Elderberry ingredient sales soared during the height of the pandemic, so much so that you could practically visualize the bottles flying off the shelves wearing their superhero capes. Like Mighty Mouse, here to save the day, the bright botanical was part of a consumer rush to bulk up their arsenal of immune-health protectors while also serving as a counterbalance to the drop in other categories of supplement sales.

Consumer sales of elderberry supplements jumped up 169% in mainstream retail channels in 2020. What about today? Sales dropped by 10% in 2022.

 And even though data from market researcher SPINS (Chicago) show that cold-and-flu supplement sales grew overall in 2022, in both the mainstream and natural retail channels, elderberry supplement sales were down.

The decline in sales begs these questions: Do these kinds of numbers signal a rational and realistic return to earth for elderberry? Or the start of a devastating downward decline?

Which Came First: The Pandemic or The Interest in Elderberry?

Shaheen Majeed, CEO of BGG Americas (Irvine, CA) and two of its subsidiaries, HBNI North America and Algae Health Sciences, says that “elderberry sales went ballistic during the COVID pandemic, and rightly so.” BGG supplies the branded elderberry ingredient EldPro, and Majeed calls elderberry “a great supplement for immunity, with solid clinical research showing benefits in fighting the viruses that cause colds and flu.”

Majeed also says that “While I’m unaware of any clinical trial specifically on elderberry for COVID-19 prevention or treatment,” he adds that “it’s a logical extension of the existing literature on elderberry that it may have some benefit for this novel virus as well.”

According to Eric Cohen, senior brand manager at The Vitamin Shoppe, “Although elderberry sales had significantly increased during the pandemic, it had been a strong seller prior to the pandemic.”

He adds that “increased media exposure touting the benefits of elderberry for immune and respiratory support occurred at the same time as many customers were seeking additional immune support to add to their supplement programs beyond vitamins C and D and zinc.”

Why elderberry? Cohen notes that elderberry “has a history of use as a safe, efficacious ingredient for decades and has gained acceptance as a mainstream supplement since the pandemic.”

He continues, “Elderberries naturally contain antioxidant compounds, including flavanols and anthocyanins. Elderberry can activate a healthy immune system by increasing inflammatory cytokine products and plays an immune-protective or immune-stimulatory role.”

Art Rowe-Cerveny is executive vice president, marketing, Americas, at PharmaCare U.S., manufacturer of the Sambucol dietary supplement brand. He says, “We actually sold more product in March 2020 than we had in an entire three years prior.”

He says once COVID hit, whether it was stocking up on toilet paper or elderberry supplements, everyone was looking to fortify their health (and other) supplies to protect their households.

However, Rowe-Cerveny agrees with Cohen that it wasn’t just a pandemic that pushed elderberry to the forefront. From his perspective, the elderberry growth spurt really began in 2018 when, he says, a serious cold-and-flu season and shortages of flu shots and other related influenza supplies, combined with viral social media attention, led people to discover the centuries-old remedy.

“So, by the time the pandemic hit in March 2020, elderberry was already growing as a recognized way to help support the immune system,” declares Rowe-Cerveny.

Randy Kreienbrink, CFS, vice president of sales and marketing at Artemis International (Fort Wayne, IN), recalls that “as news of the pandemic was spreading around the world and there was so much uncertainty, everyone was justifiably worried. People were on board with anything they could do to enhance their immune system and potentially fight infection.”

Artemis supplies branded ingredients ElderCraft and BerryDefense, among its other berryceuticals, and Kreienbrink says that elderberry’s “solid science behind its immune-support properties” and its delivery-method versatility—including tablets, capsules, teas, and gummies—were reasons why elderberry products “were flying off the shelves and being consumed in mass quantities.”

Now that the biggest fears for immune health have subsided, hopefully more than temporarily, how is elderberry faring?

Kimberly Kawa, product expert at SPINS and a member of 

 Editorial Advisory Board, agrees that “elderberry was widely accessible during the pandemic, and successful because it already had mainstream consumer familiarity.”

She adds that “with markets starting to normalize post-pandemic, it seems logical that the heightened growth rates for trending functional ingredients would drop down a bit.”

Kreienbrink confirms that the “elderberry market has chilled a bit, but the overall concern about immune system health and functionality is still strong.” And, he adds that “it was unrealistic to assume elderberry sales would continue such an exponential growth curve.”

Majeed does not seem worried either. “It’s human nature that once a threat is no longer imminent,” he says, “behavior will revert back to normality.” He advises that while the virus hasn’t disappeared, “the pandemic stage is over and many consumers aren’t thinking about modulating their immune systems like they were a couple [of] years ago.”

However, Majeed is optimistic, suggesting that “smart consumers will continue to focus on immunity as a key element of good health.” He believes that “immune-supplement ingredients will continue to have stronger sales than during the pre-pandemic era.”

Rowe-Cerveny points out that “sales have of course slowed from that meteoric rise,” but he claims it’s not just elderberry but also the immune health category in general that’s seeing a decline when compared to the height of the demand.

But he, too, doesn’t seem concerned, also suggesting that it was unrealistic and perhaps a bit of irrational exuberance on the part of the people predicting that elderberry sales would continue on that extreme upward trajectory. “Nothing can continue at such a pace,” he says. “The laws of nature eventually take hold.”

Rowe-Cerveny does wonder, however, if the American public has become somehow immune to protecting their immune health. He explains that “the American public is tired and no longer afraid and actually seems to be a bit fatalistic, adopting an ‘Oh well, I’m going to get sick with something’ attitude.”

And as long as he’s being realistic, he’s also upfront about the economic reality of inflation and market uncertainty, which, he says, “has also made the consumer a much fickler and more aware shopper.”

But still Rowe-Cerveny says this: “We believe the decline versus the height to be normal market reaction, and expected. As the true demand level is reached, and the opportunists and fakes leave the market as the category adjusts to its new reality,” he reminds us that the new reality is “still significantly above pre-pandemic levels.”

What Will Keep Everyone Interested in Elderberry?

