Australia Protein Supplements Market Size and Share - Outlook Report, Forecast Trends and Growth Analysis (2024-2032)

Australia Protein Supplements Market Insights

• The Department of Health and Age Care states that sports generate around USD 32 billion yearly and employs 128,000 people.
• According to the Australian Sports Commission, 78% of males aged 15 and above engage in sports or physical activities weekly, which has subsequently led to protein supplements demand in Australia.
• The Department of Health and Age Care reported that approximately 13 million adults and 3 million children engage in sports annually.
• Protein bars contribute to the market growth due to their ability to meet fast-paced nutritional requirements.

Australia Protein Supplements Market Analysis

Protein supplements like bars, powder, and drinks are portable and can be consumed on the move, making them well-suited for individuals with busy schedules, athletes, or those seeking a fast, nutritious snack. Packed with essential nutrients, they aid in weight management and muscle recovery and come in various flavours to suit dietary preferences. Their long shelf life adds to convenience, and rising demand is driving increased production.

For instance, in August 2023, Ferndale Foods Australia invested AUSD 20 million (USD 13.1 million) in a new manufacturing facility to cater to the rising demand for healthier bars and snacks. The FoodLine Australia facility, situated in Ballarat, Victoria, is projected to produce 180 million bars each year, contributing to growth of the Australia protein supplements market.

Moreover, as more Australians adopt active lifestyles, the need for high-quality protein supplements to support muscle recovery and overall health has surged. For example, the Australian Sports Commission reports that over 15 million Australians engage in physical activity, which fuels the demand for performance-enhancing supplements.

Australia Protein Supplements Market Trends

Consumer Shift Toward Plant-Based Protein

The demand for plant-based protein supplements is on the rise as more Australians embrace vegan, vegetarian, and flexitarian diets. This trend is driven by concerns over sustainability, health benefits, and ethical considerations. According to a 2023 report by Food Frontier, the plant-based food sector in Australia has grown by 46% since 2020, and the number of vegans in Australia has increased significantly, with an estimated 500,000 Australians now identifying as vegan. As more consumers opt for alternatives like pea and hemp protein, this trend in Australia protein supplements market is expected to continue. Companies like Vital Strength and Tropeaka have also responded by expanding their plant-based product lines, further contributing to market growth.

Growth of E-commerce and Direct-to-Consumer Channels

The rise of e-commerce has significantly influenced how Australians purchase protein supplements. With the growing popularity of fitness apps and social media influencers, brands are increasingly leveraging online platforms to reach health-conscious consumers. According to Australia Post, online shopping in Australia grew by 57% in 2022. This surge has boosted the sales of protein supplements through direct-to-consumer channels, which in turn, has increased Australia protein supplements market revenue. Brands like MyProtein and Bulk Nutrients have also capitalised on this trend by offering a wide range of supplements online, further making it easier for consumers to access their preferred products online.

Industry News

September 2024

Researchers at an Australian university have successfully isolated valuable collagen protein from fish scales and other seafood waste. As the demand for sustainable and cost-effective protein sources grows, this innovation could lead to a broader acceptance of marine-derived collagen supplements, resulting in Australia protein supplements market expansion.

May 2024

Vitaco launched ATHENA in Australia and New Zealand, a new sports nutrition brand for women athletes, featuring protein powders, supplements, and bars. The product line focuses on essential nutrients like iron, calcium, and collagen to meet the unique biological needs of female athletes.

Opportunities in Australia Protein Supplements Market

One major opportunity in the market lies in the development of tailoured protein products to meet specific dietary needs, such as supplements designed for women, seniors, or athletes with specific performance goals. For example, brands like Happy Way offer protein supplements that cater to women's health with added ingredients like collagen and superfoods. Additionally, the market for seniors is projected to grow. As per industry reports, Australia's population aged 65 and over expected to reach 6.7 million by 2050, which can drive protein supplements demand growth in Australia, specifically for supplements that support muscle maintenance and healthy ageing. Another growth area is the rising interest in eco-friendly products, including plant-based and organic protein supplements. Plant-based supplements largely appeal to the growing vegan population, which has reached an estimated 500,000 Australians. These factors are driving new growth prospects in the market.

