Aligning Immune Health with Emerging Benefits We are living through times of immense change. And as the world evolves, so does the immune health space. One significant change has been a growing understanding of the relationship between immune health and other categories. What drives the sector is the fundamental need of every human being to stay well and live a high-quality life. However, the desire for immune health is related to the demand for many other wellness benefits, including energy, stress and sleep support and healthy aging. At the same time, manufacturers have their own needs. They must identify and reach in-demand need states. They have to demonstrate to consumers that they are delivering what they want. And they need ingredients that are easy to use, scientifically substantiated and preferably natural. This paper explores recent developments in the immune health space and spotlights trending functional ingredients, taking a global look to help uncover the immune health related benefits and products consumers want in regions around the world. Also highlighted are new opportunities to develop innovative products which combine immune system support with other benefits and meet the needs of both consumers and manufacturers. © Kerry 2020 3 Immune Health In Context Immune health does not exist in a bubble. A range of lifestyle factors can support it (adequate sleep, for example) or undermine it (for example, stress). It is also closely linked to other areas of wellness, such as digestive health. Meanwhile, demographic factors such as age exert a powerful influence on our ability to enjoy healthy days. There are therefore a range of health need states that are closely linked to the demand for overall immune health support. They include stress management, support for high-quality sleep, sports nutrition and healthy aging. All of these are interlinked, not just because they affect immune health, but also because our overall wellness is improved when they are addressed. Brands that are active in these spaces should therefore be aware of trending immune health ingredients and the opportunities they offer for holistic solutions. “Good immune health is a key factor in a high quality of life, and the cornerstone of the holistic approach to wellness that people today are seeking.” Donald Cox, Director, R&D, Kerry Immune Health Market Demands Proprietary consumer research fielded by Kerry in 2019 revealed that immune system support was the top benefit sought from healthy lifestyle products.1 The survey found demand for immune health products to be high across the world. In China, for example, 50% of respondents said they had used an immune health product in the previous six months as had 37% of those in Latin America and 30% in the E.U.2 If consumers were to create their dream healthy lifestyle product, it would almost certainly help them have more healthy days. 53+47+S 82+18+S 47+53+S 53% of U.S. adults say their ideal supplement would offer immune support.3 82% of Brazilian consumers are interested in vitamins, minerals or supplements for immune system strength.3 47% of Thai consumers find immunity-supporting functional benefits appealing when choosing a food or drink product.4 This is reflected in market activity across the world. Between 2015 and 2020, global food and drink launches with immune health claims increased by a CAGR of 8.2%, with the strongest growth taking place in Europe and the Middle East and Africa.5 3 © Kerry 2020 1,2 Kerry Global Consumer Survey – Digestive & Immune Health, 2019 Mintel ‘Defend against disease with immunity-boosting products’, 2019 4 Mintel, Attitudes to functional food and drink – Thailand, 2020 5 Mintel GNPD (30 April 2020) 4 Current Trends In Immune Health Immune health was trending long before COVID. The growing desire for immune health products is not a new phenomenon. Over the past five years one in five vitamin, mineral and supplement products globally carried an immune system claim.6 60% of consumers globally have become more conscious of their immunity since the recent global pandemic.7 But while the current demand is rooted in foundations that have been in place for many years, there has of course been a COVID-related surge. In July 2020, FMCG Gurus found that 60% of consumers globally had become more conscious of their immunity, with immune health their second most common concern (behind only overall health and wellness).7 It is clear that consumers are turning to nutrition to boost their defenses. Three in ten consumers globally have sought out products with added health-enhancing ingredients since the pandemic, and 64% of these say they will continue to do so once it has passed.8 Demand for products with immune health benefits is strong worldwide. For example, Kerry research in July 2020 found that two thirds (66%) of consumers in Turkey and 65% in Saudi Arabia had used an immune health product over the past six months. A further 16% in Turkey and 22% in Saudi Arabia would consider doing so.9 PERCENTAGE OF CONSUMERS THAT HAVE MADE CHANGES SINCE THE RECENT GLOBAL PANDEMIC TO THEIR DIETS AND LIFESTYLES TO SUPPORT IMMUNE HEALTH10 61+39+S 50+50+S 45+55+S 61% North America 50% Africa 56+44+S 48+52+S 56% Europe 48% Asia-Pacific 45% South America Mintel ‘Support immune health in new ways’, June 2020 FMCG Gurus ‘How has COVID-19 Changed Consumer Behavior?’, July 2020 FMCG Gurus, COVID-19 Survey, July 2020 9 Kerry ‘MENAT Proactive Health Proprietary Consumer Research’, July 2020 10 FMCG Gurus ‘Insights and Opportunities – Immunity – Global 2020’, 2020 6 7 8 © Kerry 2020 5 Why are particular immune health ingredients trending? While immune health has grown