For one thing, keeping adulterated ingredients out of the market can only serve to enhance industry and consumer confidence.

Says Rowe-Cerveny, “adulteration became something that permeated the elderberry landscape during peak demand, resulting in some consumers getting substandard product and not necessarily seeing any benefit.”

Thankfully, he believes the opportunistic adulterers have moved on to other trendy ingredients. Now, he says, in the age of the conscious consumer, both manufacturers and consumers are demanding more.

“Small things such as a particular variation of an ingredient, dosage, or even product claims will be under the marketplace microscope now more than ever,” Rowe-Cerveny proclaims. “Suppliers need to be open and transparent about sourcing and nutritional content.”

Along those lines, establishing standards will help. For example, earlier this year, BGG received awards recognition from the U.S. Pharmacopeia (USP) for the ingredient supplier’s work in helping establish a monograph for European Elder Berry Dry Extract.

, USP was quoted commending BGG’s efforts, saying “BGG’s contributions add significant public benefit to the standards-setting process in support of the USP mission.”

“We were honored to participate and contribute to the development of this monograph, especially having our test methods validated and adopted. The monograph sets up the pharmacopeial standard of elderberry extract and will benefit all stakeholders of the elderberry industry to fight against adulteration and assure protection of public health,” said Yanmei Li, PhD, global chief scientific officer at BGG.

The coverage in industry trade press about BGG’s work on the USP monograph led to increased interest in the BGG branded ingredient EldPro, reports Majeed, which doesn’t surprise him. “As with most topics in our industry, [positive] media attention is the key to keeping brands, as well as consumers, interested in something, [including elderberry],” he says.

Rowe-Cerveny says that “consumers are increasingly focused on innovation just as much as the origination. This is why it is imperative for companies to innovate in the space, not just in new form or flavor, but to continue to push the science, conduct clinical research smartly, and create better and more complete value propositions for the consumer.”

He adds that the recent research pointing to elderberry as a potent prebiotic and some of the topical/skincare applications being pursued are two great examples.

Kreienbrink would like to see more science for elderberry, too. “We have centuries of anecdotal usage plus an ever-growing body of modern science on our side,” he says. “With the completion of more efficacy studies using elderberry concentrates and standardized projects, you will see an influx and increased demand for foods, beverages, and supplements containing elderberry,” he asserts.

He is also keen on innovation. “The way to keep elderberry manufacturers and suppliers interested in elderberry is to offer innovative, interesting new options,” Kreienbrink says. “As examples, applications such as juices and other beverages containing elderberry, and nutritional bars featuring elderberry, would likely entice the general public to fortify health via functional beverages and bars. That’s just the beginning.”

“Although we saw some overall decline in elderberry supplements in the immune health category,” says Kawa, she’s upbeat about the prospects for elderberry moving forward. She advises “there were pockets of growth in 2022, both in that [immune health] space as well as in some niche segments.”

Most notably, Kawa says, elderberry as the primary functional ingredient in lozenge form is up 17.6% to $11.2 million, according to SPINS’s U.S. brick-and-mortar-sales data.

Additionally, she adds that other niche segments are “cough syrups for children, including dietary supplements and homeopathic formulas; liquid drops for babies; and gummies for children and adults.” These areas “are trending segments for dietary supplements reporting growth for elderberry ingredients,” she shares.

As for Kreienbrink’s earlier point about fortifying consumer health with functional beverages, Kawa is seeing some new products marketed with a Supplement Facts Panel that lists elderberry—although not as the primary functional ingredient, and not marketed for immune health—still showing growth. These elderberry ingredients, says Kawa, “appear in superfruit and juice concentrates and green food powders where elderberry is used as an adjunct ingredient in superfoods formulas sold as dietary supplements.” She believes this represents yet another niche opportunity for ingredient suppliers and product manufacturers and retailers.

Kawa also presents another consideration for the industry as she’s seeing some supplements that include elderberry also highlighting what she calls “other hero ingredients,” such as vitamin C, biotin, honey, spirulina, melatonin, maca, and probiotics. She says in these cases, elderberry is a team player, rather than flagged as the primary, or only, functional ingredient.

Kawa’s also noticing some newer growth-driver chewable tablets that highlight probiotics and immunity where elderberry is featured as one of several ingredients.

According to Kawa, understanding where the growth trends are—something which SPINS tracks—is key for continued elderberry growth. “Consider what delivery forms and what trending functional ingredients could work synergistically with elderberry to support a specific health focus,” she recommends.

This could be another avenue for the elderberry market, she says. “Formulas with dual health focuses are becoming more noticeable this year, so perhaps we’ll see elderberry used in applications where immunity is paired with sleep, stress, digestive health, and so on,” Kawa adds.

Kawa isn’t the only person with trends to share and optimistic advice for the future of elderberry.

The Vitamin Shoppe’s Cohen says that “more supplement companies offer elderberry products than in the past, and there are also more delivery form options available as well, including soft chews, powders, and gummies complementing the capsules, tablets, and liquids.”

The Vitamin Shoppe itself offers elderberry products in a greater variety of brands and delivery forms than in past years, shares Cohen. He believes that “these delivery forms provide customers with more ways to fit elderberry into their daily lifestyle, contributing to greater acceptance.”

Cohen continues, reminding industry that “although elderberry is used by many as a year-round supplement for immune support, we have also seen increases in sales corresponding with customer needs for seasonal immune support.”

Kreienbrink agrees, stating that “as some time has passed, the overall fear and concern about COVID and similar related health issues moderated. But the market for elderberry will always be strong, especially during the fall and winter cold-and-flu season in the northern hemisphere and most especially for individuals in occupations that expose them to colds and flu and/or who have a compromised immune system.”

He’s also “very optimistic that the elderberry market will continue to grow, albeit at a more normal pace now that we have moved beyond the initial shockwaves of COVID.” He adds: “That said, elderberry will grow much more quickly than other supplements out there today, thanks to Gen Z consumers starting to take their immune health seriously, because they have no time to be sick and out of action. Gen Z will be looking for health assurance through supplements and exercise.”