Australia Protein Supplements Market Restraints

One key restraint in the market is the rising cost of raw materials, particularly for high-quality, sustainably sourced, and plant-based proteins. For instance, the price of pea protein isolate surged by nearly 40% between 2021 and 2023 due to increased demand and supply chain issues, which has raised production costs. This resulted in higher retail prices and impacted protein supplements demand forecast. Additionally, consumer skepticism remains a barrier. A recent survey conducted by the Therapeutic Goods Administration (TGA) showed that approximately 30% of Australians have concerns about the effectiveness, safety, and regulation of supplements.

Regulatory scrutiny also plays a role, as the Australia protein supplements market is subjected to strict regulations by the Therapeutic Goods Administration (TGA), which can increase compliance costs for companies. Furthermore, competition from lower-cost international brands, particularly from the U.S. and Europe, has intensified. These companies offer products at more affordable prices, which challenges Australian producers. These factors collectively limit the growth potential of the market.

Australia Protein Supplements Industry Segmentation

“Australia Protein Supplements Market Report and Forecast 2024-2032” offers a detailed analysis of the market based on the following segments:

Market Breakup by Type

• Casein
• Whey Protein
• Egg Protein
• Soy Protein
• Others

Market Breakup by Form

• Protein Powder
• Protein Bars
• Ready to Drink

Market Breakup by Source

• Animal-Based
• Plant-Based

Market Breakup by Application

• Sports Nutrition
• Functional Food

Market Breakup by Distribution Channel

• Supermarkets and Hypermarkets
• Convenience Stores
• Specialty Stores
• Online
• Others

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Australian Capital Territory 
• Western Australia
• Others

Australia Protein Supplements Market Share

By Type Insights

Whey protein dominates the market due to its high bioavailability and effectiveness in muscle recovery of body builders and athletes. According to industry reports, whey protein products contributed to over 60% of total protein supplement sales in Australia in 2022. Brands like Optimum Nutrition and Bulk Nutrients lead the charge with several whey protein offerings, targeting all fitness enthusiasts.

As per the Australia protein supplements market overview, casein protein, known for its slow digestion, is popular among consumers looking for prolonged muscle recovery and satiety benefits. Although it holds a smaller market share compared to whey, casein has gained traction in recent years, particularly for night-time consumption.

Soy protein, however, is a prominent plant-based protein option in Australia, especially among vegans and those with dairy allergies. With the rising vegan population and increased focus on sustainability, soy protein supplements are witnessing significant demand. In response, companies like Tropeaka and PranaOn have expanded their soy protein product lines.

By Form Insights

Protein powder segment dominates the protein supplements market share in Australia, driven by a high demand from athletes, fitness enthusiasts, and individuals seeking convenient post-workout energy source. As per industry reports, over 40% of Australian consumers consume protein powders on a regular basis. In addition, there is a rising interest in plant-based protein powders made from pea and hemp, further driving segment’s growth.

Protein bars, on the other hand, offer an on-the-go solution for consumers seeking quick energy boosts and protein intake. According to Euromonitor International, the demand for protein bars has surged due to busy lifestyles and their positioning as healthy snack alternatives. The increasing addition of sugar-free and natural ingredients in protein bars by manufacturers has also contributed to their popularity.

As per Australia protein supplements industry analysis, the ready-to-drink (RTD) protein segment is also rapidly growing, particularly among millennials who prefer convenient beverages without sacrificing nutritional value. In Australia, RTD protein products are easily available in supermarkets and health food stores. The segment's growth is further supported by innovations in flavour, packaging, and nutrition by market players.

