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Formulating for Success: Strategies to Gain an Edge in the Nutraceutical Industry

Bringing next-generation nutraceuticals to life requires purposeful innovation.

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By: Meeta Kratz

VP/GM Americas Region, Lonza Capsules and Health Ingredients (Lonza CHI)

Photo: Saravuth | AdobeStock

An estimated one in four people worldwide take dietary supplements daily or almost every day, according to Euromonitor data from 2020. As more consumers embrace health and wellness, the opportunity to disrupt the nutraceutical industry with purposeful innovation is immense. However, with fierce competition and fast-moving consumer trends, innovation isn’t just an advantage; it’s essential for success.

Staying competitive requires bold innovation and alignment while satisfying consumers’ increasingly high expectations. But many face hurdles, from uncertainty about where to start to difficulty scaling ideas and addressing technical complexities. To uncover what it takes to break through in the nutraceuticals market, let’s explore strategies that drive successful, differentiated product development.

Don’t Get Left Behind: Future-Proof Your Portfolio with Forward-Thinking Solutions

The nutraceutical market is evolving at an unprecedented pace, fueled by heightened health consciousness, deeper consumer education, advancing scientific research, an aging population, and younger, more proactive consumers.

In a fast-moving trend landscape, how can brands avoid being left behind? Understanding what consumers really want from their next nutraceutical is key to creating products with a lasting impact. So, which health areas are set for significant growth in 2025 and beyond?

Consumers are more invested than ever in extending their healthspan — the number of years lived in good health. While the global average lifespan has risen to 73.4 years, the average healthspan lags behind at 63.7 years. As a result, 60% of consumers say purchasing longevity-focused products is extremely or very important.

Women’s health across all life stages, from premenstrual syndrome (PMS) to menopause, is also gaining momentum; yet over 30% of female consumers remain unsatisfied with the products available to address their health concerns. This growing demand presents an opportunity for innovation in targeted solutions that better support women’s unique health needs.

Beyond women’s health, the focus on mental well-being is also intensifying. With 80% of consumers prioritizing their physical and mental health equally, according to proprietary research from Lonza, emotional wellness (including mood, stress management, and overall happiness) is emerging as a key area for growth in 2025. These trends highlight a golden opportunity for nutraceutical innovators to develop products that align with evolving consumer expectations.

Identifying high-growth health areas and aligning with evolving consumer preferences go hand-in-hand in driving long-term product success. That’s why more brands are partnering with expert teams to gain a strategic edge, through tailored workshops, exclusive market insights, and whitespace identification that help sharpen their vision and build product stories that truly connect with tomorrow’s consumers.

Overcome Formulation Hurdles: Transform Technical Challenges Into a Competitive Advantage

Once a concept is brought into focus, the next step is transforming it into a market-ready product. However, as nutraceutical formulations become more sophisticated, to meet rising consumer demands, supplement developers must navigate an increasingly complex set of challenges, including:

Multi-ingredient interactions: Combining multiple ingredients requires careful consideration of potential ingredient interactions, as some nutrients interact in ways that may affect their stability, absorption, and delivery, such as hygroscopic and moisture-sensitive ingredients.

Maintaining ingredient stability: Sensitive ingredients, such as those that are reactive to pH variations, oxygen, moisture, or light, can break down if not protected, limiting their bioavailability — the amount of substance that enters the bloodstream — and, as a result, their efficacy.

Optimal ingredient delivery: Strategic balancing of nutrient combinations and formats is crucial. Selecting the right capsule or dosage form can help optimize delivery and protect sensitive ingredients.

Tackling formulation and technical challenges like ingredient compatibility, stability, and delivery demands an understanding of polymer science and access to advanced capsule technologies. For instance, knowing which is the best polymer type — such as gelatin, hydroxypropyl methyl cellulose (HPMC), or pullulan — for a formulation is critical.

At the same time, choosing the right capsule technology can transform formulation challenges into real competitive advantages. For example, capsule-in-capsule technology enables the combination of typically incompatible active ingredients into a single format, while designed-release capsules can protect sensitive ingredients like probiotics as they pass through the harsh acidic environment of the stomach.

New Possibilities with Cutting-Edge Delivery Solutions 

Modern consumers are pushing the limits of traditional supplement formats. They seek products that are not only effective but also experiential. For instance, scented supplements are becoming more desirable, with research revealing that 70% of consumers would pay more for scented capsules if it made taking supplements more enjoyable and memorable.

To help product developers elevate everyday capsules into multi-sensorial moments, they can lean on the power of scent, aesthetic dosage forms, and vibrant colors. By doing so, brands can boost the emotional connection consumers have with products, creating a more enjoyable and memorable experience that encourages repeat usage.

Visually appealing supplements, such as colorful capsules, can help brands stand out by delivering a more engaging consumer experience, both on the shelf and during use.

Gain and Maintain Market Momentum with a Global Partner

Reducing time-to-market and ensuring operational reliability is key to gaining and maintaining momentum in the nutraceutical space. But launching new products requires specialized expertise. That’s why supplement developers should consider partnering with an expert who can navigate the complexities of a successful launch.

When speed is the difference between being a leader and a follower, it’s important to choose a partner that has the capabilities to get your product to market fast. As such, you should consider whether a partner can offer in-market knowledge across various regions, scale-up manufacturing, secure supply chains, global and local regulatory insight, and streamlined production. These capabilities are key to keeping your brand one step ahead.

Purposeful Innovation

Bringing next-generation nutraceuticals to life requires more than just a bright idea; it demands purposeful innovation. From tapping into emerging health trends to overcoming formulation challenges and enhancing sensory appeal, brands have endless opportunities to create differentiated products that have an edge over the competition. But the key to success lies in leveraging the right expertise, the right tools, and the right partner.

About the Author: Meeta Kratz serves as the Vice President and General Manager of the Americas Business Unit at Lonza’s Capsules & Health Ingredients Division. She is responsible for the P&L of North, Central, and South America across all product lines, manufacturing, and supply chain operations as well as go-to-market channels. Meeta is a graduate from Kettering University with a bachelor’s degree in engineering. She also earned her Master of Business Administration (MBA) from the Gies College of Business at the University of Illinois. She is an accomplished public speaker who enjoys sharing her passion for growth and revenue enablement and has been featured at key industry conferences across the United States.  

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