And Rowe-Cerveny predicts, “Further research will continue to create new innovative product development and allow the category to expand and grow at a solid pace.”

“We are very optimistic about elderberry’s prospects in the near and far future,” says Rowe-Cerveny. “After all, elderberries have been used throughout the world as natural health remedies dating all the way back to 400 BCE. These little berries offer some big benefits, and [elderberry] has now moved into the mainstream consciousness and will remain there as a top-of-mind ingredient for immune health.”

And Majeed is no less optimistic. “I think elderberry is such a solid ingredient that we’ll see sales rebound from this slight post-COVID slump,” he says. “I don’t see huge growth numbers for the rest of this year and beyond, but I believe elderberry should attain solid single-digit growth for the next few years.”

That would be a true sign that elderberry has arrived and is here to stay.

Hennessy Jr., M. Small Gains Are Good Gains. 

Grebow, J.; Krawiec, S. Ingredients to Watch: The 2023 List. 

BGG Receives United States Pharmacopeia Award for its Work on Elderberry Extract. News release. BGG World; January 17, 2023. 

https://bggworld.com/bgg-receives-united-states-pharmacopeia-award-for-its-work-on-elderberry-extract/

SPINS Cross-Channel Data. Natural Channel + Multi-Outlet Sales for 52 Weeks Ending March 26, 2023.

Articles

Read why elderberry stakeholders believe this immune-health powerhouse can endure.

Elderberry sales are declining, but experts aren’t worried. Here’s why.

Waste occurs throughout the supply chain. According to the Natural Resources Defense Council, 40% of all food in the U.S. goes uneaten, and according to the Environmental Protection Agency, 95% of all food waste ends up in landfills, causing methane emissions during decomposition.

 The amount of food waste is so immense that some estimates state that reducing food waste by 15% could feed more than 25 million people every year. For the average person, reducing waste means things like eating your food before it spoils, composting, buying and using less plastic and paper products, as well as thrifting clothes and buying used furniture. For large-scale manufacturers, reducing waste is more difficult, but there does exist an economy for the transformation of waste products. And while some things like “ugly” produce are very edible and fit for consumption, not all waste is fit for human consumption—yet.

Upcycling, as defined by the Upcycled Food Association (UFA; Denver, CO), is the use of ingredients that would otherwise “not have gone to human consumption, [that] are procured and produced using verifiable supply chains, and have a positive impact on the environment.” As many of you will recognize, this is not a new concept. Angie Crone, UFA’s CEO, acknowledges as much.

“Communities have been doing this since time immemorial. Companies, in particular, have been looking at waste valorization for decades,” Crone explains to 

“Upcycling food…is an ancient tradition based on the philosophy of using all of what you have. It’s about doing more with less, and elevating all food to its highest and best use. That said, as we’ve become more removed from our food, most consumers are blind to the waste that happens.”

The shift from local to global economies has in many ways made upcycling less practical. A good example of this is the brewing industry and brewer’s spent grain (BSG). The malted barley used to brew beer is all but discarded once the beer is made. This was not always the case.

“Imagine a world where beer was very local, it wasn’t pasteurized, it wasn’t distributed to all of the world as it is today, and the BSG at the time was used as an ingredient in making bread,” explains Jacqueline Hochreiter, global director of sustainability for EverGrain (St. Louis). “So, it didn’t always get disposed of or go to waste. Fast-forward to the global food system, one in which we do see profit prioritized over sustainability, and the brewing sector reorganized itself to treat BSG as a waste product.”

Consumers buy their favorite six packs of beer and most of the time don’t even think about how it’s made or where it comes from. Similarly, dietary supplements such as herbs and botanicals, and fish oils, have a natural source from which they came, but the way in which they are consumed can create a disconnect for the consumer with the source material. Upcycling seeks to make the most of these resources, and the motivation to upcycle is growing.

“Growth [of upcycled food and beverage products] is being driven by both consumers who are becoming more aware of the food waste problem and supply chain vulnerabilities laid bare by the pandemic, and by food companies that recognize the waste produced during the food-manufacturing process,” says Crone.

And while upcycling is not novel, the standardization and the marketing behind upcycled products is relatively new.

Technological advancements have made upcycling possible where it previously was not. This has created an influx of upcycled products and ingredients that are eye-catching and noteworthy. However, it’s important to acknowledge forms of upcycling that have existed for some time, demonstrating that it is a sustainable business model both for company coffers and the environment.

The fish oil industry is a good example of this. The lay person may not realize that omega-3 fish oil is, for the most part, manufactured from a byproduct of the industry that makes fish meal, which is used as feed for aquaculture facilities. According to the National Oceanic and Atmospheric Administration (NOAA), aquaculture facilities raising fish and other animals feed them a diet that consists, at least in part, of fish meal and fish oil. While 25%-30% of the fish meal and fish oil comes from fish byproducts, “the rest comes from forage fish caught specifically for the industry, such as anchoveta from the Peru and Chile fishery, the most popular fish caught around the world.”

NOAA states that in 2016, 12% of the global fish catch was reduced to fish meal and oil, with 70% of that going to aquaculture. When it comes to the omega-3 fish oil industry, manufacturers will buy the crude oil pressed out of the fish meal and process it further to raise the levels of EPA and DHA omega-3 fatty acids and make it acceptable for human consumption. While this is now a standard practice, there was a time when most of this oil was simply burned for energy because it did not have the same applications it does today. Brands like VivoMega (Kristiansund, Norway), which is part of the GC Rieber Group, take a crude fish oil that, best-case scenario, has an omega-3 content, including EPA and DHA, of 30%, and concentrate it to 85% total omega-3s.

Since the omega-3 fish oil industry is so well established thanks to brands like VivoMega, crude fish oil is no longer a byproduct but a side stream. “We call them side streams because they have value. We can apply them to the food chain again,” says Simon Riise, business development and sales manager at VivoMega. “It’s a not a definition question, more of a perception, a thinking around sustainability and how we incorporate that into our operation. It helps when you change how you name the products, perceive the utilization of them.”

