The global market for the wellness industry is nearly $2 trillion, according to McKinsey's latest quarterly report. But, the consulting firm predicts that the sector will continue to grow at a rate of 5-10% a year as consumers increase spending on wellness and fitness trends.
Here are some of the key takeaways from McKinsey's report:
Clinical Over Clean: McKinsey reports that consumers are now more likely to purchase products based on clinical effectiveness rather than clean or natural ingredients. This means that shoppers may bypass makeup or cosmetic products that are marketed as organic or natural, and instead opt for a product that works better.
Wearable Tech Is In: Through the adoption of products like Fitbits and Apple Watches, wearable technology has become a mainstay for many Americans. In fact, McKinsey's research shows that one-third of people are using wearable technology more frequently than they did the previous year. And 75% of respondents said that they were open to wearing some form of tech in the future, which should bode well for Apple Inc
At-Home Care: The COVID-19 pandemic pushed people to try more health and wellness practices at home. Now, consumers are more receptive to products to diagnose themselves at home, like nutritional test kits that can help users discover allergies or at-home glucose monitoring devices. In China, more than one-third of respondents said they replaced going to the doctor with at-home tests for certain things.
Growth Areas: While the entire health and wellness industry is expected to grow, McKinsey highlighted a few areas poised to take off. Included are healthy aging, women's health, gut health and more.
