In 2020, Swiss pivoted from an export to a domestic focus, successfully growing its market share in Australia. However, the company recognises that Asia is an emerging market for supplements, particularly in the area of healthy ageing and longevity. This aligns with Australian consumer needs and means there is an opportunity for product innovation to cater to export markets whose needs overlap with domestic demand.
“We strive to think globally and act locally. When a product or innovation has common value for multiple markets, we prioritize it. When there is a local need in a particular market, we always take a local approach. It’s a hybrid model where Swisse aims to be the best globally through local best practices.”Kelly Wade, Marketing Director at Swisse Wellness ANZ said:
Similarities between the Australian and Asian markets
A very strong emerging long-term trend in both markets is healthy ageing and healthy longevity. Apart from extending lifespan, there is also a focus on extending healthspan, which refers to the length of time a person can remain healthy.
“How can we align an individual’s lifespan with their healthspan, so they can live longer and have a better quality of life, so they can live the life they want? This is a very important question for our Chinese customers and our China development team.”Wade said he realised there were many synergies between the Australian and Chinese markets in terms of product development.
She also noted that the COVID-19 pandemic has caused people to prioritize their health and well-being.
Traditionally, VMS have been taken by people over 50, who, again, tend to be highly reactive, only starting to take supplements when they experience a specific health problem. However, the consumer base is expanding and there is growing interest in the beauty from within category as consumers discover that gut health affects stress, mood and sleep, which in turn affects how we look and overall health.
“Post-COVID, health and wellbeing has become incredibly important and we are seeing younger generations entering the sector. The pandemic has forced people to prioritise their health, which has been a huge benefit for brands like Swisse as we can help people achieve their nutritional goals and feel and look good. Consumers are also thinking more about beauty from the inside out and are asking what supplements they can take for holistic health to look and feel good. Hence, we are seeing a growing trend towards using supplements to support gut health.”Wade said.
Wade also noted that there was demand in Australia and Asia for premium products that could cater to a range of needs.
“For example, in Singapore, consumers value premium quality and variety. Similar to China and Australia, per capita spend on VMS (vitamins, minerals and supplements) is high and VMS penetration in these markets is significant.”Wade said.
However, most people in Asia still don’t take VMS as a daily habit, only taking supplements when they need a specific boost to get through their daily lives. Still, Wade sees growth opportunities in the region, as it’s an emerging market with huge potential, especially in the areas of healthy aging and longevity.
A trusted solution for healthy aging and longevity
The word “longevity” has an holistic meaning that encompasses all aspects of ageing, while “anti-aging” has always been associated with beauty brands that focus on skin health.
“Longevity is a question of how to combat the cellular degradation that causes aging. Healthy longevity is an emerging field, with many new active ingredients on the market.”Wade said.
Anti-ageing is part of the science of longevity, all about feeling and looking better for longer, and this represents a huge opportunity for brands like Swisse.
“Aging occurs because cellular energy becomes less efficient as we get older. Anti-aging has always been very cosmetically focused in the consumer’s mind, but I think consumers are going to understand that aging is actually a holistic process. There are many triggers for aging – your knee hurts, your arm hurts a little, your head hurts, your eyes are getting worse – it’s important to address the broader needs of healthy aging.”Explaining how Swiss strives to provide scientifically-backed solutions to consumers, Wade explained:
All Swisse products adhere to the PPAE model: Premium, Proven, Aspirational and Engaging, with established claims linked to clinical and scientific studies that consumers can reference.
To help consumers better understand how each product affects them, Swisse has launched a new form of research called a Real World Study, a human experiment in which participants record how Swisse products affect them.
“These are verified claims that we can use in our marketing and allow consumers to know what the experience has been like for others who have taken our products.”Wade said.
Future plans
In addition to its anti-aging product line, Swisse is also set to launch a new nootropics range in late 2024 that focuses on cognition and memory.
The company also has upcoming campaigns promoting its collagen products, similar to the gummy campaigns targeting hair, skin, nails and collagen glow, in an effort to draw in new, younger consumers who may not be keen on taking tablets or capsules.
“Younger consumers prefer powders, gummies, chewables and smart melts, so a lot of innovation effort is being put into different dosage forms that can attract new consumers by providing a fun and functional way to incorporate VMS into their daily lives,” Wade said.
“Typically, Australian consumers enter the VMS category around the age of 30, after which we focus on their emerging needs such as inner beauty, stress and sleep. This is one way of engaging them so that as they age they can transition into our range of products that meet their different needs.”
As for Gen Z, Swiss has a product line aimed at children and hopes to launch products aimed at young people as well.
“Generation Z has captured our attention because they are so influential and so opinionated. They’re important because we want to be the brand of choice when they grow up.”Wade said.
Healthier product innovation will be a central theme at the Growth Asia Summit 2024 this July, featuring insights from a wide range of industry leaders and experts. Don’t miss out, register now! here today!
