In recent years, the nutraceutical manufacturing industry has come under increased consumer scrutiny. Nutritional supplement companies have been caught in a number of scandals. These events often result from poor quality control and show that even those who rely on supplements for their health can still be at risk, and as a result, trust in the industry has declined.
For example, a March 2013 U.S. Government Accountability Office report stated that between 2008-2011, the FDA (U.S. Food and Drug Administration) received 6,307 adverse event reports related to dietary supplements. All data shows it leads to the FDA and other regulators have not done a good job of testing dietary supplements and other natural products, leaving consumers who have used these products disappointed with their manufacturers and distributors. Trust and purchasing power are greatly reduced.
The Problem for Nutraceutical Manufacturing Industry: Trust
This is a problem for the nutraceutical manufacturing industry because trust is essential for businesses to thrive. Consumers who don’t trust a company are less likely to do business with them. And then obviously, it can lead to lost sales and revenue, and ultimately, it can put a company out of business.
The nutraceutical manufacturing industry needs to take steps to increase trust among consumers. One way to do this is by being more transparent about their operations and sharing information about their products. Additionally, nutraceutical companies need to be more responsive to consumer concerns and complaints. By Taking these steps, the nutraceutical manufacturing industry can begin to rebuild trust and ensure its long-term success.
The data shows that more than half of consumers say that companies with “transparent and open business practices” can allow consumers to build trust in companies. As a result, because of trust in companies, 68% of consumers will be more likely to buy their products. 59% of consumers would recommend it to their friends or colleagues, and 37% would even pay more for a product. It can be seen that in the nutraceutical market, transparency often stimulates increased sales. There has been an increased focus on transparency in nutraceutical manufacturing. Nutraceutical manufacturers are now held to higher standards when disclosing information about their products and processes.
This increased scrutiny results from growing consumer demand for more information about the products they purchase. Nutraceutical consumers want to know what they’re buying and ensure that the products they’re using are safe and effective. So recently, It can also be seen that nutritional product manufacturers continue to respond and have taken measures to improve the credibility of their products. One way that nutraceutical companies have sought to improve trust is by increasing transparency around manufacturing processes. By providing consumers with information about how their products are made, nutraceutical companies can help to build more confidence in the safety and efficacy of their products.
To Increase Trust in Nutraceuticals, How to Do?
1. Good manufacturing practices
GMPs are a set of guidelines that nutraceutical manufacturers must follow to ensure their products’ quality and safety. These guidelines cover all aspects of production, from raw materials to finished products. GMPs are typically regulated by government agencies, such as the FDA in the United States.
Two bills introduced to both houses of Congress on July 13 would create a new federal agency focused on food safety. In particular, this new agency needs to pay more attention to the safety of dietary supplements.
The Senate and House of Representatives of America have proposed passing the Food Safety Administration Act of 2022 to rename the FDA the Federal Drug Administration and create the Food Safety Administration. It also proposes to separate food from drugs, medical devices, and other products currently regulated by the FDA, which could be deregulated through dedicated legislation.
The measures in this regard can be seen in that the country has begun to take measures to improve and pay attention to the safety of dietary supplements.
Traceability is the ability to track a product back to its source. This is important in nutraceutical manufacturing because it allows for recalls and other safety measures to be taken quickly and efficiently if there is a problem with a batch of products.
Nutraceutical manufacturers develop efficient, compliant operations and provide consumers with information on raw material sources, accurate dosage levels, smart packaging, and more. At the same time, tracking all aspects of the supply chain and building rapport with customers influence their purchase decisions.
All nutraceutical products must undergo testing before they can be released for sale. This testing ensures that the products meet safety and quality standards.
For example, when it comes to product ingredient testing, manufacturers have many ways to ensure ingredient quality and provide formulation transparency to consumers.
