Wellness sector growth likely to double in three years
Source: The Hindu Business Line
Report says sector’s growth set to double by 2015
MUMBAI, AUG. 26:
The Indian health and wellness industry is all set to double by 2015 if the current growth is maintained, a joint report by industry body FICCI and advisory firm PricewaterhouseCoopers (PwC) said. At present, the sector is estimated at Rs 59,000 crore and is growing at a CAGR of 18-20 per cent.
The wellness market comprises beauty and cosmetic products, healthy food and beverage, slimming products, fitness services, dietary supplements and spas and salons. These are roughly divided into three categories such as hygiene, curative and enhancement needs of the consumer.
Though traditional products continue to dominate the market at 60 per cent, consumers are aware of new forms of wellness products and services such as fortified foods, dietary supplements, cosmetic treatments and rejuvenation therapies.
Increasing health awareness among Indian consumers due to rising media penetration is also helping the sector to grow. Given the high disposable incomes, consumers are taking into account health considerations as part of their purchasing decisions, with preventive care gaining more prominence over a curative approach to disease management, said Sandeep Ahuja, Chairman, FICCI National Wellness Committee.
The FICCI-PwC report further added that the per capita spend on wellness has jumped from Rs 300 in 2008 to over Rs 480 a year last year.
“Consumers are increasingly placing a high premium on their time, so wellness players have started bundling convenience along with health and beauty benefits,” the report added.
It forecasts that while wellness concepts in India are dominated by mainstream and generic benefits, emerging niche categories are likely to result in new opportunities for players. Online channels are expected to become increasingly relevant as a channel of interaction with consumers.