global Omega-3 Products: Foods vs. Non-Foods, 2011
- $8 Billion in Global Retail Sales for Omega-3-Enhanced Food and Beverage Products
- Table 1-2: Global Retail Sales of Omega-3-Enhanced Food and Beverage Products, 2003-2011 (in millions of dollars and percent change)
- U.S. Retail Sales of High Omega-3 Food and Beverage Products Reach $4 Billion
- U.S. Sales of Omega-3 Supplements at $1.3 Billion
- Market Saturation Point for Omega-3 Is Far From Reached
- Ingredients, Recommended Intakes, & Regulation
- Three types of Omega-3s
- Alpha Linolenic Acid
- DHA and EPA
- Table 1-3: Omega-3 Fatty Acids: Nomenclature, Structure and Food Source
- Fish versus Algae versus Flax
- Is Food Better than Supplements as a Delivery System for Omega-3?
- Omega-3 for Personal Care Products
- Dietary Recommendations for Consuming Omega-3s
- Regulatory Developments in Europe Are Positives for Market
- Supplier & Marketer Profiles
- Supplier Profiles
- Marketer Profiles
- Looking Ahead: Market Opportunities
- Krill Shakes Up Supplement Segment
- Omega-3 as Skincare
- CHAPTER 2: MARKET OVERVIEW
- Key Points
- Introduction to Market
- Scope of Report
- Report Methodology
- Omega-3 Fatty Acids—A Key to Human Health
- Studies Support a Growing List of Health Benefits
- The Roles of DHA and EPA in Human Health
- Table 2-1: Health Benefits Reported from Adequate Consumption of Omega-3 Fatty Acids
- Inflammation and Omega-3
- Table 2-2: Selected Conditions and Diseases Associated With an Inflammatory Component
- From Supplements to Foods and Beverages
- Knowledge About Omega-3 Fatty Acids Advances Quickly
- Increasing Use of Omega-3 in Foods and Beverages
- Opportunity-Rich Nutritional Product Continuum
- Figure 2-1: The Continuum of Nutritional Product Development
- Global Product Introduction Trends
- Over Last Decade, 27% Global CAGR in New Product Introductions
- Table 2-3: Global Product Introductions: High-Omega vs. Other High-Nutrient Claims, 2001-2010 (number and percentage change)
- After Fish, Dog Food and Nutritional Supplements Are Most Active Omega-3 Segments
- U.S. Accounts for 41% of New Product Activity
- Table 2-4: Global Product Introductions with High-Omega Claims by Product Category and Selected Segments: 52 Weeks Ending July 31, 2006 vs. 52 Weeks Ending July 31, 2011 (number and percent)
- Table 2-5: Global Product Introductions with High-Omega Claims: Overall and Food/Beverage by Top National Markets, 52 Weeks Ending July 31, 2011 (number and percent of global total)
- Latin America Jumps to 16% Share of New Product Activity
- Table 2-6: Global Product Introductions with High-Omega Claims: By Geographic Region, 52 Weeks Ending July 31, 2006 vs. 52 Weeks Ending July 31, 2011 (number and percent of global total)
- Product Market Distribution of High-Omega Claims
- Table 2-7: Product Introductions with High-Omega Claims by Product Category: By Global Region and Selected Countries, 52 Weeks Ending July 31, 2006 vs. 52 Weeks Ending July 31, 2011 (percent)
- Market Size and Growth
- Global Omega-3 Consumer Packaged Products Market at $13 Billion
- Figure 2-2: Market Share for Global Omega-3 Products: Foods vs. Non-Foods, 2011
- $8 Billion in Global Retail Sales for Omega-3-Enhanced Food and Beverage Products
- Table 2-8: Global Retail Sales of Omega-3-Enhanced Food and Beverage Products, 2003-2011 (in millions of dollars and percent change)
- U.S. Retail Sales of High Omega-3 Food and Beverage Products Reach $4 Billion
- Table 2-9: U.S. Retail Sales of Food and Beverage Products (Excluding Fish) With “High Omega-3” or “High DHA” Claims, 2006-2010 (in millions of dollars)
- Table 2-10: Projected U.S. Retail Sales of Food and Beverage Products (Excluding Fish) With “High Omega-3” or “High DHA” Claims, 2011-2015 (in millions of dollars)