- Component identification verification
Qualification of components is confirmed through techniques such as DNA testing and macro and microanalysis
Demonstrated by the concentration of ingredients provided by the nutritional product
Utilize purity testing to confirm the presence of impurity from unknown sources such as micro-contaminants or metals. These also include tests for mold, chloroform, yeast, salmonella, E. coli, and heavy metals.
Make sure there are no additional fortifications, such as the addition of non-naturally occurring actives.
Verify that no banned pesticides are used during cultivation and verify that heavy metal levels do not exceed specified values.
Certification is a voluntary process that nutraceutical manufacturers can undergo to show that they meet certain standards. There are many different certification bodies, such as NSF International, which offer different programs for nutraceutical manufacturers.
Transparency is the ability of nutraceutical manufacturers to provide clear and accurate information about their products. The transparency of nutraceutical manufacturers includes information about ingredients, manufacturing processes, and any potential risks associated with taking the product.
Product transparency can be reflected in many aspects of the product, as follows:
- In Labelling
Accuracy of label information is critical, so manufacturers must be careful when making claims and promises of “all-natural” or “pharmaceutical grade” for their products. Label declarations fall into four categories:
- A health claim showing a link between a food or substance and a disease or health-related condition
- A nutrient claim describes the amount of a nutrient in a food or dietary supplement
- Structure/function claims refer to the effect of a supplement on the structure or function of the body, including its overall effect on human health
- Qualified health claims describing the diet-disease relationship and summarizing the quality and strength of the claim’s evidence
- In Packaging
Packaging manufacturers have begun to upgrade traditional packaging systems to smarter, more connected, and more interactive packaging systems. And be able to implement intelligent functions, such as track and trace solutions, to meet customer needs.
Designed to improve product quality and shelf life, ensure safety and prevent counterfeiting, manufacturers can track and record product information at all stages of the manufacturing process, shipping and distribution. This data is also a great resource for customer mapping, buying personas, buying patterns, and customer journeys, enabling a more personalized buying experience.
- In Supply Chain
In the nutraceutical industry, the number of transactions that take place in the manufacturing process—from the seed of a natural ingredient to the final product on the shelf—is staggering. So without the integration of traceability and inspection systems, managing the complexities of this global supply chain can be a daunting and daunting task.
A digital supply chain provides more visibility while increasing agility and efficiency; it integrates and applies advanced digital technologies to supply chain operations, from purchasing data and inventory management to transportation and distribution. Organizations can digitize physical assets and create a decentralized, immutable record of all transactions, enabling tracking from production to delivery.
Companies planning to advance their transparency journey need to look at blockchain as a magical tool that can make global supply chain transparency a reality. A blockchain tracks collections of transaction records called blocks, resulting in a fully transparent, continuous sequence of transactions and an unmanipulated audit trail.
The nutraceutical industry is facing a number of challenges when it comes to transparency and safety. Manufacturing processes are becoming more complex, and there is a growing demand for products that meet stricter safety standards. In addition, the industry is also coping with increased regulation and scrutiny from authorities.
Despite these challenges, the future of nutraceutical transparency and safety looks promising. New technologies are emerging and can help manufacturers improve their manufacturing processes and ensure compliance with safety regulations. The ever increasing demand for nutraceuticals is driving a need to adapt in order to maintain market share. With increasing consumer awareness of nutraceutical products, it’s clear that manufacturers should be updating their technologies and processes as well. Because people won’t buy something if they know another company can produce the same thing for cheaper or better quality without any risks!
Looking to the future, nutraceutical transparency and safety will continue to be a major focus for manufacturers. By investing in new technologies and processes, nutraceutical companies can ensure that their products meet the highest safety and quality standards. In doing so, they can maintain consumer trust and confidence in the nutraceutical industry as a whole.
All in all, transparency is critical when it comes to standing out in the nutraceutical market. Brands that make a sincere statement, use tested components and high-quality ingredients, and emphasize these qualities on their packaging labels will build a rapport based on trust and transparency, often resulting in customer loyalty and repeat sales.
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