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Dietary Food Supplements: What Consumers Perceive?

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 Making a Difference and Becoming the Agents of Change in the Field of Management | 100

DIETARY FOOD SUPPLEMENTS: WHAT

CONSUMERS PERCEIVE?

Himanshu A Chauhan
Assistant Professor, Shri Chimanbhai Patel Institute of Management and Research,
Ahmedabad

Mayank Bhatia
Assistant Professor, Shri Chimanbhai Patel Institute of Management and
Research Ahmedabad

Nilesh Hirpara
Ex – Post Graduate Student , Shri Chimanbhai Patel Institute of Management and
Research Ahmedabad

Abstract
In today's competitive world, individuals set higher expectation levels leading to a stressful life. In order to achieve
these expectations, somewhere the regular food habits are compromised due to hectic work schedules. Also, the way the entire
vegetation is cultivated, nurtured, stored and cooked, results into a huge amount of nutritional loss. To bridge this nutritional
gap, individuals consumes dietary food Supplements (DFS). The popularity and the consumption of dietary food supplements
has risen in recent decade. This popularity and consumption of DFS have resulted in the increased interest amongst
researchers and the marketers. Hence the study was undertaken with the objective to understand the overall concept of food
supplement along with the perception and preferences of consumers towards DFS. Authors have also tried to understand the
level of awareness and knowledge of consumers regarding DFS along with their preferences with respect to the price, usage
and form. Research was undertaken with structured questionnaire as the data collection tool, where respondents taking some
form of food supplements, were asked to provide their genuine responses. The analysis of the data collected provides good
understanding of consumers’ perception and preferences towards food supplements. Marketing implications of the findings
are also provided which may prove helpful in designing marketing/communication strategies for the marketers of food
supplement products.
Keywords: Dietary Food Supplements, Consumer Behavior, Consumer Preferences

INTRODUCTION
A dietary food supplement (DFS) is intended to provide nutrients that may otherwise
not be consumed in sufficient manner. Supplements are generally understood as food which
include vitamins, minerals, fiber, fatty acids, or amino acids, among other substances. US
authorities have defined dietary supplements as foods, while elsewhere they may be classified
as drugs or other products.
The Dietary Supplement Health and Education Act, approved by Congress in 1994,
defines food supplements as products that are intended to supplement the diet, contain one or
more ingredients (like vitamins, herbs, amino acids or their constituents), are intended to be
taken by mouth and are labeled as food supplements. Dietary supplement refers to any item
consumed by mouth that contains a dietary component and/or another dietary component
intended to provide a balanced diet. In India, dietary supplements are sold in many forms like
tablets, capsules, powders, liquids, soft caps and soft gels, under the banner of Fast Moving
Healthcare Goods (FMCG).
There are more than 50,000 dietary supplements available in market. More than half of
the U.S. adult population (53% - 55%) consumes dietary supplements with most common ones
being multivitamins. For those who fail to consume a balanced diet, the U.S. National Institutes
of Health says that certain supplements "may have value." The intended use of dietary food
supplements is to ensure that a person gets enough essential nutrients.
Making a Difference and Becoming the Agents of Change in the Field of Management | 101