Riise points out that while raw material utilization is a huge aspect for brands like VivoMega to reduce waste, there is a bigger picture to consider. For example, while, yes, the company uses what it calls a side stream of another industry, it is still the company’s responsibility to ensure that the crude was made from fish sourced by environmentally conscious fisheries but also that the quality of the crude is up to par. “That has been one of our strengths over time,” Riise explains. “We have worked very closely with specific producers in South America to apply our knowledge in terms of what we need of an oil and to support them through quality systems and improve the quality of the oil so that it can meet the standards for human consumption and the best-possible-quality oil fit for purpose.”

From there, the crude needs to get to the company’s facility. For this, VivoMega uses vessels that take the bulk crude to its facility located right on the coastline, replacing some 30 truckloads of goods. This same facility then utilizes seawater from the coast to cool its machinery and then repurposes that steam for energy. Of course, the concentration of the crude oil leaves behind its own waste, which VivoMega also repurposes, with two-thirds going back to the food chain as either feed for aquaculture or as fertilizer in agriculture. The remaining one-third can be used as biogas. All the while, 75% of these side streams are sold locally, offsetting carbon that would have otherwise been emitted during shipping.

What all this demonstrates is that upcycling a waste product is only one aspect of sustainability. It’s important to create a system of efficiencies that justify the resources required to make a different product. Does it make sense for what Riise calls the “triple bottom line”: the people, the planet, and profits?

Fisheries are just one of many industries that utilize millions of tons of natural resources and therefore produce millions of tons of waste. The brewing industry, mentioned earlier, is another one, which creates millions of tons of waste with BSG, a byproduct that typically either goes on to be used as animal feed or is disposed of in landfill. It also presents a major opportunity for brands who are willing to invest in research and development to devise ways to upcycle the byproduct. BSG is rich in fiber and protein, therefore very nutritious, but it’s also highly volatile and susceptible to bacterial growth. So how do you stabilize it and scale production to create a viable product?

EverGrain, which is an AB InBev company, has figured out how to make a high-quality protein from the BSG left behind from its brewing. The company has been working on the extraction technology to turn BSG into EverPro, a high-quality protein with a great deal of versatility, since 2013. Recently, EverGrain opened its first full-scale facility collocated with AB InBev’s St. Louis brewery.

According to Hochreiter, taking one brand’s BSG out of the 400 brands and 200 breweries the company owns, EverGrain is able to process 7,000 tons of protein in that one facility. This helps avoid a third of a trillion pounds of food waste every year when at full capacity. A life cycle assessment also found that EverGrain is responsible for five-times-lower carbon emissions than animal-based protein, 20-times land use avoided, as well as the lowest water usage compared to other proteins, plant or animal.

“The implication for the company is not so much decarbonization of the corporation, because we’re actually adding incremental carbon even though it’s very low; it’s more about the carbon avoided vis-à-vis the consumer choice today,” Hochreiter says. The company is reducing huge amounts of waste while also providing consumers with an alternative source of protein that is not only high-quality but less resource-intensive compared to other forms of proteins.

Of course, EverGrain is not the only company to see the value in BSG. ReGrained, for example, is taking BSG and turning it into consumer packaged goods such as baking mixes, puffed snacks, pastas, and bars that tout high fiber content as well as sustainability. Given the amount of BSG that leaves the brewing industry, the potential for innovation and new product development is high.

Other potential resources for upcycling are cacao fruit and cascara.

The chocolate industry is huge, and because of this cacao fruits are among the most-harvested yet most-discarded fruits on the planet since they are just harvested for the bean. According to Crone at UFA, every year 14 million tons of cacao fruit are harvested to make chocolate, and because the bean only makes up 30% of the fruit, 70% of the cacao fruit is thrown away, creating 10 million tons of waste. The discarded parts of the fruit are not without value as they are highly nutritious with antioxidants, electrolytes, fiber, calcium, and other nutrients. As such, major chocolate brands such as Nestlé, Barry Callebaut, and Hershey’s have already either launched or invested in products made from upcycled cacao fruit.

Crone also points to the massive opportunity for upcycling in the coffee industry. “Coffee is made from the seeds inside a coffee cherry, and cascara is the outside of the coffee cherry. For every 2 tons of coffee cherries harvested, 1 ton of cascara is discarded,” she explains.

One brand, called Riff, has developed immune-boosting energy drinks using the discarded coffee fruit. According to a white paper published by Riff in partnership with Oregon State University in June 2020, during the 2018/2019 growing season coffee production hit 24 billion pounds of coffee, with an estimated value of $48 billion. The coffee beans used to make this coffee were harvested from 120 billion pounds of coffee cherries, nearly 100 billion pounds of which was discarded, including 58 billion pounds of nutrient-rich coffee fruit.

Where there is massive industry, there is massive food waste, and there is awareness both internally and externally of the scale of the problem as well as the need to solve it. Luckily, progress is being made to reduce this waste through upcycling.

“The biggest areas of waste in many cases represent the largest opportunities, so we do feel the biggest offenders are being tackled,” says Crone. Of course, upcycling is not easy nor cheap. The technological innovation involved as well as the economies of scale required to reduce production and input costs are some major hurdles. Major companies like AB InBev have the capital to invest in creating value from their own waste streams, but so much of the push is being made by small startups “that might not have the capital for infrastructure and necessary R&D,” says Crone. As a result, these upcycling startups rely on government grants and private investment to push forward.

Additionally, success of these upcycling initiatives is only as good as the consumer awareness and acceptance. One of the biggest challenges for EverGrain, for example, says Hochreiter, is “perception and inertia in the food system.” Getting people to accept new ingredients into their diets can be very challenging, even if the ingredients are based on an ancient grain such as barley. Education is important, and leveraging upcycling as a selling point can be a great way to convince consumers. That’s where groups like the Upcycled Food Association come in.

