Despite a year marked by declines across various segments, the Health & Beauty Care (HBC) category experienced overall growth in the past year, largely driven by the robust performance of the vitamins and supplements segment. According to recent industry data, average sales per store for HBC increased by 3.5%, reaching $12,541. However, this growth represents a slowdown compared to the 5.7% increase seen in the previous year.
The standout performer in the HBC category was vitamins and supplements, which saw a significant jump in per-store sales, rising by 23.4%. This marks a slight decline from the previous year’s growth rate of over 25%, but it was still enough to propel the segment into the No. 1 spot in the category. The strong performance of vitamins and supplements underscores the ongoing consumer focus on health and wellness, even amid broader economic challenges.
While vitamins and supplements led the way, only two other segments within the HBC category managed to post growth last year: grooming aids and stomach remedies. These segments saw modest increases, highlighting a selective consumer interest in certain health and beauty products.
In contrast, the broader HBC category faced some challenges. Total industry sales of HBC rose by 5%, down from 6.6% growth the year prior. Additionally, total unit volume declined by 0.7%, indicating a decrease in the number of HBC products sold. Despite these mixed results, the category’s share of in-store sales remained steady at 0.66%, reflecting its consistent presence in the market.
The Health & Beauty Care category continues to demonstrate resilience, with vitamins and supplements leading the charge in growth. However, the overall slowdown in sales growth and the decline in unit volume suggest that consumers are becoming more selective in their purchasing habits. As the market evolves, the focus on health and wellness, particularly through vitamins and supplements, will likely remain a key driver of HBC sales. Retailers should consider bolstering their offerings in these high-demand segments to capitalize on the ongoing consumer interest.
Source: Hanson, Angela and Linda Lisanti. “A Trying Year: Inflation, Higher Operating Costs and Lower Fuel Prices Took Their Toll in 2023.” Convenience Store News, Industry Report 2024