There are a number of regulations that are heading towards the nutraceutical market in 2021, and just like every year, the industry has to be prepared to face these new laws and adapt to survive.
There's a reason why so many nutraceutical high risk merchant accounts are opened every year, the business is very profitable.
Nutraceuticals are one of the most promising industries in the world today. Worth more than $382.5 billion this year, this market is set to grow exponentially in the next few years with a projected market value of $722.4 billion by the end of 2025.
The strong interest for nutraceutical products stems mainly from the fact that more people are now shifting to self-medication practices and alternative therapy options that allow them to save money and avoid the possible long-term complications of traditional medications.
But with this huge popularity also comes the risks for fake and unregulated products, which is why regulatory boards are now implementing strict regulation measures especially in marketing nutraceuticals online.
So what can we expect for next year?
Since nutraceuticals is a fairly new industry, there’s still some confusion on its legal definitions and they can differ by country or region. For instance, Canada refers to nutraceuticals as “natural health products” while the United States calls them “dietary supplements.”
Since there are no set definitions yet, it’s very important to find the right legal definitions for nutraceuticals in the region where you’re targeting your marketing campaign so it reaches the right audience and avoids confusion.
If you are going to make an effective campaign, you need to understand the regulations in your country for nutraceutical products first. In the United States, for instance, the U.S Food and Drug Administration (FDA) do not regulate “dietary supplements” anymore according to the Dietary Supplement, Health and Education Act (DSHEA).
According to this law, a dietary supplement should be “a product (other than tobacco) intended to supplement the diet that bears or contains one or more of the following dietary ingredients: vitamins, minerals, amino acids, herbs or other botanicals; a concentrate, metabolite, constituent, extract or combination of the ingredients listed above.”
The act also states that you need to label your product as a “dietary supplement,” that it should not be a replacement for conventional food and that it needs to be ingested as a pill, liquid, or powder.
The FDA is very clear about its definition of a drug and that doesn’t correlate with what a nutraceutical product is. Therefore, it’s very important to use your words wisely when marketing your products to not only avoid confusion to your consumers but also to not get in trouble trying to make false claims.
According to the DSHEA, your product description should contain the name, quantity, and weight of each ingredient, the identity of the plant part used the nutritional labeling information, and the term “dietary supplement.”
There’s still a long way to go before proper regulations can be set for nutraceutical products. But with such strong competition and a more curious market, it’s important to follow the rules when marketing your products to not only boost your ROI but also maintain your credibility.