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Circana: U.S. consumer healthcare growth outpacing retail

Despite macro headwinds such as rising costs and global economic uncertainty, the healthcare industry continues to demonstrate resilience and adaptability.

Photo by Kaylee Garrett / Unsplash

CHICAGO — The U.S. consumer healthcare market grew 4% in 2024—surpassing total retail growth of 2.4%—according to Circana’s new State of Consumer Healthcare report. The $103 billion category is expanding rapidly, fueled by consumer demand for proactive and holistic wellness solutions.

Growth was led by strong performance in nutritionals, personal care, and over-the-counter products, with emerging trends reinforcing the shift toward integrated health strategies:

  • Intersection of Wellness and Beauty: Products that combine these aspects saw significant growth in 2024, reflecting consumer demand for solutions that enhance long-term well-being.
  • Innovation in Nutritional Products: Developments in probiotics, collagen-based solutions, and sustainable offerings demonstrate how brands are catering to diverse health needs while aligning with environmental priorities.
  • Digital Engagement’s Influence: Online research will influence 70% of all healthcare product sales by 2027, emphasizing the need for brands to connect with consumers online through personalized and engaging strategies.
  • Sustainability Leadership: Sustainability-marketed products are growing twice as fast as conventionally marketed alternatives, aligning with consumers’ expectations for products that are better for the planet.

“The state of consumer healthcare in 2025 reflects not only the remarkable progress we've made as an industry, but also our commitment to meeting consumers where they are,” said Kristin Hornberger, executive vice president and practice leader for Wellness, Beauty and Homecare at Circana. “By focusing on sustainable practices, digital transformation, and forward-thinking innovation, we ensure that healthcare solutions are as inclusive and dynamic as the consumers who rely on them.”

Despite ongoing economic challenges, Circana’s findings show that consumers continue to prioritize stress relief, sleep improvement, and mental well-being—key components of a more holistic approach to health.

“The opportunities ahead are clear,” added Hornberger. “With proactive innovation at the intersection of wellness, beauty, and sustainability, the healthcare industry is positioned to thrive. But to succeed, companies must remain attuned to shifting consumer needs and consistently adapt to new market realities.”

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