By Source Insights

Animal-based protein supplements, including whey, casein, and egg protein, hold the majority share of the market. As per industry reports, sales of animal-based protein supplements reached AUD 340 million in 2023 due to the fitness industry's increasing reliance on high-quality protein sources. Moreover, recent surveys indicate that more than 50% of regular gym-goers in Australia prefer whey protein due to its fast absorption and complete amino acid profile. The demand for premium products, including grass-fed and hormone-free whey proteins, is also on the rise, further fuelling Australia protein supplements market growth.

In contrast, plant-based protein supplements, including soy, pea, and hemp protein have also seen a steady increase in consumer adoption. In 2023, the plant-based segment generated AUD 145 million in sales, supported by the growing number of vegans and individuals with lactose intolerance. In addition, according to Vegan Australia, 11% of Australians now follow a plant-based diet, contributing to the rise in plant protein consumption. Development of various flavours (mango, strawberry, apple, and cocoa) and blends that offer a complete amino acid profile have also made plant-based proteins more appealing to consumers.

By Application Insights

The sports nutrition segment has substantially increased Australia protein supplements market value in recent years. This is because several whey and casein protein powders are widely available through speciality stores like Nutrition Warehouse in Australia and online platforms like Amazon. Moreover, BodyScience and EHP Labs, which are two prominent Australian brands in the sports nutrition sector, have observed a growing demand for high-performance protein supplements from professional athletes and gym-goers. This protein supplements demand in Australia is driven by the increasing focus on athletic performance, muscle recovery, and personalised nutrition. In response, BodyScience recently developed products like BSc HydroxyBurn Lean5 for consumers looking to build lean muscle mass and support recovery after intense workouts. EHP Labs, on the other hand, offers products such as OxyWhey, a protein powder designed for muscle recovery and fat loss, making it ideal for people seeking better body mass index (BMI).

Functional food, including protein-enriched snacks, bars, and meal replacements, are gaining popularity due to their ease of use, portability, and immediate consumption, making them ideal for busy individuals, fitness enthusiasts, and on-the-go consumers. According to Australia protein supplements market report, supermarkets like Woolworths and Coles and online platforms such as Amazon and EHP Labs' website offers a wide variety of protein products. Also, protein drinks and bars offer a balanced amount of protein per serving, usually between 20-30 grams, and are often fortified with other nutrients like vitamins, minerals, and amino acids, making them a convenient alternative to traditional protein powders, which require mixing.

By Distribution Channel Insights

Supermarkets and hypermarkets account for largest share in the Australia protein supplements market, with retail giants like Woolworths and Coles expanding their range of protein products, including powders, bars, and ready-to-drink shakes. Recent reports show that these stores are increasingly stocking plant-based protein options due to growing consumer demand. In 2023, sales from Australian supermarkets were estimated at AUD 220 million, further highlighting their role as a major distribution channel.

However, the online segment is growing at a faster rate. E-commerce platforms like Amazon, eBay, and dedicated websites of market players, such as Optimum Nutrition (ON) are driving segment’s share. The shift towards online shopping in Australia protein supplements market landscape has also been accelerated due to availability of subscription models for protein supplements on various websites.

Specialty stores, such as Nutrition Warehouse and Supps R Us, cater to fitness enthusiasts and athletes by offering a wider range of high-quality and niche protein supplements. Specialty stores are preferred by consumers looking for expert advice, specific brands, international protein powders, or unique products, such as organic or high-performance supplements.

Australia Protein Supplements Market Regional Insights

New South Wales (NSW), including Sydney, is the largest market for protein supplements in Australia, driven by its dense population and strong fitness culture. Gyms, health food stores, and specialty retailers such as Nutrition Warehouse recently reported high sales of whey protein and plant-based alternatives in the region. Moreover, there is a growing popularity of RTD protein drinks in Sydney’s working class.

Victoria, particularly Melbourne, is another major market, with a strong demand for both sports' nutrition and functional foods. Protein bars and snacks are popular in this region, with brands like Musashi and Quest leading sales. Frequent occurrence of fitness events like Melbourne Marathon has also boosted the demand for high-performance supplements among participants, positively impacting Australia protein supplements market outlook.

