Summary

Natural Marketing Institute (NMI) is pleased to present its 9th Edition, Health and Wellness Trends Report(tm) (HWTR), our annual report on the health and wellness marketplace and its consumers. This year's report includes a new expansion of the consumer data across each chapter and 50% more content overall. There is a plethora of information to report on the many dynamics within healthy categories and we've expanded the coverage of target groups within each category examined. Twelve chapters cover industry trends: who's shopping and where; their motivations; attitudes and beliefs toward nutrition, diet, and healthy lifestyles; and the desire for specific ingredients and avoidance issues. In addition, entire chapters have been devoted to females, males, families and kids; alternative healthcare; and an update on key organic trends. As always, three separate chapters provide analysis across the specifics of food and beverages, dietary supplements, and weight management and exercise. This compilation of nine years of annual comprehensive surveys includes trended consumer data gathered from over 26,000 consumers across 20 shopping channels and over 100 product categories.

An overriding theme appeared this year as we considered the top trends affecting the marketplace _ The Dual Society. The bifurcation of our American society across numerous issues was apparent as we gathered data about each trend. It has manifested itself in consumer attitudes toward health with two polar opposite consumer segments that we have been tracking now for 7 years: the WELL BEINGS and EAT, DRINK & BE MERRYS. These two segments drive opposite attitudes toward each trend. As a result, you will note that we have included a "countertrend" within the treatise of each one. Whether we discuss The Culture of Sustainability, Dr. Me, Stop _ I Want Off, or The New Immunity, today's trends can only be understood by examining those consumers who actively influence each one and those consumers who have chosen an opposite path. We have provided additional background and data as means of explanation and to promote understanding. Included at the end of chapter one are market implications for each trend. We're confident that you'll find much "food for thought" here as you consider how these trends will affect your business over the next few years.

Within the health and wellness consumer segmentation, now in its seventh year of tracking, we saw an increase in the number of MAGIC BULLETS, now 19% of the population. This group of consumers will be influential to the wellness marketplace this year, particularly driven by their preferences for supplements and functional foods. They have increased their consumption and overall are becoming more similar to the healthiest segment, the WELL BEINGS. As one-fourth of the general population, WELL BEINGS continue to explore, experiment and adopt new health products and services and their positive attitudes and values influence can be seen across the spectrum from increased usage of healthy categories and alternative healthcare to their influence on environmental issues. The FOOD ACTIVES, who are driven by balance, have continued to revert back to the basics of healthy nutrition, while the FENCE SITTERS, the segment most driven by family dynamics, are seeking more health convenience and are experimenting with new options in healthy foods that taste good too. Lastly, the EAT, DRINK & BE MERRYS continue to be driven by taste and vanity. Regardless of your position in the marketplace _ food marketer, supplement supplier, healthcare provider or other _ understanding the psychographic profiles of these segments will be key to making them believe in the benefits of your product or service.

Brand relationships are undergoing a metamorphosis from that of typical icon brand communications to one of a cultural values experience. Consumers want to relate increasingly on their terms. They want information available to them in easily understood messages that are available at their fingertips when they want it - and not before. The concerns of war and economy have continued to drive some consumers into less consumptive patterns, as they are seeking a simpler lifestyle, less concerns and meaningful relationships. These desires will drive the need for a more creative suite of marketing
communication tools. In addition, as marketers appear to be moving the product/idea lifecycle ever faster, the caution will be the discernment of consumers for authenticity. Consumers are researching brand activities at an increasing rate; as they desire to know what brands are doing to protect the environment and their health, they are more discerning.

Chapter six, Females, Males, Families & Kids, contains a new treatise on gender differences across health and wellness issues. As marketers are looking for new opportunities, the attitudinal differences and needs across females and males are sure to present new ideas. Chapter ten, Organic Trends, presents key updates to our 2007 Organic Consumer Trends Report. For anyone in the organic sector, these two treatises provide essential insights into what will drive the organic market in hard economic times. We noted changes in the organic consumer segmentation in chapter ten, including the slight increase in the most integrated organic consumer segment _ the DEVOTEDS. Combined with a decrease in the size of the DABBLERS segment, the implications are good. However, do not miss our data and discussion on frequency and its possible effect on individual categories as we project the trade-offs that could happen in a recession.

Consumers continue to seek multiple ways to enhance their health to prevent disease, and to promote healthy aging. All of these drivers will continue to present opportunities for health and wellness marketers. Categories such as supplements, sports nutrition, and weight management will continue to experience growth through specificity as consumers are seeking products that answer their individual nutritional needs. As such, customization of products and programs will continue to grow. Consumers have also integrated wellness across their lifestyles and are driving new sustainable industries as seen in our LOHAS (Lifestyles of Health and Sustainability) research.

This ninth edition of the HWTR is an essential tool for opportunity analysis, new product development, marketing communications, and overall strategic planning as it seeks to analyze the many changes across consumers and the marketplace. NMI's most comprehensive report on health and wellness, the HWTR, will assist ingredient suppliers, manufacturers, brands, retailers, healthcare providers and others in understanding the interrelationship between drivers of health and wellness, sources of influence, health and medical conditions, health-related attitudinal measures, lifestyle factors, shopping patterns, product usage patterns, and brand purchase patterns, among other topics. Every page offers unique insight with the presentation of charts, graphs, or tables, accompanied by analysis and commentary on associated market elements and key opportunities.