Key Drivers of Wellness and Better For™ Products

The demand for wellness and Better For™ products is being driven by a growing consumer focus on health and well-being. As more individuals become proactive about their health, they are seeking products that promote long-term wellness rather than just providing immediate solutions. This shift is evident in the increasing popularity of items with clean labels, natural ingredients, and minimal additives. Consumers are looking for products that not only enhance their physical health but also support mental well-being, driving interest in functional foods, supplements, and personal care items that contribute to overall life balance.

Sustainability and ethical concerns are also major drivers in the rise of Better For™ products. Today’s consumers are more conscious of the environmental and social impacts of their purchasing decisions, seeking out brands that align with their values. In fact, 61% of consumers agree environmental issues are having an adverse impact on their current and future health.¹ Eco-friendly packaging, responsibly sourced ingredients, and ethical manufacturing practices are increasingly becoming non-negotiables for a growing segment of shoppers. As a result, brands that prioritize sustainability are gaining a competitive edge, as consumers are willing to pay a premium for products that align with their values of social responsibility and environmental preservation.

Another key factor driving the growth of wellness and Better For™ products is the increasing demand for transparency. The proportion of shoppers affirming the importance of transparent product information from brands and manufacturers has risen steadily in the past 5 years from 69% in 2018, to 72% in 2021, to 76% in 2023.² This demand for information has pushed brands to be more transparent in their labeling and marketing, offering consumers clear insights into the health benefits and sustainability practices behind their products. In turn, brands that embrace transparency and educate consumers about their wellness-driven benefits are building trust and loyalty, further fueling the growth of the Better For™ product market.

Categories Leading the Better For™ Movement

The Better For™ movement has made its mark across a wide range of industries, but certain categories are at the forefront of this wellness-driven shift. With consumers increasingly gravitating towards items that prioritize health, sustainability, and ethical sourcing, categories evolving rapidly to meet the growing demand for clean, natural, and functional products are positioning themselves as key players in the broader wellness landscape.

With that in mind, here are 3 key categories fueling the growth of Better For™ products:

1. Food and Beverage

The food and beverage sector is at the forefront of the Better For™ movement, with significant growth in plant-based, organic, and functional foods. Consumers are increasingly seeking products that not only satisfy their nutritional needs but also align with their health and sustainability goals. Plant-based alternatives to meat and dairy, along with organic produce, have seen a surge in demand as consumers shift toward diets that are perceived to be healthier and more environmentally friendly. In fact, there were 451k online searches for “Plant-Based” in the last year.³ Functional beverages—those fortified with vitamins, probiotics, or other health-boosting ingredients—are also gaining popularity, offering consumers additional benefits beyond basic nutrition.

Alongside these trends, the rise of non-alcoholic beverages, low-sugar options, and clean-label snacks further highlights the shift toward healthier eating habits. Low-sugar and clean-label snacks, which prioritize natural ingredients and minimal processing, are increasingly in demand as consumers become more mindful of their sugar intake and seek out wholesome snacks. In fact, clean label products are out-performing other products with an 8% increase in the last year.⁴ Brands that emphasize transparency, simplicity, and health-focused benefits are well-positioned to capture the attention of consumers looking to make better food and beverage choices.

2. Personal Care and Beauty

The personal care and beauty sector is undergoing a significant transformation as consumers increasingly demand clean beauty products free from harmful chemicals. More than ever, individuals are scrutinizing the ingredients in their skincare, haircare, and cosmetics, seeking out options that are safe, non-toxic, and derived from natural sources. Clean beauty has become more than a trend—it’s now a standard expectation for many consumers, who prioritize products that align with their health and wellness values. Brands that focus on transparency and ingredient integrity are gaining strong consumer loyalty in a market that increasingly values purity and safety.

In addition to clean ingredients, there is a growing preference for cruelty-free, natural, and eco-friendly personal care products. Consumers are not only concerned with what they put on their skin but also with how their products are sourced and tested. Cruelty-free beauty, which ensures that products are not tested on animals, has become a key purchasing decision for many, especially among Millennials and Gen Z. Gen Z is most looking for products that are clean, have natural fragrances, and are cruelty-free.⁵ Likewise, the demand for eco-friendly packaging and sustainably sourced ingredients is reshaping how beauty products are manufactured and marketed. Brands that embrace sustainable practices and champion ethical production are capturing the attention of consumers.

3. Home Care

The home care sector is seeing a significant shift as consumers gravitate toward non-toxic, biodegradable cleaning products that align with their health and environmental values. With growing awareness about the potential dangers of harsh chemicals in traditional cleaning products, many households are opting for alternatives that are free from toxins and safe for both their families and the environment. According to an NIQ survey, 45% of consumers indicated looking for products with safety precautions such as antibacterial properties, non-toxic ingredients, disinfectant abilities, etc.⁶ Products labeled as biodegradable, plant-based, or eco-friendly are becoming more popular as consumers look for ways to reduce their ecological footprint while maintaining a clean and healthy home.

In addition to a preference for eco-friendly products, there is a growing interest in home care items that promote a healthier living environment. Consumers are increasingly aware of how their cleaning habits can impact indoor air quality and overall well-being. As a result, they are seeking out products that not only clean effectively but also contribute to a healthier home. This includes everything from air-purifying sprays to non-toxic surface cleaners that reduce exposure to allergens and irritants.

Challenges and Opportunities in the Better For™ Market

The Better For™ market faces a few challenges, one of the most prominent being the higher costs associated with natural, organic, and sustainable products. These increased costs often lead to premium pricing, which can limit accessibility to a wider range of consumers. While health-conscious and eco-minded shoppers are willing to pay more for products that align with their values, the higher price point may deter price-sensitive consumers, particularly when they’re dealing with inflation. In fact, 87% of American consumers have changed how they shop in order to manage expenses.⁷ As a result, brands in the Better For™ space must find a balance between maintaining product quality and affordability to broaden their appeal and reach a larger audience.

Another challenge in the Better For™ market is navigating regulatory hurdles and maintaining product authenticity. As demand for clean and sustainable products grows, brands are under increased scrutiny to ensure their claims are legitimate and compliant with industry regulations. Labeling terms like “organic,” “natural,” and “eco-friendly” can carry specific legal implications, and failure to meet these standards can lead to regulatory issues and damage to brand credibility. Furthermore, as the market becomes more competitive, maintaining authenticity while scaling production can be difficult. Consumers are becoming more knowledgeable and critical of false or misleading claims, so it’s vital for brands to be transparent. In fact, NIQ data shows that 77% of consumers will quit brands that are guilty of greenwashing.⁸

Despite these challenges, the Better For™ market offers immense opportunities, particularly in expanding into underserved markets and regions. As awareness of health, wellness, and sustainability continues to grow globally, there is significant potential for brands to introduce Better For™ products to new consumer segments and geographies. Additionally, brands that lead with sustainability and innovation can set themselves apart by offering cutting-edge solutions that resonate with today’s conscientious consumers. The growing consumer desire for transparency and responsibility presents a powerful opportunity for brands to lead the way in creating a healthier, more sustainable future.