Many consumers might be practicing upcycling in their personal lives by buying things secondhand or repurposing discarded items to make something new. This allows them to reduce the waste they produce while also being creative and saving money. Therefore, consumers are receptive to seeing upcycled food products in their grocery stores. To some, seeing an upcycled product on the shelf may be an introduction to the concept, increasing awareness among consumers who may not have thought about the environmental impacts of their favorite coffee or chocolate products. However, consumers can also be naturally skeptical of product claims, especially if they notice a trend in the marketplace.

“The Upcycled Certified mark removes the education burden from individual companies, is a powerful tool for brands to convey transparency and credibility to consumers, and unites both companies and consumers behind a vision,” explains Crone. “We know that there can be no confidence in sustainability claims without transparency. Transparency requires product attributes such as clear labeling, certification by trusted third parties, and company attributes like access and trust.”

The Upcycled Food Association’s Upcycled Certified program requires that products meet a minimum threshold of upcycled inputs—namely, 10% for products and 95% for ingredients. These products must also indicate what inputs were upcycled. Transparency is key here.

“We encourage companies and retailers, like they would with any other product, to underscore the sourcing or production story of a particular ingredient or product to grab the consumer’s attention and increase their trust,” says Crone. For added transparency and rigor, the Upcycled Food Association partners with an independent third-party certifying body called Where Food Comes From, which administers the standard’s verification process. Where Food Comes From has worked with other well-known certifications like Organic and Non-GMO, says Crone.

So far, 374 products and ingredients are certified by the Upcycled Food Association. “The Upcycled Certified mark de-risks greenwashing from individual companies, is a powerful tool for brands to convey transparency and credibility to consumers, and unites retailers, companies, their supply chain partners, and consumers behind a vision,” says Crone.

Food Waste: The Big Picture. Harvard T.H. Chan School of Public Health. Accessed April 20, 2023. 

https://www.hsph.harvard.edu/nutritionsource/sustainability/food-waste/

Removing Fish From Fish Diet for Tastier, More Sustainable Aquaculture. National Oceanic and Atmospheric Administration Fisheries. September 29, 2020. Accessed April 20, 2023. 

https://www.fisheries.noaa.gov/feature-story/removing-fish-fish-diet-tastier-more-sustainable-aquaculture#:~:text=The%20ingredients%20often%20come%20from,percentage%20is%20expected%20to%20increase

Here’s how food companies and ingredient suppliers are adding value through upcycling.

Opportunities for upcycling abound with food waste pervasive across the industry

Are prebiotics finally ready to move out from under the shadow of their better-known cousin, probiotics? Is this their moment?

Vaughn DuBow, global director of marketing, microbiome solutions, at ADM (Chicago), points to recent market research showing that probiotic sales have soared—but that prebiotics have kept a close pace. According to DuBow, “This data predicts that the total business-to-business global microbiome segment, which includes prebiotic and probiotic ingredients for foods, beverages, and dietary supplements, will have a CAGR of 8.6% during 2022-2027.”

Focusing on prebiotics specifically, FrieslandCampina Ingredients’ (Amersfoort, The Netherlands) Sophie Zillinger Molenaar, global marketing lead for Biotis, says, “The global prebiotics market is looking bright,” with some, she adds, predicting a CAGR of 14.9% between 2022 and 2030.

 That would bring the global market for prebiotics to $21 billion by 2030, an impressive bump from $6 billion in 2021. And while that’s still a far ways away from the estimated $73.9 billion global market for the granddaddy of biotics, probiotics, consider that the CAGR for probiotics is lower compared to the CAGR projected for prebiotics during the similar period.

Even though prebiotics currently own a smaller share of the biotics pie, their star is rising fast.

The difference in dollars today doesn’t deter Clasado Biosciences’ (Berkshire, UK) CEO Per Rehné, who reminds us that “since we are starting to see prebiotics featured more prominently in mainstream food and supplement products, and because it’s growing so rapidly, it’s easy to forget that the category is still relatively new to the market.”

But it’s not just the sales figures that spark confidence. It’s also consumer recognition about the health benefits of the gut microbiome.

For example, Denisse Colindres, manager, nutritional communication, North America, for Beneo (Parsippany, NJ), says, “COVID may be partially responsible [for the growth of the prebiotic market] as it brought to the forefront how prebiotics and digestive health are directly related to strengthening the immune system.”

She notes that “whereas pre-COVID, in 2018, 43% of consumers in the Americas were extremely interested in prebiotics, the share increased to 61% in 2022.”

That’s a trend Colindres expects to continue “as more and more consumers are recognizing the importance—and positive impacts—of a healthy diet and exercise [to] help to support good health and well-being.”

DuBow says the growth “is driven by increased interest in gut microbiome–supporting solutions at a time when 76% of global consumers recognize a link between their digestive and overall health.”

And like Colindres, DuBow believes that “consumers are increasingly focused on long-term wellness, with many considering digestive health support as key to a more proactive approach to well-being.”

Moreover, globally, 68% of consumers say they are interested in products that address digestive health, even when they are not experiencing concerns, says DuBow.

But there are some potential roadblocks. The biotics category can be a confusing scientific discipline for consumers.

According to the Global Prebiotic Association’s (GPA) website, there is some debate, even among industry insiders, as to the definition of a prebiotic—as well as the relationship between prebiotics, fiber, and probiotics, and the agreed assessment of health benefits.

However, debate can be a positive thing when an industry is looking to push a category segment towards greater growth. That’s why GPA’s perspective is a good one. As a category still in its adolescence, the opportunity is there to define and educate. And there is a role for trade associations to help shape the future market.

As one would expect, GPA didn’t end its website statement on a down-note. Instead, the association places the anticipated success of the prebiotic market in perspective: “It is clear...that like probiotics not too long ago, there is consumer, practitioner, and industry confusion; there is emerging science; and there is significant category growth and opportunity.”

