Personal care and beauty is the largest category, valued at $1.21 trillion|Giphy
The wellness economy is booming and hit a record high of $6.3 trillion globally in 2023. It is expected to reach nearly $6.8 trillion by the end of this year, surpassing the pharmaceutical and sports industries, according to new research by the Global Wellness Institute (GWI).
Leading categories include personal care and beauty (the largest), valued at $1.21 trillion. It is followed by nutrition and weight loss, valued at $1.09 trillion and physical activity at $1.06 trillion.
North America topped per capita spending on wellness at $5,768, with Europe trailing at $1,794.
The sector is 25% larger than it was in 2019. The COVID-19 pandemic could have fueled this rapid growth. An author of the GWI report noted that the focus on mental and physical well-being grew during the pandemic.
Additionally, wellness real estate—spanning high-tech offices and fitness-geared residences—grew the fastest, reaching $438 billion with a growth rate of 18.1%.
Wellness guru Tony Robbins and hospitality veteran Sam Nazarian recently announced a luxury hotel chain focused on preventive medicine and longevity. Hotel brands like Siro and Emory are offering health-centric facilities.
As wellness permeates consumer values, new market players cater to a more health-conscious audience.
Interestingly, McKinsey & Co., which considers consumer spending figures, estimated the global wellness industry’s value at $1.8 trillion in January 2024.
The GWI index considers everything from makeup to nail salons and even soap purchases as self-care and a part of the wellness market.