Health Stores in Canada Industry Market Research Report from IBISWorld Has Been Updated
New York, NY (PRWEB) February 02, 2015 -- The Health Stores industry has been helping Canadians make healthy choices over the past five years. However, mounting demand from online retailers and mass merchandisers have challenged industry operators to reinvent their niche as per capita disposable income and consumer sentiment steadily edge up. IBISWorld Economic Analyst Farrell McKenna says in the updated report “thus far, the industry has capitalized on offering superior customer service and high-quality products, including vitamins and supplements, sports nutrition products, first-aid supplies, orthopedic equipment and convalescent aids.” Industry revenue is expected to increase over the five years to 2015. As the economy continues to strengthen, industry revenue is forecast to increase in 2015.
Rising total health expenditure, partially as a result of the aging population, has increased demand for industry products and, therefore, has benefited the industry and its profit margins. Furthermore, according to Health Canada, 71.0% of Canadians have used the industry's natural health products (e.g. vitamins and homeopathic medicines). “Although these factors have boosted demand for natural health products, online operators and mass merchandisers have cut into this industry's share of the market for such goods,” McKenna says in the updated report. External competitors typically have lower operating costs and benefit from economies of scale to be able to offer lower prices to consumers. However, industry operators have become more efficient in negotiating with suppliers to reduce costs to better compete with mass merchandisers and online sites. As a result, the number of industry establishments is expected to increase.
In the five years to 2020, the industry is expected to exhibit steady, yet moderate, growth. Per capita disposable income and consumer confidence will increase as the economy strengthens, providing consumers with more discretionary funds for industry products. Additionally, growth in alternative medicine and the organic product market will stimulate increased demand by the health-conscious and aging populations for industry goods. Furthermore, industry operators are forecast to minimize external competition from e-commerce sites by increasing expenditures on research and development. Industry revenue is forecast to increase.
For more information, visit IBISWorld’s Health Stores in Canada in Canada industry report page.
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IBISWorld industry Report Key Topics
This industry retails products designed to affect an individual's general condition, such as nutritional supplement stores, convalescent and prosthetic supply stores and specialized medical supply stores. The industry excludes drug stores, pharmacies and optical goods stores, as well as perfume, cosmetics and beauty-supply stores.
Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios
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 and Canadian 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.
Gavin Smith, IBISWorld, +1 (310) 866-5042, [email protected]
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