as a category, some ingredients are attracting particular interest. Examples of trending immune health ingredients include those from fungi, which are “shaping up to be big winners in 2020”11 and elderberry, sales of which grew by triple digits in the first half of 2020 compared to 2019.12 Blueberries and garlic are also enjoying renewed popularity. One reason for this is that renewed interest in botanicals and other ingredients is tied to their natural, from-food or whole-food positioning. In Brazil, 58% of consumers say natural ingredients would encourage them to buy a vitamin, mineral or supplement product, while 77% of Canadians prefer such products to be derived from fruits and vegetables.13 There is evidence that demand for naturality has accelerated as a result of the pandemic. For example, 56% of consumers globally say they are more attentive to natural ingredient claims as a result of COVID.15 Meanwhile, the ability to meet more than one need is also a clear selling point. Ingredients with adaptogenic properties, such as panax ginseng and ashwagandha, fall into this “multi-benefit” category because they can offer benefits for stress reduction as well as immune health support. 69% of global consumers say the COVID pandemic has made them more attentive to nutritional benefit claims.16 All-natural yeast beta glucans are a great fit for adding immunity benefits to products that support need states complementary to immune health support. Hunger for information Manufacturers of any nutrition product need to be aware of the growing tendency of consumers to seek out scientific evidence of efficacy. In Kerry’s 2019 global survey, 39% of respondents worldwide said they would be more likely to buy a healthy lifestyle product if it carried claims based on scientific data. Again, COVID appears to have further increased this need, with 69% of consumers saying the pandemic has made them more attentive to nutritional benefit claims.16 In Saudi Arabia, for example, six in ten (59%) consumers surveyed in July 2020 said they would be encouraged to buy a healthy lifestyle product if it carried claims based on scientific data, while 61% would be more likely to buy a product if its benefits were explained on the packaging.17 Schultz, H ‘Fungi ingredients shaping up to be big winners in 2020, market snapshot reveals’, NutraIngredients USA, 4 September 2020 American Botanical Council ‘US Herbal Supplement Sales Increase by 8.6% in 2019, Record-Breaking Sales Predicted for 2020’, 31 August 2020 13 FMCG Gurus ‘Insights and Opportunities – Immunity – Global 2020’, 2020 14 Mintel ‘Support immune health in new ways’, June 2020 15,16 FMCG Gurus ‘How has COVID-19 Changed Consumer Behavior?’, July 2020 17 Kerry ‘MENAT Proactive Health Proprietary Consumer Research’, July 2020 11 12 © Kerry 2020 6 Yeast Beta Glucans: Natural, Science-Backed Immunity Beta glucans are aligned with many current trends. Because they are natural ingredients they are a perfect fit for betterfor-you and free-from products. Interest in the category is therefore on the rise, with consumers increasingly aware of its potential in areas such as immune health. But sourcing high-quality beta glucans is essential. A few things that play a key role in ensuring that a beta glucan is of high quality is the understanding around the ingredient’s stability, its manufacturing processes, and how it impacts the ingredient’s biological activity. It’s also important to understand how its efficacy is measured and defined. Each of these aspects play a role in formulation. Stability Stability is a critical measure of a finished product’s efficacy. The use of some functional ingredients can affect finished product stability by causing ingredients to bind to other ingredients or precipitate out of the solution. Stability can also be affected by manufacturing processes that result in a reduction of the finished product’s potency and benefits. Serving size Serving size is also important to ensuring the benefits are there. Key to watch out for are functional ingredients that either lack serving size research to determine optimum serving sizes or finished products containing only a small fraction of the ingredient’s efficacious amount demonstrated through clinical studies. A recommended daily serving should deliver immune benefits consistent with clinical research to demonstrate its benefits and support claims. Also important to note is that there are many beta glucan varieties and only some deliver immune benefits. Important differences in structure mean there are major differences in function. A growing body of research shows that certain yeast beta glucan strains can play an important role in supporting immune health. For example, a recent review of multiple clinical studies concluded that immunomodulators present in some yeast beta glucans may ‘train’ the body’s immune cells to react more quickly.18 18 © Kerry 2020 e Marco, E., Calder, P. C. & Roche, H. M. ‘ß-1,3/1,6-Glucans and Immunity: D State of the Art and Future Directions’ Molecular Nutrition & Food Research, 2020 7 The Wellmune® Advantage One example of a yeast beta glucan that can support the immune system is Wellmune®, a proprietary baker’s yeast beta 1,3/1,6 glucan. With a long history of research demonstrating efficacy, it comes with a scientific backing that many functional ingredients do not. Over a dozen published, peer-reviewed clinical studies demonstrate that Wellmune can: • Improve general immune health • Support year-round health and wellness • Protect against the harmful effects of stress • Promote healthy energy levels and mental clarity Wellmune can easily be formulated into most food, beverage