Amazon Grabs 43% of U.S. $700M Supplement Market as Growth Surges
AMZN•Amazon commands 43% of the U.S. supplement market, a segment growing 20% annually with $700 million in beauty-supplement sales, as ingestibles and topicals converge with wellness trends. Analyst Leo Sun also ranks Amazon alongside Costco as a buy, citing AWS and advertising margins underpinning long-term e-commerce expansion.
1. Holistic Beauty and Supplements Trend
The beauty industry is merging with wellness and health, with ingestibles, topicals and lifestyle products becoming integral to routines. Preventive care trends, longevity focus and GLP-1 adoption are driving consumers to seek internal solutions, boosting the functional role of beauty supplements.
2. Amazon’s Supplement Market Dominance
Amazon holds 43% of the U.S. supplement category, outpacing Walmart and Target at 40%, Ulta Beauty at 7% and Sephora at 2%. Ulta leads growth, doubling its supplement purchases share from 0.6% to 1.2% over two years as the segment hits $700 million in annual sales.
3. Bullish Analyst Recommendation
Analyst Leo Sun identifies Amazon as a top buy in a potential market downturn, alongside Costco, despite high valuations. He highlights Amazon Web Services and advertising businesses for their high margins and support of ongoing e-commerce expansion.