India is one of the fastest growing economies of the world and is under transition phase
w.r.t. the lifestyle of individuals. India has witnessed huge increase in the usage of DFS in recent
years. The reason being increase in health issues (such as increase in lifestyle diseases viz,
diabetes, blood pressure, obesity, cardio-vascular diseases) of Indian consumers due to
changing food habits, absence of physical activities, increase in the consumption of junk foods,
and desk bound employments. In recent past many changes have also occurred in spending
habits of the urban population of the country, the consumers have become more health
conscious. This affects the regular food habits resulting in improper nutrition. Consumers are
looking for energy-boosting products to enhance their physical perseverance, mental
sharpness and to become more dynamic and conscious, consequently increasing the demand
for dietary supplements in India. This need of balanced nutrition is identified by the marketers
and many Indian (whether of Indian origin or with tie up with MNCs) and foreign companies
and have started manufacturing/marketing their dietary food supplements in India. DFS
market in India is growing at significantly higher rate and witnessed sales of around USD 1-2
billion in 2015. Key players in DFS market are identified as Amway, Herbalife, Himalaya,
Forever and many others (TechSci Research Report, 2016).
Review of Literature
Research revealed that the consumption of dietary supplements, including sports
supplements was found to have increased (Perko, 1999). The study examined factors associated
with adolescent consumption of dietary and sports supplements, and suggested the need to
establish a system to track consumption rates.
Mason & Scammon (1999) explored the use of nutritional supplements in recreational
body builders. Their study revealed that the interaction of personal and media sources leads to
initial trial. The consumers became committed users after investing significant time, energy,
and money exploring supplements.
(Pedro A. Alarcon, 2003) found significant impact in terms of increase in weight and
heights for the respondents who were taking dietary food supplements. The study suggested
that a nutritional supplement in addition to nutrition counseling promote catch-up growth
and may contribute to lower rates of infectious disease in children.
Hoddinott et al. (2008) examined the effect of nutritional intervention in early
childhood years, on adult economic productivity. It was reported that improved nutrition in
early childhood was found to have led to substantial increase in the wages received by men. It
was inferred that investment in nutrition requirement fulfilment at early childhood can
become long-term driver of the economic growth.
Flynn et al. (2009) found that, for most nutrients, adults and children generally consume
considerably less than the UL (upper intake levels). The major contributor to intakes for all
nutrients and in all countries, was from foods in the base diet. Study revealed that fortified
food does not significantly contribute to higher intakes for any nutrient. It was also reported
that total nutrient intake expressed as percentage of the UL was generally higher in children
than in adults.
Dietary supplement has emerged as a multibillion dollar industry in
US, in dietary supplements with at least a third sold as vitamin/mineral pills and drinks
(McCormick, 2010). It was reported supplements are of benefit to some within the population,
and the considerable majority of people can fulfill their needs with the intake of healthy diets
of mixed foods. However, many consumers were found skeptic about the usage of food
supplements and believed that it may not be helpful in maintain optimal health.
 Making a Difference and Becoming the Agents of Change in the Field of Management | 102