GPA is run by Len Monheit, executive director of the growing trade association and also the CEO of the Industry Transparency Center (ITC), a strategy and insights firm in the health ingredients and natural products space. GPA, founded in 2017, now has over 40 members representing every aspect of the global prebiotic industry, including five new members added earlier this year.

When probiotics hit their stride, George Paraskevakos, executive director of the International Probiotics Association (IPA), was well positioned to represent probiotic companies, having incorporated the association some 20-plus years ago as a nonprofit organization. The association’s mission is “to promote the safe and efficacious use of probiotics throughout the world.” Now, with an announcement earlier this year that IPA is expanding its scope to include prebiotics, postbiotics, and synbiotics, Paraskevakos is looking to do the same for the other biotics.

According to an IPA press release, the association’s expanded scope is part of the organization’s strategy to help the biotics industry grow in response to market demands and strengthen its ownership within the biotics categories.

Paraskevakos says, “The structure and approach of IPA over the past 21 years advancing probiotics has set [a] successful framework for advancing the other biotic categories. IPA’s research determined that the industry is confused, and consumers are even more confused.”

A key part of IPA’s strategy is the notion of being “better together.” According to Sandra Saville, education and communication director for IPA, “Just as probiotics and the other biotics are consumed and take effect within the body, they are not acting alone as a separate entity; they work together to support health.”

IPA’s vision of biotics working better together in the human body could also be seen as an umbrella approach for strengthening the organization’s membership-expansion goals by offering broader protection.

GPA and IPA are also competing for members with at least some, if not all, of the “five families”—the American Herbal Products Association, the Consumer Heathcare Products Association, the Council for Responsible Nutrition, the National Products Association, and the United Natural Products Alliance—a situation perhaps not unlike prebiotic suppliers and manufacturers seeking market share from the category.

Do Consumers Know About Pre- and Other Biotics?

Beneo’s Colindres says, “We believe the average consumer who is focused on a healthy lifestyle generally knows what a probiotic is and is starting to hear more about prebiotics, but knowledge is very limited so far.” Furthermore, she adds, when it comes to postbiotics, that’s an entirely new concept that most consumers are not keenly aware of as postbiotics are generally not found in foods/beverages and are relegated, at this point, to supplements.

However, says Colindres, a Mintel consumer survey from 2021 indicated that nearly one-third of respondents understood the difference between prebiotics, probiotics, and postbiotics. As the sample included consumers who had taken an OTC supplement to manage digestive health in the past 12 months, she says it can be assumed “that consumers who are proactively looking for solutions to support their digestive health are already more educated in this field.”

Traci Kantowski, communications director for GPA and ITC, explained that “digestive support is the gateway to prebiotics for most people—those benefits are understood, and there is lots of science to support this area. It’s also the top-listed reason supplement consumers say they take prebiotics (29%) and probiotics (45%).”

“In the past couple of years,” Kantowski says, “we’ve also seen increasing science and understanding of immune health benefits—28% of prebiotic supplement consumers and 30% of probiotic supplement consumers say they take the products for this reason. And the body of evidence supporting the gut-brain connection is growing especially with the connection to stress/coping.”

Kantowski further advises that the consumers surveyed want information on how and when to take the products and to understand the similarities and differentiators. “Specifically, for prebiotics,” she says, “we are seeing increasing discernment. They are looking for specific prebiotic types.”

Beneo counts among its ingredients Orafti inulin and Orafti oligofructose, plant-based chicory-root functional-fiber prebiotics, which, says Colindres, are officially on the list of approved dietary fibers published by FDA.

“To extend the knowledge about prebiotics and their beneficial effect on consumers, we see it as a crucial aspect for manufacturers to communicate the advantages that prebiotics bring on-pack,” says Colindres.

“There isn’t a single silver bullet for ensuring long-term growth in prebiotics,” notes FrieslandCampina’s Molenaar. “Format, efficacy, scientific research, and consumer openness all have a role to play here,” she emphasizes.

“That said, innovation in delivery methods indeed has a critical part in success,” according to Molenaar. She explains that a product isn’t likely to take off if it doesn’t meet consumers’ consumption needs, regardless of how effective it is. She further suggests that “when it comes to gut health, we’re still witnessing continued growth in convenience and on-the-go formats like ready-to-drink applications.”

That’s not all. Molenaar shares that “we’re also seeing more people interested in supplements, especially gummies, as these can be easily incorporated into a daily routine. Some people find that a sweet gummy in an appealing flavor is easier to remember [to take] than a tablet or drink.”

With innovation in mind, last June FrieslandCampina expanded its Biotis portfolio with the addition of Biotis GOS-OP High Purity. “Historically, prebiotic tablet or gummy formulations have proven a challenge due to the high doses of the active ingredient needed to provide an effective solution,” says Molenaar. The product addition helps brands overcome this challenge, says Molenaar, thanks to Biotis GOS-OP High Purity’s unique patent-pending process and high concentration (at over 90%) of galacto-oligosaccharides. She says that research has shown that High Purity GOS can be effective at doses as low as 2 g.

This product introduction “is a significant development for prebiotic supplement innovation, as it means less product is needed to deliver health benefits and the ingredient can be formulated into smaller, trending formats that appeal to a wide range of consumers,” states Molenaar.

Clasado’s Rehné agrees that “the versatility of prebiotic fiber is an enormous influencing factor in market growth because it widens the range of functional products that can be formulated with prebiotics. As a substrate, prebiotics, such as our own Bimuno GOS, are stable across a wide range of pH and very heat stable—all part of modern manufacturing processes.”

This stability gives formulators an advantage, he says, providing them with more options when it comes to new product development and delivery methods. “For example,” says Rehné, “we are seeing new categories emerge alongside dietary supplements, such as prebiotic cereals and yogurts.”

Choice and convenience are among the expectations of today’s consumer, he adds.

Versatility Is Another Key to Market Growth

“While more consumers are turning to health-forward products, they will not settle for formats that don’t fit their individual lifestyles,” claims ADM’s DuBow.

