AZ Natural Health Retail Sales Top $1.9 Billion, Per UNPA Report

Living in Arizona, sometimes I think we take it for granted how much there is here related to the natural products industry. We have large contract manufacturers, leading multi-level marketing firms, a number of focused retail outlets such as Sprouts and Hi-Health, as well as the Southwest College of Naturopathic Medicine (SCNM), one of the top providers of naturopathic and integrative and complementary medicine education. However, it’s one thing to have an inkling, and another to see how it all plays out.

The United Natural Products Alliance (UNPA), which hosted its annual member meeting in the Grand Canyon state in May, released a report, “The UNPA 2005-2020 Arizona Natural Products Retail Economic Report," featuring data compiled by the Natural Marketing Institute (NMI). While the big picture facts were shared with us at the UNPA Arizona State Chapter meeting, held at SCNM, UNPA released the numbers publicly, providing quite a look at the economic impact and market drivers in Arizona.

The data shows sales of natural and organic products at retail grew from $1.29 billion in 2005, to $1.94 billion in 2012, and should reach $3.72 billion by 2020. UNPA noted the growth in Arizona is being driven not only by core natural products consumers, but by more mainstream shoppers as well. A total of 30 percent of consumers come from two groups—the Well-Beings (market leaders who are driven to health for prevention) and Fence Sitters (“wannabe" healthy folks striving for a healthier lifestyle)—and account for more than half of natural health products sales in Arizona.

According Loren Israelsen, president of UNPA, this type of state-based economic data is critical to the industry’s growth. “The natural health products industry is a dynamic, robust and maturing segment, a significant employer and producer of goods and services, and an important component of American commerce," he said. “Our industry continues to increase its health and wellness messaging and with that comes the need to educate elected representatives about the economic impact of responsible industry. Being able to share reliable sales and consumer demographics information with Congressional representatives in key states is crucial to our continued growth and viability."

As an Arizona-based operation, Informa Exhibitions is also active with UNPA’s Arizona State initiative, and we are looking forward to supporting the growth of natural products sales here and across the country.