Health and wellness is a booming industry, and it’s only going to continue to grow in the years to come.
As more and more people become interested in living healthily, the demand for health and wellness products and services will continue to rise.
But who are the people who are buying these products? What do they want? And how can we segment them so that we can design products and services that precisely serve their needs?
In this article, we’ll take a look at health and wellness market segmentation and explore who is buying what in this growing industry.
Health and Wellness Market Segmentation
The health and wellness market can be segmented using a number of variables. In this article, we will look at 5 such variables:
- Health Condition
- Lifestyle
- Location of Treatment
- Age
- Willingness to Spend
Just remember, that a single individual will often be a part of multiple segments. For instance, someone could have a health condition like diabetes, be a vegan, and still be relatively young – in their 30s or 40s.
Similarly, someone else could be overweight and still lead a healthy lifestyle but isn’t willing to spend a lot on treatment or fitness routines.
Most people will purchase health and wellness products or services based on a combination of factors including which of these market segments they inhabit and to what extent it affects their decision-making process.
But to understand each segment, we need to isolate it from the others. So, let’s look at each of the segments in greater detail one by one.
Segmentation based on Health Condition
When performing health and wellness market segmentation, we first begin with the health condition for which someone is looking for a solution.
People with certain health conditions are more likely to seek out health and wellness products and services.
For example, people with diabetes may be interested in medical devices that help them manage their condition, such as blood sugar monitors or insulin pumps.
People who are overweight or obese may be interested in weight loss products and services. Or they could be a target for fitness centers that have special weight loss programs.
People with high stress in their lives may be interested in activities that help them relax, such as yoga or meditation.
People who have deficiencies like those of magnesium or vitamin D are a good target market for nutritional supplements that will address their deficiencies.
And, people who have chronic pain may be interested in products that help them manage their pain, such as over-the-counter painkillers or heat wraps. Or they may turn to physical therapy or massage therapy to help cope with their pain.
Segmentation based on Lifestyle
Lifestyle choices can also affect health and wellness decisions. For example, vegetarians and vegans are likely to be interested in health and wellness products that fit their lifestyles, such as plant-based protein powders or supplements.
People who lead sedentary lifestyles may be interested in products or services that help them get more active, such as fitness classes or home workout equipment.
And people who frequently travel for work may be interested in products that help them stay healthy on the go, such as portable fitness products or fitness apps that track their activity level.
People who generally eat healthily and take care of themselves may be interested in products that help them maintain their health, such as health supplements or fitness trackers.
Athletes and sportspeople will be interested in health and wellness products that help them improve their performance, such as sports drinks or protein bars.
Segmentation based on Location of Treatment
People can get treatment in a variety of locations including at the hospital, at the doctor’s office, at a health spa, at a therapist, or even in their own homes.
Treatments in hospitals are usually for more serious illnesses while those at the doctor’s office are for relatively minor problems that do not require hospitalization.
Some people get their treatment at home. This could be due to a preference for privacy or convenience. People who receive treatment at home may be interested in products that make it easier to take care of themselves while remaining in their homes. This includes such as at-home fitness equipment, air purifiers, or massage chairs.
People who go to a health spa for treatment may be interested in products or services such as massages, facials, or body wraps.
Other people get their health and wellness treatments at a health club or gym. These people may be interested in products or services that are offered at these locations, such as personal training or group fitness classes.
Segmentation based on Age
Health and wellness market segmentation changes considerably once we take age into account.
Young people in their 20s and 30s may be more likely to take risks with their health and wellness choices. For example, they may be more likely to try new trends like extreme sports or fad diets.
People in their 40s and 50s may be more likely to focus on health and wellness choices that will help them prevent health problems later in life. For example, they may be interested in products that help them lose weight or quit smoking.
People over the age of 60 may be more likely to focus on health and wellness choices that will help them manage chronic health conditions. For example, they may be interested in products that help them control their blood sugar or blood pressure.
Segmentation based on Willingness to Spend
Finally, all the health and wellness products on the market come to nothing if people are not willing to spend money on them.
Some health and wellness products, such as fitness trackers, may have a low price point and can be affordable for most people.
Other health and wellness products, such as massage chairs or home saunas, can be quite expensive and only affordable to a minority.
People who are not willing to spend any money on health and wellness products may be interested in free or low-cost options, such as walking or yoga.
It is important to distinguish between having money and willingness to spend. Not everyone who has money will be willing to spend it on health and wellness products.
Finally, there is the question of health insurance. Some health and wellness products may be covered by health insurance, while others may not. This will likely influence a person’s willingness to buy a health and wellness product or not.
Conclusion
While there are various ways to perform health and wellness market segmentation, in this article we have segmented this market based on 5 key variables: Health Condition, Lifestyle, Location of Treatment, Age, and Willingness to Spend.
The choice of health and wellness products and services is first and foremost, governed by the health condition for which people seek treatment.
Lifestyle choices play a role in health and wellness decisions as well. For example, people who smoke or drink alcohol may be interested in quitting these habits. People who are active may choose to buy products that help support and sustain their active lifestyle.
The location of treatment is another important variable to consider when segmenting the health and wellness market. People who receive treatment at home will be interested in a different set of products than those who go to a clinic or a therapist for treatment.
Age and Money – especially willingness to pay – also play a key role in the choice of health and wellness products.
