Having a health and wellness business is not only rewarding but can be extremely profitable. The global health and wellness industry is estimated to be worth somewhere around $5.5 trillion. The sector is expected to grow by over 3% each year for the foreseeable future. Entrepreneurs thinking about starting a business in the health and wellness sector will not have a shortage of people interested in their products or services.
However, identifying the ideal target market is crucial for success in this type of business. As society becomes more health-conscious, tapping into the right niches can be both lucrative and fulfilling. While the industry’s diversity means there are countless potential customers, it’s beneficial to zero in on specific groups. In this article, we’ll look at some of the best target markets for a health and wellness business. But first, let’s take a look at what a health and wellness business actually is.
What are Health and Wellness Businesses?
A health and wellness business is any business that focuses on providing products or services aimed at enhancing individuals’ physical, mental, and emotional well-being. These businesses often look to improve their customer’s quality of life. This could be through fitness programs, nutritional guidance, mental health services, and wellness products.
Here are eight examples of health and wellness businesses:
- Fitness centers and gyms
- Health and wellness spas
- Foods and snacks focused on health
- Health and wellness apps
- Supplements
These are just a few different types of health and wellness businesses that exist. However, there are many more that would fall into this category. Now let’s take a look at the ideal market for these types of businesses.
1. Millennials Prioritizing Health
The International Food Information Council Survey reports that Millennials say they are more concerned about eating healthier than other generations (65% as compared to Gen Z’s 50%, Gen X at 53%, and Baby Boomers at 50%). This means that Millennials usually represent a larger share of the consumer base that is looking for health and wellness products to help them improve their lifestyles.
One reason for this shift is their exposure to information online. This has made millennials more aware of the benefits of a balanced life. They are more likely than previous generations to view health as an amalgamation of mental wellness, physical fitness, and proper nutrition.
Because of this, businesses that offer services or products addressing this broad view of health are more likely to capture the millennial market. To cater to the health-conscious millennial, think about selling products with natural ingredients. You may also consider merging physical fitness with mental wellness. All of this will help draw in this audience towards your business.
2. Baby Boomers Navigating Aging Gracefully
Even though it seems like Millennials are more health-aware than other generations, Baby Boomers are another great target audience to pursue. Typically born between 1946 and 1964, are a generation that cannot be overlooked. As they advance in age, they are looking for ways to stay healthy and maintain their vitality. Although longevity is a focus for Boomers, many are really looking for ways to enhance their quality of life.
Health and wellness businesses that provide supplements, functional foods, anti-aging skincare, and low-impact fitness should find a way to appeal to Baby Boomers. They are also increasingly embracing technology, so targeting them online is becoming easier for brands.
Keep in mind that this demographic has significant purchasing power. This means that offering exceptional, premium, products at a higher price point won’t scare them off. The key is to create and sell products that do what they claim and help Boomers live longer and better.
3. Athletes Seeking Performance Enhancement
The sports and athletic community is an evergreen market in the health and wellness sector. From casual runners to elite athletes, there’s a constant search for products and services that can boost performance, aid recovery, and prevent injury. This segment is particularly interested in nutritional supplements, protein powders, physiotherapy, massage, and recovery technologies. This is also a great market for trainers and coaches.
Also, the definition of an “athlete” has expanded. It no longer refers only to those competing in professional arenas. With the rise of local marathons, community sports leagues, and fitness challenges, everyday people push their physical limits and seek the same resources that elite athletes do. Catering to this broad spectrum can be immensely rewarding for businesses, especially when they highlight the science and evidence behind their offerings.
Image by prostooleh on Freepik
4. Corporate Employees Needing Stress Relief
The corporate world, with its demanding schedules and high stress, is a fertile ground for health and wellness businesses. Many studies highlight the adverse effects of prolonged sitting, workplace stress, and the overall sedentary nature of desk jobs. As a result, there’s a rising demand among professionals for solutions that counteract these issues.
Opportunities here are vast. They range from ergonomic office products to mindfulness meditation apps designed for short breaks. There’s also a surge in demand for corporate wellness programs, where companies contract experts to offer in-house fitness sessions, nutritional advice, and mental health resources. By positioning services or products as solutions to boost productivity, reduce sick days, and improve overall employee well-being, businesses can make significant inroads into the corporate sector.
5. Parents Prioritizing Family Health
Parents form a significant market segment. Today’s parents are more informed and proactive about their children’s health and well-being than ever before. They seek organic baby foods, engage in early childhood fitness programs, and are willing to invest in anything that promises a healthier future for their children.
Products that eliminate harmful chemicals, services that promote childhood mental health, or educational resources teaching kids about nutrition are all in demand. When marketing to parents, it’s essential to emphasize safety, long-term benefits, and the potential for fostering good habits early in life.
6. Individuals with Specific Dietary Restrictions or Preferences
Although the data isn’t clear, many scientists believe there has been a rise in food allergies in recent years. The Food Allergy & Anaphylaxis Network estimates that about 4% of the US population—about 12 million people are allergic to peanuts, tree nuts, fish, or shellfish. However, it is believed that for every person that reported, there are two or three that did not. Meaning that number may be much higher. Also, in the UK, for example, hospital admissions for food allergy have increased by 500% since 1990.
As a result, many people have decided to avoid foods with certain ingredients like gluten, peanuts, or seafood. There are also more people who change their diets due to personal choices or cultural beliefs.
This market segment creates an opportunity for any business in the health and wellness sector. Businesses that create snacks, meals, or supplements can serve this market. The business can either add a line of products that meet this market’s needs or the business could also exclusively cater to this audience. For people with dietary restrictions, it can be hard to find their favorite food flavors without risking having a reaction. Health and wellness businesses that meet this need may be able to capture life-long customers.
7. People With Past or Current Health Concerns
People with past or current health concerns represent a significant segment in the health and wellness arena. Their firsthand experience with health challenges often moves them to look for solutions that will help their current health challenges or prevent recurrences of their past ones.
This target group is more likely to be proactive and not reactive. This means they will be more active in looking for ways to help their health situation. They will be more receptive to preventive health measures, specialized fitness programs, dietary supplements, and alternative therapies.
Because people with past or current health issues have probably spoken to a licensed medical professional, they’re usually well-educated or have done their research. This means they will be more discerning than some other customers. Whatever health claims you make, it is best to highlight evidence-based information that can be verified.
8. Individuals Who Are Generally Unhappy with Their Current Well-being
If you want to broaden your market, another target to pursue are people who are just unhappy with their well-being in general. The reason why they are not happy with their well-being doesn’t necessarily need to come from any particular health-related concerns. They could just want to be in better health for other, more personal, reasons.
These individuals are usually willing to experiment until they find what works for them. This means they are not just looking for quick fixes. Instead, they’re looking for sustainable, lifestyle-changing solutions. These individuals are a great target market for a spa that focuses on health and wellness due to the fact that visiting a spa may become a consistent wellness habit.
Their genuine eagerness to find a path to better health can translate into loyalty to brands or services that offer real solutions.
Conclusion
The health and wellness industry is vast and varied. While the opportunities are abundant, so is the competition. By targeting specific markets like the ones mentioned above, businesses can tailor their approach. This will make sure that they meet the unique needs of their audience. Each group presents its own set of challenges and opportunities. Businesses that understand these nuances are best positioned to thrive.
Also read:
6 Target Markets for a Soap Business
Understanding the Types of Target Markets
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