Else Nutrition is an emerging leader in the infant formula and children's nutrition markets. The company's revolutionary nutritional׳ products are 100% plant based, dairy-free, and soy-free, and address a significant market gap by providing alternatives for babies and infants who need them. In preparation for the company's expected market share growth, Else Nutrition has made a number of announcements about critical progress they have made. First, they announced just a short while ago that they are expanding their distributing to 30,000 locations globally. Second and most recently, Else announced the significant news that its plant-based formula preclinical study was successful. In other words, they announced major milestone on the road to penetrating the $80 billion dollar market of infant formula (0-12 months), when until now, they've only been able to sell products for children aged a year or more.
Successful preclinical study
Else Nutrition's recent announcement that it successfully completed its plant-based infant formula clinical study is significant. While the full study will be presented at an international scientific conference on paediatric nutrition and growth in March 2022, the key recent news for investors is that the study demonstrated infant growth rates similar to dairy-based infant formula in a neonatal preclinical mode. That means Else Nutrition's infant formula offers an array of health benefits while also delivering the all-important infant growth expected from high quality infant nutrition. Not only does this provide valuable market validation, it also provides consumers with confidence that the company's products are delivering on the health outcomes they expect from an emerging plant-based infant nutrition leader.
The addressable market implications are significant. Up until this point, Else Nutrition has focused on the one year plus children's nutrition market, but looking forward the company will also be able to address the enormous less than one-year old infant nutrition market. Else Nutrition's total addressable market will increase significantly as a result. The global infant nutrition market was valued at $US50.5 billion in 2019, and is expected to grow at 10.6% p.a. between 2020 and 2027, with faster growth expected in the alternative non-dairy portion of the market. Else Nutrition will be aiming to capture a significant share of the emerging alternative infant nutrition market.
The successful study will also be used to demonstrate the safety and bioavailability of Else Nutrition's products to the Food and Drug Administration (FDA) and other regulatory authorities. A favourable preclinical study like this is generally regarded as a key part of an application for FDA approval. Else Nutrition is pushing ahead with its application for FDA approval as a result.
An Increasingly Positive Outlook
Else Nutrition is stepping towards its longer term goals, and the successful preclinical trial is one more step in the right direction. The company's long term goal is to fill the glaring gap in the market for whole-food, plant-based, soy-free infant formula by becoming a global market leader in alternative infant and children's nutrition. Management's strategy of developing market-leading products which address unmet market needs, and developing strategic distribution partnerships with leading retail platforms position Else Nutrition for accelerating growth looking forward.
* This is a contributed article and this content does not necessarily represent the views of sciencetimes.com