Crawford et al. (2010) analyzed reasons for choosing probiotic food. It was found that probiotic
food products were consumed due to the perception of them being beneficial for the health.
Taylor (2011) reported that alongside a healthy diet, functional foods can play a role in
supporting the nutritional needs of older people including the prevention and management of
chronic disease. Researcher posited that many factors contributes towards usage of functional
foods which were reported as taste, perceived need, interest in health and familiarity with the
product category.
Backhouse et al. (2011) studied the use of nutritional supplements (NS) in sport persons
and applied an integrated social cognitive approach to examine doping attitudes, beliefs, and
self-reported doping use behavior across nutritional supplement and nonusers. It was found
that doping use is three-and-a-half times more prevalent in NS users compared with nonusers.
This finding is accompanied by significant differences in doping attitudes, norms, and beliefs.
de Lourdes Samaniego-Vaesken et al.(2012) posited that government must come up with
policies regarding fortified food to comply with nutritional, regulatory, food safety and
technical uses.
Vella et al. (2013) reported that not much research has been done on the consumer
perception of functional foods. It was suggested that older adults could benefit from functional
foods due to age-related food and health issues. Most participants (86.2%) indicated that they
consume functional foods to improve health indicating huge potential of functional foods to
support health among older adults.
AcuPOLL Precision Research Inc (2013) surveyed 500 men and women of age 18 and
above and found that most (54% of respondents) category participants are light users of food
supplements, taking a supplement once a day or less. This inferred huge potential in marketing
of food supplements to the consumers. Research also reveals exceptionally valuable insights on
consumer preferences on delivery systems. Capsules were found to be most commonly taken,
with 54% of respondents indicating their use, but soft-gels also were also found to be popular,
with 46% of participants using them.
Smaiziene & Vaitkiene (2014) studied the relationship between the consumer
ethnocentrism and consumer attitudes towards the domestic and foreign-made dietary
supplements in the market of Lithuania by using consumer ethnocentric tendencies scale
(CETSCALE). It was reported that consumer ethnocentrism was lower thanaverage.
Consumers’ attitude towards the import of products and their purchase was not negative.
However, the attitude towards reliability and naturalness of Lithuanian products was found to
be positive. It was also found that there was a negative correlation between household income
and ethnocentrism.They posited that higher the level of consumer ethnocentrism the better
the consumers' opinion is about the quality of dietary supplements manufactured in Lithuania.
They also reported that the dietary supplements produced in Lithuaniawere perceivedas
different from that of produced in the countries with historical, cultural or economical
similarities whereas the same was close to the perception of the dietary supplements produced
in the countries of high economic development. The external marketing communication,
brand image and doctors/pharmacists’ recommendations were identified as the factors
affecting the purchase decisions towards dietary supplements (amongst high ethnocentric
consumers).
Emrich et al. (2014) studied the preferences for, and consumer friendliness of, front-of-
pack (FOP) nutrition rating systems on Canadian consumers and inferred comparing systems
that were accompanied by mandatory labelling, such as Canada’s Nutrition Facts table (NFt),
were lacking. The study reveals that the NFt received the highest scores of consumers’
friendliness with respect to liking, helpfulness, credibility, and influence on purchase decisions
Making a Difference and Becoming the Agents of Change in the Field of Management | 103

(p < 0.05); however, consumers still supported the implementation of a single, standardized
FOP system.
A study on the intake of dietary food supplements by the children of autism spectrum
disorder (ASD) was conducted by Stewart, et al. (2015) and it was reported that even after
taking the dietary supplements (especially multivitamins/multiminerals) by children with
ASD, the most common micronutrients deficits were found to have not been correction. The
deficit was found in terms of vitamin D, calcium, potassium, panthothenic acid, and choline.
It was also reported that the usage of supplement lead to excess intake of vitamin A, folate and
zinc. It was suggested that supplements manufacturers may considre careful attention
regarding adequacy of vitamin D and calcium intake.
It was found in the research that due to lack of homogeneity among various studies, the
generalizations regarding the usage of dietary supplements are difficult to make. However, it
was also reported that the usage of dietary supplements was found to be more amongst elite
athletes as compared to that of non-elite athletes (Knapik, et al., 2016).
(Ghosh, et al., 2017) reported that hemoglobin had significant improvement in the Ghanaian
infant with no signs of acute infection, when given a macronutrient-micronutrient fortified
complimentary food supplement.It can be inferred from the study that food supplements have
no health hazards.
Rationale of the study
Review of literature revealed huge potential for dietary food supplements worldwide. It
was also found that dietary food supplement industry in India is in nascent stage and is growing
at a very fast pace. However not much research has been done in India related to consumers’
perception and usage of dietary food supplements. The acceptability of dietary food
supplements by Indian consumers and what they perceive about DFS is also questionable.
Another reason for taking up this study is that due to economic development of India, changes
in the lifestyle of Indian consumers have been identified which leads to stressful life and
changes in their food habits resulting in improper nutrition and health hazards. It is assumed
that to overcome the problem of improper nutrition, consumers are relying on the usage of
DFS.
Due to above mentioned reasons, a strong need was felt to undertake this study with a
focus on the overall understanding of the concept of food supplement, level of awareness,
perception and preferences of consumers towards DFS.