and supplements products, either as the sole immune health ingredient or in combination with other ingredients. © Kerry 2020 8 PERFECT PARTNERS By formulating with Wellmune, many innovative brands have been able to create products that offer immune health benefits while also catering to a range of other need states. Examples of areas where Wellmune has been combined with other ingredients include: Eye health Growing numbers of consumers, including those in younger age groups, are seeking solutions for issues such as tired and dry eyes.19 Formulation opportunity Nutri-V (Malaysia) combines lutein and bilberry for eye health with Wellmune for immune support in a botanical beverage. Active Lifestyle Support Immune health is growing in importance in the sports nutrition sector, where it can be layered with more traditional performance-related benefits, such as speedy recovery, to differentiate products. As athletes and active individuals seek clean ingredients that provide multiple benefits to support their healthy lifestyles and performance goals, the market is responding by broadening its offerings. Formulation opportunities 32Gi Protein (South Africa) combines pea and rice protein with Wellmune to help athletes stay healthy so they can train more effectively. TB12™ (USA) features elderberry to provide support for immunity, recovery, and performance as key goals for active consumers. Stress reduction and sleep support Modern life is increasingly stressful. Negative impacts of stress include impaired sleep and a weakened immune system. Four in ten consumers are interested in supplements for anxiety or stress relief.20 Consumers are turning to natural functional ingredients like adaptogens to help moderate the stress response. One example is ashwagandha, an ayurvedic herb which has been used for thousands of years but enjoyed huge growth in sales between 2019 and 2020.21 Formulation opportunity Ashwagandha is one of the natural ingredients in Sleep + Immunity (USA) from proper. It promotes both sleep health and, with the addition of Wellmune, supporting a healthy immune system. Smolokoff, A ‘Eye health innovation tries to keep up with changing consumer needs’, Natural Products Insider, Jul 29, 2019 Mintel ‘Support Immune Health in new ways’, June 2020 Daniells, S ‘Stress management supplements sales surge with sleep and adaptogen lines leading the way’, NutraIngredients USA, 18-Aug-2020 19 20 21 © Kerry 2020 9 Energy and performance The energy category, comprised primarily of supplements and beverages, is worth about $4.3 billion with continued growth forecast through 2022.22 Wellmune has also been used alongside other natural ingredients in products to help support energy. Formulation opportunities Unlimited Bio Supplements’ Vegan Prot-Act (Brazil) combines protein with Wellmune for immunity and green tea and other botanicals to support energy levels. On their own, beets are touted as a highly nutritious food, brain booster and performance enhancer. The addition of Wellmune helps SuperBeets® (USA) provide immune support. Revive Zest Active™ (Ireland) A blend of vitamins, minerals and amino acids combined with Wellmune to support energy, the brain and the immune system. Healthy aging Natural ingredients are rapidly becoming part of healthy aging formulations.23 Wellmune is a great pairing for ingredients like curcumin with antioxidant properties, which are often associated with helping to support health, especially among older populations. Formulation opportunities VERA Plus by Fuxion (South Africa) herbal tea containing Wellmune, aloe vera extract, Vitamin C, and olive leaf extract. Immunity Gold™ (UK) with Wellmune and Turmeric. NumNum’s Herbimune™ (India) Wellmune, Turmeric and Ashwagandha. Plant-based proteins Consumers are increasingly turning to plant-based sources of protein, including oats, not just because of their sustainability and clean-label credentials,24 but also their positive impact on digestion, which further reinforces their health halo. 22 23 24 Formulation opportunity Nutrition Business Journal, 2019 Mintel, Food and Drink, 2019 Watrous, M ‘Plant-based market may accelerate because of the pandemic’ Supermarket Perimeter, 1 June 2020 IsaGenix® (USA) shake booster with Wellmune for immune support. © Kerry 2020 10 The “Multi-Functional” Difference The market for healthy lifestyle products is increasingly crowded and finding ways to stand out can be tough. One of the best solutions is to get holistic – the appeal of products that offer multiple wellness benefits is obvious. And with supporting health through nutrition top of mind for consumers, the addition of immune health benefits offers particular value. As a natural ingredient supported by a wealth of clinical studies, Wellmune meets a range of consumer needs. And because it can easily be formulated into most food, beverage and supplement products, it also meets those of manufacturers. Whether it’s the solo star, or a partner for other trending ingredients, Wellmune is the perfect way to create innovative immune health products. Find out more about opportunities to combine immune health with other benefits. Email wellmune@kerry.com This white paper is intended to provide scientific and educational information only and should not be considered medical advice. All claim language presented in this piece is reflective of what is considered appropriate for the US market; please contact us to learn of recommendations for other regions. It is recommended that brand manufacturers work with their legal counsel to confirm the appropriateness of claim language. Wellmune® is a registered trademark of Kerry Group. © 2020, All Rights Reserved.