He adds that “consumers are demanding products, like gummies and convenience foods like muffins, sipping broths, bars, etc., that support their distinct experiences and are an enjoyable addition to their daily routines.”

For his customers, DuBow suggests that “brands that can bridge this gap and provide tailored, convenient products that incorporate prebiotic fiber and meet high sensory expectations will capture consumers’ attentions from all walks of life. And incorporating prebiotics into food offers consumers greater flexibility to easily include prebiotics in their diets, especially among those who prefer food to supplements.”

ADM/Matsutani LLC’s Fibersol, a prebiotic dietary fiber, is “a notable example of a pioneering solution disrupting the marketplace and opening doors for innovative delivery formats,” states DuBow. “Due to its high solubility, low viscosity, clarity, and heat, acid, shear, freeze, and thaw stability, Fibersol can be used across categories, including dietary supplement gummies, baked goods, snacks, beverages, frozen treats, and more.”

Fibersol is also “a fantastic complementary ingredient for reduced-sugar foods and beverages,” says DuBow, noting that’s a quality that health-conscious consumers are also likely to seek when making functional product purchases.

“A recent poll of respondents in North America found that 26% indicated that food was their preferred delivery option for prebiotics, while 33% indicated that beverages were their preference,” shares Colindres. The poll showed that 32% preferred nutritional supplements, while 9% said they had no preference.

 “That shows that every delivery method has its justification, and consumers expect a range of delivery formats,” she says.

“It’s interesting to note in terms of the availability of fiber supplements, they have traditionally come in the form of tablets and tubs of powder,” muses Colindres. “However, fiber gummies have been growing more and more in recent years. Now we see prebiotic claims on many of them, and even on tablets and tubs.”

She points to individual sachets containing prebiotic fiber as additions to the market in recent years, noting they can be easily added to coffee, yogurt, smoothies, or just water. Says Colindres, “We expect that these additions to the prebiotic fiber market will continue to educate consumers, while packaged foods/beverages will also continue to increase prebiotic messaging, thus information, to a wider audience.”

New Deals, New Emphasis for Category Growth

In January, Clasado Biosciences announced a new distribution agreement with Stratum Nutrition (Carthage, MO), giving the latter exclusive rights to distribute the Clasado prebiotic ingredient, Bimuno GOS, in the U.S. and Canadian markets.

In a joint press release, the companies announced that the distribution agreement would provide Bimuno GOS with “a robust distribution channel for functional foods and beverages as well as health and nutrition brands.”

Frederic Narbel, DBA, vice president of B2B sales at Clasado, said that “with a focus on unique ingredients combined with their outstanding technical and market expertise, Stratum is an ideal partner to supply our prebiotic ingredient.”

According to Stratum CEO Micah Osborne, “We are in the age of gut-health innovation, and the commercial potential of prebiotics is significant. Their stability also makes them suitable for a wide range of applications. No longer are they exclusively used in supplements but increasingly in functional food and beverages. We are pleased to add Bimuno GOS to our ingredient portfolio as it aligns with our scientific values, and we look forward to supporting our customers in formulating their own prebiotic product ranges.”

Alexis Collins, director of product and brand strategy at Stratum Nutrition, says, “The timing of our relationship with Clasado for Bimuno GOS could not be better [as] we are seeing great interest in the industry for digestive-health biotic ingredients that can be incorporated into various delivery formats.” So, for example, she points out that a brand that started with capsules but would like to expand their formulation to powders, gummies, bars, and drinks can carry Bimuno GOS through all these concepts, retaining benefits and claims while catering to an end consumer that is becoming more and more aware of the gut-brain axis and increasingly wants to consume their supplements in different ways.

Beneo believes that “supply security and sustainability can go hand in hand” toward market growth and helping the planet. Last November, Beneo announced it is increasing global capacity for its prebiotic chicory root fibers by 30% with a $88.9 million investment into its production plant in Pemuco, Chile. Not only will that investment deliver a secure supply of chicory root fiber, it will support sustainability efforts as Beneo’s capacity increase is accompanied by steps that allow it to reduce specific energy consumption by 35%.

Can Prebiotics Surpass Probiotics, or Are They Better Traveling Together?

IPA’s Saville says, “Within the industry, [the biotics] are increasingly researched together and formulated together as probiotics, prebiotics, and postbiotic combinations within products to support health. We are learning new and exciting discoveries with co-formulations among the biotic ingredients.”

“There are trillions of microorganisms in each individual at any given time, and these microorganisms comprise one’s microbiome. Thus, it’s important to ensure that beneficial bacteria are supported with optimal conditions to grow,” says DuBow.

He explains that while both prebiotics and probiotics confer a benefit for people by modulating the gut microbiota, “prebiotics are substrates (food components) that bacteria utilize, and probiotics are live microorganisms. This is also what makes them incredibly complementary.”

And DuBow likes the performance of the biotics working in concert. “The true trifecta is then bringing together prebiotics, probiotics, and postbiotics, with each solution complementing each other to support tailored wellness targets,” he says.

“Moreover,” adds DuBow, “combining multiple biotic solutions into one product can help support the personalized experience consumers are gravitating toward.”

One recent combo concept from ADM combines Fibersol with the company’s heat-treated postbiotic version of BPL1 

 a spore-forming probiotic, into a “Tri-Thai Sipping Broth Powder.” Just add water, says DuBow, for a delicious and convenient way to support a variety of wellness goals, with the support of a prebiotic, probiotic, and postbiotic.

Kristin Wilhoyte, global director of product marketing at ADM/Deerland, shares another example. She says that “PreforPro can function in both the small and large intestines and is not affected by the competing nutrients of varying gut environments. As such, PreforPro can work with a broad array of probiotic species to support the growth of healthy bacteria, leading to formulation versatility with different probiotics for a multitude of dietary supplement solutions. Plus, when combined with probiotic strains, PreforPro has shown to have the potential to support the GI tract, further helping to support consumers’ evolving wellness demands.”

Colindres concurs that “applications that combine probiotics with prebiotics appear to resonate with consumers.” She says that there is a market for both standalone and synergies when targeting the gut microbiome.