Methodology
This study was undertaken to understand the preferences and perception of consumers
towards DFS. The unit of analysis in this study are the individual consumers who are already
taking some kind of DFS. A structured questionnaire is used to collect the data from the target
respondents. Descriptive research design is used in this study. Respondents were asked to
provide their responses on a 5-point Likert scale and the information collected from the
consumer survey is further utilize for the analysis.
Hypotheses formulation
Based on the objectives of the research, the following hypotheses were tested.
1. H01: Perception towards price of DFS is indifferent amongst various age groups of
respondents.
 Making a Difference and Becoming the Agents of Change in the Field of Management | 104

2. H02: Perception towards price of DFS is indifferent amongst respondents of various

income level.
3. H03: Perception towards quality of DFS is indifferent amongst respondents of different
educational background.
4. H04: Preference towards “form of supplement” is indifferent amongst respondents of
different gender.
Analysis and Discussion
Demographic analysis of respondents
Following tables show the demographic analysis of respondents.
Table 1: Age group of respondents

Age Groups Frequency Percent

21-30 Years 56 51.9
31-40 Years 47 43.5
41-50 Years 5 4.6
Total 108 100.0
Table 2: Gender of Respondent

Gender Frequency Percent

Male 76 70.4
Female 32 29.6
Total 108 100.0
Table 3: Occupation of Respondents
Occupation Frequency Percent
Student 23 21.3
Businessman 15 13.9
Service 38 35.2
Professional 20 18.5
Housewife 10 9.3
Self-Employed 2 1.9
Total 108 100.0

Table 4: Monthly Income of Respondents

Monthly Income Frequency Percent
< 20000 31 28.7
20000 < 30000 34 31.5
30000 < 40000 17 15.7
40000 < 50000 12 11.1
50000 & above 14 13.0
Total 108 100.0

Table 5: Educational Qualification of Respondents

Educational Qualification Frequency Percent
Under Graduate 15 13.9
Graduate 25 23.1
Post Graduate 68 63.0
Total 108 100.0
Making a Difference and Becoming the Agents of Change in the Field of Management | 105

Analysis of Statements
Following table shows the analysis of the statements asked to the respondents which
relates to the perception and preferences of consumers towards dietary food supplements.

Table 6: Analysis of statements

Statement Mean Std.

Deviation
The amount of minerals, vitamins and other substances I get from food
2.37 1.220
is enough for my health needs.
I am confident & I understand which vitamins, minerals, botanicals and
2.74 1.300
other supplements are right for me.
Which direct selling company’s food supplement product you prefer
3.12 1.243
most? [Amway/Nutrilite]
Which direct selling company’s food supplement product you prefer
3.22 1.105
most? [Herbalife]
Which direct selling company’s food supplement product you prefer
2.41 1.103
most? [Forever]
Which direct selling company’s food supplement product you prefer
2.55 1.203
most? [Other]
What price you are willing to pay for food supplement products? [500-
3.26 1.430
1000]
What price you are willing to pay for food supplement products? [1001-
3.05 1.187
2000]
What price you are willing to pay for food supplement products? [2001-
2.57 1.186
3000]
What price you are willing to pay for food supplement products? [3001
2.47 1.188
& above]
Food supplement product contains 100% natural ingredients. 3.05 1.293
Food supplement product is backed by thorough research. 3.39 1.142
Food supplement product is effective. 3.34 1.254
Family is the source of information about the dietary supplements that
3.05 1.278
are right for you?
Friends are the source of information about the dietary supplements
3.29 1.077
that are right for you?
Doctor is the source of information about the dietary supplements that
3.20 1.198
are right for you?
Internet is the source of information about the dietary supplements
2.71 1.152
that are right for you?
Newspaper/TV Ads are the source of information about the dietary
2.70 1.270
supplements that are right for you?
Seller is the source of information about the dietary supplements that
2.95 1.163
are right for you?
Capsule is the preferred form of food supplement 3.06 1.320
Tablet is the preferred form of food supplement 3.19 1.095
Powder is the preferred form of food supplement 2.98 1.215
Soft Gels is the preferred form of food supplement 2.79 1.200
 Making a Difference and Becoming the Agents of Change in the Field of Management | 106

