Russia enters the beauty food market

Wimm-Bill-Dann, a producer of healthy and functional food products announced its release of Neo Beauty, a range of dairy products specifically designed to improve skin, nails and hair. The company claims that Neo Beauty is an industry first in Russia, illustrating Russia's first foray into the growing trend for beauty foods and nutricosmetics spreading from the Far East, in particular the current market leader Japan. Neo Beauty contains the company's 3D Regeneo formula - a blend of aloe vera, anti-oxidants, minerals and vitamins - which the company claims has a healing, strengthening and regenerating effect on hair, skin and nails. The range consists of a probiotic drink and a drinking yoghurt, available in a variety of flavours. ​Neo Beauty joins Wimm-Bill-Dann's range of functional products that include a dairy drink enriched with complex lactose cultures and a dairy drink Bio-Vit with bifidus cultures. "We believe that the market for functional products in Russia will grow in value terms by around 40-50 per cent per year over the next few years, as consumers seek tasty and healthy products that help them manage busy lifestyles"​ said Grant Winterton, director for marketing and innovation at the company. Although the functional foods market in Russia is smaller than in more developed markets in Western Europe, it is not insignificant. According to Euromonitor, the market has grown consistently from 2000-2005, with both analysts and local manufacturers identifying fortified mixed juice and dairy drinks as a major opportunity. Strong growth in the sector is expected to continue, and by 2010 total sales of fortified/functional dairy products are expected to reach US$121 million. Forces for market growth identified by the market research company include rising disposable incomes, development is retail opportunities such as the growth in supermarkets and dedicated health and wellness stores. The release of a fortified beverage specifically designed to enhance beauty from one of Russia's leaders in the functional foods category indicates the increasing complexity of the market and the country's first attempt to tap into the trend for nutricosmetics and beauty foods. Currently the market is growing worldwide involving many of the big players. For example, in 2002 Nestle and L'Oreal, the world's largest companies in food and cosmetics respectively, joined forces to create Inneov, a creator of nutritional supplements with cosmetic applications. In addition Coca Cola has developed Yokuasa Purun for the Asian market. Fortified with cysteine, hyaluronic acid, ceramide, vitamin C and biotin, the milk-based beverage should be consumed last thing at night to promote beauty during sleep.