Queensland, known for its active outdoor lifestyle, has a high consumption of protein supplements, especially in coastal cities like Brisbane and the Gold Coast. There’s significant demand for whey protein and recovery supplements, as outdoor sports like surfing and triathlons are popular in the region.

Innovative Startups in Australia Protein Supplements Market

The focus of start-ups is primarily on innovation and diversification. They are increasingly developing plant-based protein products and tailoured supplements for increasing muscle wasting problems in the ageing population of the country. Additionally, they are focused on developing and launching ready-to-drink (RTD) protein beverages in the market. Start-ups are also expanding their presence in developed regions, such as North America. Start-ups that have largely influenced Australia protein supplements market dynamics and trends are:

v2food is a plant-based meat alternative company founded in 2019 by Chief Innovation Officer Dr. Nick Hazell and backed by Main Sequence Ventures and Competitive Foods Australia. The company has developed a range of plant-based meat products, including burgers, mince, and sausages, using proprietary technology to create realistic meat alternatives. v2food's products are available in major Australian supermarkets and have also been exported to several Asian countries. The company has raised over USD 35 million in funding to date and has also established partnerships with major food companies.

The Leaf Protein Co is a Victoria-based start-up that has recently developed a technology to extract protein from green leaves, which has also provided lucrative Australia protein supplements market opportunities. Founded in 2020, the company has successfully extracted protein from 13 varieties of plant materials and is using common crops like alfalfa to provide farmers with additional sources of revenue. In 2023, The Leaf Protein Co raised USD 850,000 in pre-seed funding from the University of Melbourne Genesis Pre-Seed Fund and the Hugh Victor Mckay Fund. The funding is being used to recruit staff for their pilot production facility and commence commercial production of their plant protein. Moreover, the company also uses the generated by-products in animal feed or packaging materials.

Competitive Landscape of Australia Protein Supplements Market

Market players are focused on product innovation to cater to consumer shift towards plant-based, organic, and allergen-free options. With the rise of health-conscious and vegan consumers, companies are introducing sustainable, eco-friendly protein sources like soy, pea, and hemp. Additionally, they are incorporating added vitamins, minerals, and superfoods to enhance product benefits and make them functional. Many brands are also leveraging online platforms to reach a broader audience.

Key Industry Players

Vitaco Health Australia Pty Ltd. is a health and wellness company that develops and markets a range of nutritional supplements, vitamins, and health foods. The company was founded in 1932 and is headquartered in Sydney, Australia.

Glanbia Performance Nutrition Pty Limited is a subsidiary of Glanbia plc, an international nutrition company. The company manufactures and distributes sports nutrition and lifestyle nutrition products. Glanbia Performance Nutrition Pty Limited is headquartered in Dublin, Ireland and was founded in 1997.

Hi-Performance Health Pty. Ltd. is an Australian company that provides health and wellness products and services. The company was founded in 2013 and is headquartered in New South Wales, Australia.

MusclePharm Corporation is a global provider of sports nutrition and lifestyle branded nutritional supplements. The company was founded in 2010 and is headquartered in Colorado, United States.

Other Australia protein supplements market players include Bioflex Nutrition, Body Science International Pty Ltd., and True Protein Pty Ltd. among others.

Recent Developments

September 2024

MUSASHI has launched a variety of protein bars on Amazon in the U.S., including MUSASHI Protein Crisp Bar, which contains 20g of protein and MUSASHI High Protein Bar, offering 45g of protein with only 2g of total sugars. Designed for fitness enthusiasts and athletes, the launch of these products has driven Australia protein supplements market development.

September 2023

FitLife Brands completed the acquisition of MusclePharm Corporation for approximately USD 18.5 million. This strategic move aims to enhance FitLife's portfolio in the health and wellness sector, including protein supplements. However, the complete deal is expected to close by the end of FY 2024 due to pending regulatory approvals.