The statements were asked on 5-point Likert Scale with 1 representing “Strongly
Disagree” and 5 representing “Strongly Agree”. Hence, 3 (Neutral) being the mid value, any
value more than 3 represents agreement of respondents for the particular statements.
It was found that majority of respondents (49.1%) have started using DFS in last 3 years
tenure only. From the above table, it is evident that level of awareness was found to be low
regarding the content of minerals, vitamins and other substances present in DFS as the mean
value was found to be less than 3. However, consumers also agreed that the amount of minerals,
vitamins and other substances that they get from the food is not sufficient for healthy needs of
the human body.Marketers may come up with marketing and awareness campaign to increase
the awareness and visibility of the DFS products communicating the contents of the product
along with the benefits and the quantity required to be taken by the consumers for healthy
living.
When asked about the preference related to variousbrands manufacturing DFS,
respondents rated Amway/Nutrilite and Herbalife as the most preferred DFS brands. However,
respondents have shown willingness to purchase DFS if it is available in the price range of Rs.
500 to Rs. 1000. Respondents have shown unwillingness for purchase of DFS if it is priced higher
than Rs. 1000.It was found that majority of respondents (83.4%) have rated the product as
costly. As consumers are readily agreeing for the price range of Rs. 500 to Rs. 1000, DFS
manufacturers may come up with small size packaging (which will reduce the price of product
based on pack size) and it may fit into the budget of the consumers.
While checking the perception of the respondents towards DSF it was found that
consumers are not skeptic about the product containing Natural ingredients, back by thorough
research and its effectiveness.Consumers also rated the quality of DFS products as
high/superior (around 50%, only 16.7 % have rated as low/inferior quality). It can be inferred
that consumers trusts the DFS products and hence the marketers of the DFS products should
use this as an USP to brand their products against products of other categories containing non-
organic/synthetic contents.
Family, Friends and Doctors were found to be the most influential source of information
regarding DFS products compare to other sources like Internet, Newspaper/Television
Advertisement and Sellers. The reason for the above finding could be the trust a person shows
towards his/her family, friends and Doctors as compare to that of colleagues and other
commercial advertisers. More than 50 % respondent rated the knowledge level of direct seller
as good/excellent. Hence to leverage these most influential sources, it is suggested to employ
direct selling techniques targeting Family, Friends and Doctors instead of selling these
products through traditional channels of distribution.
Capsule and Tablet were found to the preferred form of DFS products as compare to
powder and Soft-Gels. It is suggested that to increase the sales, the manufacturers of DFS
products may try to provide their product offerings in Capsule and tablet form.
Result of hypotheses testing
The hypotheses stated in above section were tested and the results are as given in below
tables.
Table-7: Perception of Price w.r.t. age group of respondents.

Sum of Squares df Mean Square F Sig.

Between Groups 2.636 2 1.318 1.594 .208
Within Groups 86.799 105 .827
Total 89.435 107
Making a Difference and Becoming the Agents of Change in the Field of Management | 107

H01 when tested, it was found that F=1.594, p>0.05 (Sig. value found to be 0.208) which
implies that Null Hypothesis stands to be accepted and it can be inferred that the perception
towards price of DFS products is indifferent among respondents of various age groups.

Table-8: Perception of Price w.r.t. Income group of respondents.

Sum of Squares df Mean Square F Sig.

Between Groups 6.990 4 1.747 2.183 .076

Within Groups 82.446 103 .800
Total 89.435 107
H02 when tested, it was found that F=2.183, p>0.05 (Sig. value found to be 0.076) which
implies that Null Hypothesis stands to be accepted and it can be inferred that the perception
towards price of DFS products is indifferent among respondents of various income group.

Table-9: Perception of Quality w.r.t. Educational Qualification of respondents.

Sum of Squares df Mean Square F Sig.

