June 12, 2024
Melatonin Market

The Global Melatonin Market is Driven by Increasing Consumption of Dietary Supplements

Melatonin is a hormone produced naturally by the pineal gland in the brain which regulates circadian rhythms and sleep-wake cycles. Dietary supplements containing melatonin are increasingly being consumed by individuals suffering from sleep disorders and insomnia. Melatonin supplements come in various forms including tablet, capsule, liquid and edible forms. They are easily available over-the-counter without a prescription across both online and offline retail channels. Melatonin promotes relaxation, reduces stress and induces drowsiness which makes falling asleep easier. It is considered a safe and non-habit forming alternative to prescription sleeping pills.

The global melatonin market is estimated to be valued at US$ 576.85 Mn in 2023 and is expected to exhibit a CAGR of 7.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.

Market key trends:

One of the key trends witnessed in the melatonin market is the growing preference for vegetarian and vegan dietary supplements. Significant demand is being witnessed for plant-based melatonin supplements made from sources like tomatoes, oats, barley and rice bran. This is attributed to rising health consciousness and concerns over synthetic and animal-derived ingredients used in supplements. Manufacturers are leveraging this opportunity by offering more vegan-friendly options made from sustainable botanical sources like tart cherry and camomile extracts that promote natural sleep. Another key trend is the increasing demand for more potent and fast-dissolving formats like sublingual drops and sprays that promise quicker onset of action for fast relief from insomnia and stress. Technological advancements in pharmaceutical formulations and delivery mechanisms are allowing companies to launch more innovative product variants.

Porter’s Analysis

Threat of new entrants: Low barriers to entry such as low capital requirements make the threat of new entrants moderate. However, established brands and regulatory approvals for melatonin supplements provide some protection to existing players.

Bargaining power of buyers: Individual consumers have high bargaining power given the availability of substitutes. However, large pharmacy chains and distributors have relatively low bargaining power due to the presence of many suppliers.

Bargaining power of suppliers: The presence of many raw material suppliers keeps the bargaining power of suppliers in check in the melatonin market.

Threat of new substitutes: Herbal supplements that promote better sleep possess some threat as substitutes. However, melatonin is widely recognized as the most effective ingredient for inducing sleep.

Competitive rivalry: The melatonin market features many private label players globally intensifying competition. However, major players hold a large market share limiting aggressive price competition.

Key Takeaways

The Global Melatonin Market Demand is expected to witness high growth. The global melatonin market is estimated to be valued at US$ 576.85 Mn in 2023 and is expected to exhibit a CAGR of 7.4% over the forecast period 2023 to 2030.

North America currently dominates the market owing to consumer preference for natural supplements and growing incidence of sleep disorders. However, Asia Pacific is anticipated to showcase the fastest growth over the forecast period led by countries like India, China and Japan.

Key players operating in the melatonin market are Cipla, Teva Pharmaceuticals, Glenmark Pharmaceuticals, AdvaCare Pharma, Medlab Pharmaceuticals Private Limited, Dermocare Laboratories, Iva Healthcare Private Limited, Unilab Chemicals & Pharmaceuticals Pvt Ltd, Organon group of companies, Cosette Pharmaceuticals, Taro Pharmaceutical Industries Ltd., and Hikma Pharmaceuticals. The market remains highly fragmented with the wide availability of private label supplements. Major players are focusing on new product innovations, expanding in high growth regions and strategic acquisitions to strengthen their positions.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it