“Synergistic effects of pro- and prebiotics have been studied, and these interactions can be interesting in some applications,” declares Colindres. “Also, the combination of different prebiotics could be of interest when looking at the type of metabolites they produce and the resulting health benefits that are created.”

How much do consumers need to understand about the biotics and their workings to lean in to the biotics-combo products?

Molenaar believes that “awareness is improving among consumers. And even if some people don’t fully understand the clinical differences of pre-, pro-, and postbiotics, the message that good holistic health starts in the gut is coming through loud and clear. Consumers are increasingly turning their focus to their gut, and that will be key to unlocking further growth in prebiotics.”

According to Rehné, “The most prominent characteristic that consumers, and therefore health and nutrition brands, look for is scientific evidence of a health benefit. In today’s commercial world, consumer trust is harder to win and easier to lose, and shoppers want to know that the products they choose are backed by strong scientific principles.” Rehné claims there are over 110 scientific publications supporting the efficacy and safety of Bimuno GOS, including its effects on gastrointestinal, immune, and cognitive health.

So where does he think the science—and thus, the market—is heading? “From our perspective, there are two formulation paths that stand out as the market matures,” says Rehné. “The first is as a dedicated standalone supplement with prebiotic fiber as the main value proposition. There is real market momentum, and consumers are actively looking for gut health support, which makes it an ideal time for health and nutrition brands to explore prebiotics,” he reflects.

The second, he says, is synbiotics. According to Rehné, “The International Scientific Association for Probiotics and Prebiotics (ISAPP) formally defines the [synbiotic] category as ‘a mixture comprising live microorganisms and substrates, selectively utilized by host microorganisms to confer a health benefit on the host.’”

For Rehné, that means “in essence a combination of prebiotics and probiotics in one product.” To take it one step further, he states that “notably, under its formal definition, each element must independently provide a health benefit, and each dose must be adequate to independently achieve those benefits. Synbiotics are growing at speed.”

FrieslandCampina’s Molenaar calls Biotis GOS “the most researched galacto-oligosaccharide in the world with an abundance of supporting evidence showing its efficacy in supporting gut health.”

But Molenaar, like others in the industry, is “looking beyond gut health in the traditional sense.” For example, she says there are emerging studies into the beneficial impact of prebiotic supplementation on brain and muscle health. She points to “one study [that] showed Biotis GOS could help reduce anxiety symptoms in young women.

 This area of the gut-brain axis is an interesting one, and more research is needed, but early results are very promising.”

“We’re also currently researching the effect consuming prebiotics has on athletic performance through the gut-muscle axis. This is another emerging area of research and one we’re watching closely,” advises Molenaar.

Like his industry and company colleagues, John Deaton, PhD, vice president of technology at ADM/Deerland, recognizes “the consistent evidence demonstrating that prebiotics support the growth of good bacteria.” He adds that “by enhancing the beneficial bacteria of the gut microbiome, prebiotics may, in turn, help support digestion, regularity, immune function, and more.”

“Certain prebiotics, particularly those that are fiber-based, may also be helpful in other areas,” he says.

One area that intrigues Deaton is the “ongoing research investigating the potential for prebiotics to help support the growth of good bacteria in other areas beyond the gut, such as the skin microbiome.”

In addition, Deaton says, “There is also a growing body of evidence related to the connection between the gut microbiome and different areas of wellness, such as the brain, sleep, and stress, as well as women’s health. As prebiotics help good bacteria flourish, new research is demonstrating the potential for certain prebiotics to support these emerging areas.”

As for Colindres, she shares that Beneo’s prebiotic chicory root ingredients—inulin and oligofructose—have been subject to more than 20 years of prebiotic research. She says, “The strongest science [for chicory-derived prebiotics] is in digestive well-being, calcium absorption and bone health, blood glucose reduction, energy intake, and weight management.”

A recent systematic literature review with meta-analyses demonstrated that chicory root fiber intake (starting at 3 g/day) promoted significant growth of 

 in the gut microbiome in all age groups and improved bowel function parameters.

According to the company’s press release, the systematic review with meta-analyses is the first study of this kind, based on randomized, controlled trials, that has investigated the effect of inulin-type fructans derived from chicory root on 

 abundance in gut microbiota and health-related outcomes. The published study included 50 human intervention studies, with 2,495 participants.

These days, Colindres is watching for emerging science on chicory-derived prebiotics for immune health, inflammation, metabolic health, mood, cognition, stress, and anxiety.

And the area of the gut-brain axis is booming, says Colindres. “Prebiotic chicory root fibers have been found to improve stress and anxiety and improve cognitive flexibility. More human trials are currently being done to explore this axis in more detail, and it is exciting to think that we can improve our mood and be calmer by taking good care of our gut with prebiotics,” she states.

Colindres points out another area where “we also see that a key to the growth of the prebiotic market will be the research and advancement of science that show how prebiotics affect our gut microbiome and how bacterial metabolites and SCFA (short-chain fatty acids) interact and communicate with the immune system, nervous system, hormonal system, etc. Those ingredients that have science to prove their benefits will have a clear advantage in the market.”

Rehné, too, confirms that the science around prebiotics is currently strongest in the area of gastrointestinal health but agrees with his industry colleagues that “there is also rapidly developing potential in supporting immune function. With around 70% of the immune system residing in the gut, it’s no surprise that the gut microbiome is an important area of focus in supporting the body’s natural defenses.”

He’s another executive that’s geeking—in a good way—on the “future market direction of mental and cognitive health” for prebiotics. Rehné observes that “the gut and brain have bidirectional communication, known as the ‘gut-brain axis’. While there is further exploration to do, there is clear potential to support mental health through a well-supported gut microbiome.”

“As the science behind the category develops and we get a better understanding of how dietary fiber interacts with health and wellness through supporting gut microbiome health,” asserts Rehné, “new paths are opening up for formulators, and it’s clear that prebiotics are presenting substantial commercial opportunity.”

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