“Perish or step up your game”: Karallief CEO flags lack of research hurts herbal supplements sector

12 Apr 2021 --- The nutrition industry has a long way to go to improve consumer trust in herbal supplements, says Krishna Rajendran, CEO of Karallief.

According to the US-based herbal extract formula supplier, the supplement industry is a booming US$140 billion industry and growing. However, many products on the market lack the back-end research and transparency needed to bring grade-A products to the international market. 

NutritionInsight speaks with Rajendran about how herbal products that lack clinical evidence can have dire market consequences on market innovation.

Transparency’s expensive
Innova Market Insights’ top F&B industry trend for 2021 “Transparency Triumphs” explores how transparency is increasing to meet evolving efficacy, ethical and environmental benchmarks. 

Karallief CEO Krishna Rajendran: “We aim to raise the standard of the herbal industry as a whole.”However, evidence of product safety and efficacy requires research and clinical studies. These demand expertise, resources, time and money, but “very few companies have all these elements,” says Rajendran. 

“Most companies do not want to spend so much time and effort up-front and ‘delay’ the sales process, only to have so-so results at the end. It is a significant risk for the company and most companies do not want to take it,” he details.

Piggy-back riding unappreciated
While several companies ignore clinical trials entirely, others try and leverage research conducted by other companies selling similar herbals. 

“The problem with this is that one company invests so many resources and time into doing studies, only to be undercut in price by the other company. Formulator companies do not like it when suppliers piggyback on other companies’ research,” Rajendran explains.

The direct consequences are innovation-curious companies become hesitant to invest in resources. “Industry as a whole suffers due to the lack of innovative products that can make a difference in consumer health,” he adds.

Educate thyself
Lacking consumer understanding of various nutritional ingredients remains at top of mind. Just last week, a poll found more than half of US residents lack awareness about CBD terminology. Other sectors lacking consumer understanding are omega 3 and sports nutrition ingredients. 

Simultaneously, however, the pandemic is driving consumers to fill the gaps in their education and put an even greater focus on wellness. Throughout the pandemic, industry has noted consumers worldwide are taking an active role in their health and gravitating more to research-backed products.

Not all companies have the expertise, resources, time and money to conduct product safety research, says Rajendran.A 2021 Innova Market Insights survey notes six in ten global consumers are interested in learning more about where foods come from. 

Clinical studies backing up ingredient efficacy are not the only factors driving the transparency trend. The market researcher also lists human and animal welfare, supply chain traceability, plant-powered nutrition and sustainable sourcing.  

Concluding thoughts
Last month, Rajendran spoke with NutritionInsight about Karallief’s clinical evidence for its herbal ingredient formula Karallief Easy Climb, which has potential as a fast-acting natural solution for joint discomfort.

“It is this kind of scientific study that should be the gold standard in the herbal industry to push it forward and gain legitimacy and consumer confidence,” he says.

Overall, Rajendran encourages consumers to always do their own research to ensure products are right for them.

“As [consumers] start to choose better products, it will force the companies who are left out to either perish or step up their game and invest in more scientific research and testing.”

By Anni Schleicher