- Figure 2-3: Projected U.S. Retail Sales of Food and Beverage Products (Excluding Fish) With “High Omega-3” or “High DHA” Claims, 2011-2015 (in millions of dollars)
- U.S. Sales of Omega-3 Supplements at $1.3 Billion
- U.S. Market for DHA/EPA Ingredients at $1.6 Billion
- Market Saturation Point for Omega-3 Is Far From Reached
- CHAPTER 3: INGREDIENTS, RECOMMENDED INTAKES, AND REGULATION
- Key Points
- Ingredients
- Three types of Omega-3s
- Alpha Linolenic Acid
- DHA and EPA
- Table 3-1: Omega-3 Fatty Acids: Nomenclature, Structure and Food Source
- Formulations of Omega-3 Used in Foods and Beverages
- Techniques Used to Prevent Oxidation
- Use of Preservatives
- Fish Are the Leading Source of Omega-3 Oils
- Growing Concerns About Depletion of Sources for Fish Oil
- Algal Oil Is a Sustainable Source of DHA
- Plant Oils
- Choosing the Best Oil
- Fish versus Algae versus Flax
- The Basics on Flaxseed
- Walnuts a Good Source of ALA
- New Seed Oil and Plant Sources of ALA
- Omega-3 Fortification Capabilities and Formulation Strategies
- Omega-3 Oils for Supplements
- Is Food Better than Supplements as a Delivery System for Omega-3?
- Omega-3 for Personal Care Products
- Organic Omega-3
- Recommended Intakes
- Dietary Recommendations for Consuming Omega-3s
- Efforts to Establish Recommended Daily Allowances for EPA/DHA
- Standardizing the Percentage of DHA and EPA in Fish Oil
- Is it Possible to Consume Too Much Omega-3?
- Regulatory Environment for Foods & Beverages
- Regulatory Developments in Europe Are Positives for Market
- EFSA Opinion on Labeling Reference Intake Values
- European Food Safety Authority Dietary Reference Values Adopted
- Nutrition Claims Set by the EFSA
- EU Labeling Regulations Increase Confidence in Market
- But EU Regulation Fails to Distinguish Between EPA/DHA and ALA
- Codex Committee Adopts Swiss Proposal to Develop Fish Oil Standard
- U.S. Regulatory Environment for Foods and Beverages
- Table 3-2: Omega-3 Nutrient Content Claims Permitted in the United States
- U.S. Lags European Union in Regulations Relating to Omega-3
- The FDA Issues Qualified Health Claim for Omega-3s
- Structure/Function Claims
- Table 3-3: Omega-3 Structure/Function Claims on Selected U.S. Food and Beverage Products
- Nutrient Content Claims
- Table 3-4: Omega-3 Nutrient Content Claims on Selected U.S. Food and Beverage Products
- NCCAM Supports Benefits of Omega-3
- CHAPTER 4: SUPPLIER PROFILES
- Key Points
- Companies Profiled
- AHD International
- Competitive Overview
- Table 4-1: Company Information for AHD International
- Omega-3 Products
- Financial Performance
- Aker BioMarine
- Competitive Overview
- Table 4-2: Company Information for Aker BioMarine
- Omega-3 Products
- Omega-3 Partnerships
- Sustainability Initiatives
- Financial Performance
- Aurora Algae
- Competitive Overview
- Table 4-3: Company Information for Aurora Algae
- Omega-3 Products
- Company Strategy
- Borregaard Industries / Denomega Nutritional Oils
- Competitive Overview
- Table 4-4: Company Information for Borregaard Industries
- Omega-3 Products
- Financial Performance
- Cargill
- Competitive Overview
- Table 4-5: Company Information for Cargill
- Omega-3 Products
- Financial Performance
- DSM Nutritional Products
- Competitive Overview
- Table 4-6: Company Information for DSM Nutritional Products
- Omega-3 Products
- Acquisition of Martek
- Exclusivity Arrangements with Major Marketers
- Financial Performance
- EPAX
- Competitive Overview
- Table 4-7: Company Information for EPAX
- Omega-3 Products
- Sustainability Initiatives
- Financial Performance
- Glanbia
- Competitive Overview
- Table 4-8: Company Information for Glanbia
- Omega-3 Products
- Financial Performance
- Jedwards International
- Competitive Overview
- Table 4-9: Company Information for Jedwards International
- Omega-3 Products
- Competitive Strategy
- Nordic Naturals
- Competitive Overview