Between Groups 2.482 2 1.241 1.380 .256

Within Groups 94.435 105 .899
Total 96.917 107
When perception of Quality of DFS was tested w.r.t educational Qualification of
respondents, it was revealed that Quality of DFS perceived by respondents is indifferent to
their Educational Qualifications as F=1.380, p>0.05. Hence the Null Hypothesis H03, in this
case, stands accepted.

Table-10: Preference towards Form of DFS w.r.t. Gender of respondents.

Independent Samples Test

Levene's t-test for Equality of Means
Test for
Equality
of
Variances
F Sig. t df Sig. Mean Std. Error 95%
(2- Difference Difference Confidence
tailed) Interval of
the
Difference
Lower Upper
Equal
Capsule is -
variances .002 .962 106 .434 -.219 .279 -.771 .334
the .785
assumed
preferred
Equal
form of
variances -
food 56.200 .444 -.219 .284 -.787 .349
not .772
supplement
assumed
 Making a Difference and Becoming the Agents of Change in the Field of Management | 108

Equal
Tablet is
variances .023 .881 .177 106 .860 .041 .232 -.418 .501
the
assumed
preferred
Equal
form of
variances
food .174 55.773 .863 .041 .237 -.433 .515
not
supplement
assumed
Equal
Powder is
variances .239 .626 .763 106 .447 .196 .257 -.313 .704
the
assumed
preferred
Equal
form of
variances
food .752 56.543 .455 .196 .260 -.325 .717
not
supplement
assumed
Equal
Soft Gels is
variances .222 .638 .558 106 .578 .141 .254 -.362 .644
the
assumed
preferred
Equal
form of
variances
food .537 53.877 .593 .141 .263 -.386 .669
not
supplement
assumed
Preference towards Form of DFS when tested w.r.t. to gender of respondents, it was found that
the preference for Form of DFS is indifferent of gender of respondents and hence, null hypothesis,
H04, stands accepted.

]Conclusion
This study was undertaken with the objective to understand the overall perception and
preferences of consumers towards DFS products. It was found that consumers have shown low
level of awareness towards contents of DFS w.r.t. minerals, vitamins and other ingredients. It
was also revealed that consumers are of agreement that the amount minerals and vitamins they
consume from food are not sufficient for healthy life. Amway/Nutrilite and Herbalife were
found to be the most preferred brand of DFS.
Consumers have shown willingness to purchase DFS products if the price is within Rs.
500 to Rs. 1000. It is suggested by the authors that the product may be made available in small
packing sizes to make it affordable for consumers. Consumers were also found to have trust on
DFS products when it comes to the question of the product being backed by thorough research,
containing natural ingredients and its effectiveness. This can be uses as USP by the marketers
to brand their products against other categories of non-organic/synthetic products.
Consumers have also revealed that family members, friends and the doctors’ advice are
the most influential source of information for DFS products; capsule and tablets are the most
preferred form of DFS amongst consumers.
The perception of price of the DFS products were found to be indifferent amongst
respondents of various age groups and income level. At the same time, the perceived quality of
DFS products was found to be indifferent amongst respondents of different educational
qualification. The perception for the form of DFS product (i.e. capsule, tablet, powder and soft-
gels) was also found to be indifferent on the basis of gender of respondents.
This study has gained an understanding regarding the perception and preferences of
consumers towards dietary food supplement products. It provides good insights regarding the
usage, preferred brand, influencing source of information, preferred form and price of product.
The findings of the study can be utilized by the marketers to design their marketing and
communication programs aimed towards increasing the awareness of consumers towards DFS
Making a Difference and Becoming the Agents of Change in the Field of Management | 109

as well as to improve the visibility of their product offerings. Marketers may take the advantage
of the trust consumers have shown in the DFS products’ quality and content, which can be
used to develop their brand equity.
Further to explore the research topic on larger scale, research can be undertaken with
larger samples and geographical areas where cultural differences can be accounted for.

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