As health awareness and obesity rates rise, this industry's strong growth will continue through 2017.
Los Angeles, CA (PRWEB) October 29, 2012
As the United States has experienced a crisis in health over the past decade, with a critical obesity problem, skyrocketing levels of diabetes, heart disease and other chronic diseases, demand for the Nutritionists and Dietitians industry has increased and will continue to rise significantly. Wellness maintenance and disease prevention have become some of the buzzwords circulating among people who are becoming increasingly concerned about what they eat and how it affects their health. In addition, major multinational food companies are adopting public health priorities and hire nutritionists and dietitians to identify food safety risks and include nutritional control points. According to IBISWorld industry analyst Anna Son, as a result of these trends, IBISWorld estimates that industry revenue has grown at an average annual rate of 3.8% to $5.1 billion over the past five years. In 2012, revenue is expected to increase 5.1%.
However, because many view nutrition counseling as a luxury expense, demand for services is subject to changes in per capita disposable income and health coverage. As the economy went into the recession, unemployment rates skyrocketed and disposable income levels plummeted, resulting in fewer physician visits, which can lead to referrals to a dietitian or nutritionist. To stay afloat during the economic downturn, companies offered low-cost options and discounts. As a result, operating profit suffered moderately during the five years to 2012; however, it has begun to recover, reaching 10.5% of industry revenue. The industry has a positive outlook given increasing emphasis on prevention through improved dietary habits. “Demand for industry services will further be spurred by a growing and aging population that increases demand for meals and nutrition counseling in nursing homes, schools, prisons, community health programs and home healthcare agencies,” says Son. Growing focus on preventative care services and public interest in nutrition will also underpin demand. Higher income levels, higher education and aging trends will drive demand for quality and diversity over quantity. Industry operators will further benefit from healthcare reform that is expected to provide coverage to an estimated 32.0 million of previously uninsured people.
The Nutritionists and Dietitians industry is characterized by its large number of small-scale establishments that service relatively narrow, geographically dispersed markets. Its four largest players account for less than 10.0% of industry revenue. The fragmented structure of this industry is evident in the total number of private firms and independent wellness centers. Additionally, many participants employ fewer than five people. For more information, visit IBISWorld’s Nutritionists and Dietitians in the US industry report page.
Follow IBISWorld on Twitter: https://twitter.com/#!/IBISWorld
Friend IBISWorld on Facebook: http://www.facebook.com/pages/IBISWorld/121347533189
IBISWorld industry Report Key Topics
This industry includes establishments of health practitioners who have a bachelor's degree, licensure, certification or registration in, and primarily advise on, matters of diet and nutrition and their effects on health. These practitioners operate private or group practices in their own offices or in the facilities of others, including hospitals or other medical centers.
Key External Drivers
Industry Life Cycle
Products & Markets
Products & Services
Globalization & Trade
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.