- Table 4-10: Company Information for Nordic Naturals
- Omega-3 Products
- Sustainability Initiatives
- Ocean Nutrition Canada
- Competitive Overview
- Table 4-11: Company Information for Ocean Nutrition Canada
- Omega-3 Products
- Omega-3 Partnerships
- Sustainability Initiatives
- Financial Performance
- Omega Protein
- Competitive Overview
- Table 4-12: Company Information for Omega Protein
- Omega-3 Products
- Financial Performance
- Zymes
- Competitive Overview
- Table 4-13: Company Information for Zymes
- Omega-3 Products and Technology Advancements
- CHAPTER 5: MARKETER PROFILES
- Key Points
- Companies Profiled
- Aurora Products
- Competitive Overview
- Table 5-1: Company Information for Aurora Products
- Omega-3 Products
- Financial Performance
- Drs. Foster & Smith
- Competitive Overview
- Table 5-2: Company Information for Drs. Foster & Smith
- Omega-3 Products
- Financial Performance
- George Weston Foods
- Competitive Overview
- Table 5-3: Company Information for George Weston Foods
- Omega-3 Products
- GFA Brands
- Competitive Overview
- Table 5-4: Company Information for GFA Brands
- Omega-3 Products
- GOOD Hemp Products
- Competitive Overview
- Table 5-5: Company Information for GOOD Hemp Products
- Omega-3 Products
- Hain Celestial Group
- Competitive Overview
- Table 5-6: Company Information for Hain Celestial Group
- Omega-3 Products
- Omega-3 Partnerships
- Financial Performance
- HappyBaby
- Competitive Overview
- Table 5-7: Company Information for Happy Baby
- Omega-3 Products
- L'Oreal
- Competitive Overview
- Table 5-8: Company Information for L’Oreal
- Omega-3 Products
- Sustainability and Ethics
- Financial Performance
- Mars
- Competitive Overview
- Table 5-9: Company Information for Mars
- Omega-3 Products
- Sustainability Initiatives
- Financial Performance
- NBTY
- Competitive Overview
- Table 5-10: Company Information for NBTY
- Omega-3 Products
- Omega-3 Product Label and Claims Controversy
- Financial Performance
- Nestlé
- Competitive Overview
- Table 5-11: Company Information for Nestlé
- Omega-3 Products
- Financial Performance
- Prairie Orchard Farms
- Competitive Overview
- Table 5-12: Company Information for Prairie Orchard Farms
- Omega-3 Products
- Competitive Strategy
- Stonyfield Farm
- Competitive Overview
- Table 5-13: Company Information for Stonyfield Farm
- Omega-3 Products
- Competitive Strategy
- Financial Performance
- Unilever
- Competitive Overview
- Table 5-14: Company Information for Unilever
- Omega-3 Products
- Financial Performance
- CHAPTER 6: LOOKING AHEAD: MARKET OPPORTUNITIES
- Key Points
- The Urgency of Wellness
- New Findings on EPA/DHA and Health
- Fatty Oils Potentially Aid With Bipolar Disorder and Alcoholism
- Omega-3s Linked to Lower Risk of Diabetes
- Omega-3s and Depression
- EU Regulatory Developments Set the Pace
- The U.S. Lags the European Union in Regulation
- More Options for Omega-3 on the Plate
- Looking Beyond Fish and Fish Oil
- DHA/EPA Versus ALA: New Opportunities
- A Wider Sea of Sources: Krill and Calamari
- Omega-3s in the Meat Case
- Chia and Hemp Propel ALA Market Segment
- Opportunities in Fortified Beverages to Reach Wider Consumer Market
- Latin America as Growth Market for Omega-3 Beverages
- Making Omega-3s Fun: Reaching Children
- Private Label Opportunities Outside of North America
- Expanding Middle Class in BRIC Countries Opens Up Opportunities
- Africa and Middle East Have Lowest Levels of Fish Consumption
- Consumer Education Important for Nutritional Supplements
- Krill Shakes Up Supplement Segment
- Omega-3 as Skincare
- Sea Buckthorn Berry for Anti-Aging
- Demand for Omega-3 Spills Over Into Pet Market
- The Internet and Untapped Consumer Segments
- Caveat: Too Much Science Can Scare Off Mainstream Consumers
- APPENDIX: ADDRESSES OF SELECTED MARKETERS AND ORGANIZATIONS
