The Dilemma of the Bio/Organic Holistic Health Industry.
Where are the two magic words of the Bio/Organic Industry? I urge my colleagues in the Holistic Health Industry to consider this crucial point. We are dealing the core of Marketing here affecting each day consumer choices.
I don’t think that an individual alone can solve this Dilemma which is the effectiveness of the “Clinically Tested” label which is worth a percentage of the 1.8 trillion dollar 2024 Wellness Industry. I urge more collaboration in the view that the Pharma counterpart is formed by teams of highly trained professionals (product managers, general managers, area sales managers, sales reps, customers, marketing managers, communications managers, researchers, graphic designers, Advertising and Social Media agencies) who have accessed to detailed and accurate market intelligence to the point that to know which medications are sold in each zip codes area including Demographics is standard practice. The Pharma Marketing process is Collective; the Holistic Health is not. Who do you think wins? Highly trained teams or individual players?
In essence, each Holistic Health operator is competing against teams in the Pharma industry. Yet, we in the Holistic Health Industry are so decentralized that we do not collaborate on key strategic issues. This is the Dilemma, my research has led to believe.
If anyone wants to connect with me to try to address the Dilemma I will invest further my time to this effort that can benefit the Holistic Health industry as a whole. I have spent a considerable amount of time and energy on this and I have arrived to the conclusion that alone I cannot make a contribution except to raise the issue.
I would love to hear your comments on this crucial subject. Thank you
Facts
The McKinsey Report on the 1.8 Trillion Dollar International 2024 Wellness Market from the Consumer Packaged Good Practice includes a chart that summerizes the challenge for Bio/Organic Holistic Health companies marketing and distributing Packaged Consumer Goods. Two magic words “Clinically Tested”, “Over the Counter” win a US consumer 60% of the times versus 12-20% for Bio/Organic labels. If you are operating in the Bio/Organic segment, I encourage you to study this chart.
I thought that this chart could serve the North American and EU market, but this morning I received the Newsletter for China Skinny about the development about the broad acceptance of plant-based drinks, a category in China which is in a fast growth mode especially in the coconut milk after a brand introduced a product which became category segment leader.
A recent consumer China Skinny study indicates that “endorsement for a local regulatory body grew purchase intent more than the “Organic” designation.
Findings
Both in the North American market, probably the EU also, and in China consumer prefer Clinically Tested labels which wins 60% of times.
Regulatory body endorsement is stronger than the Bio/Organic label.
There is no counterpart in the Bio/Organic Holistic Health Industry Packaged good industry.
The McKinsey and the China Skinny reports indicate that we are dealing with a Consumer Universal appearing in the USA and in China and probably in all international markets of the 1.8 Trillion Dollar 2024 Wellness Industry.