Unilever paid $1.2 billion for Grüns. Not for the ingredients, and not purely for the brand. For the format. Supplement gummies have a fundamentally different consumer behavior profile compared to capsules and powders — and the data shows it.
Key Takeaways
- Gummies generate significantly higher repurchase rates vs capsules and powders
- 18-35 demographic: highest adoption rate of any format — driven by palatability and social media shareability
- Capsules/powders perceived as "medical" — gummies perceived as lifestyle/food
- ILS Gummies also acquired in Q1 2026 — format-level consolidation is underway
- Risk: gummy format requires different formulation expertise and higher manufacturing complexity
Why gummy beats capsule
Three mechanisms explain gummy growth in supplements:
- Palatability. Gummies are enjoyable to take. Capsules and powders are functional. For a consumer who doesn't like "swallowing pills," gummies eliminate a daily friction point. Adherence improves.
- Category perception. Capsules signal "medication" — even when they're not. Gummies signal "healthy snack" — more accessible, less intimidating for audiences new to supplements. This is especially true for 18–25s entering the supplement category for the first time.
- Social shareability. A jar of colorful gummies gets posted on TikTok. A black capsule box, less so. The format is inherently more social — and the organic marketing that follows is a structural advantage for DTC brands.
What this means for brands
For brands staying in capsules/powders: they won't disappear. High-dose performance supplements (creatine, beta-alanine, pre-workout) don't formulate well as gummies. Gummy format has constraints: each gummy typically delivers 500mg to 1g of active ingredient — making it inefficient for high-dose ingredients. Seriously performance-positioned brands retain solid defensible space.
For vitamins, multivitamins, lightly-dosed omega-3, probiotics, beauty-from-within — gummy is becoming the default format. The acquisitions of ILS Gummies and Grüns in the same Q1 2026 quarter send a clear signal: if your supplement brand doesn't have a gummy line by 2026, you're behind.
The manufacturing constraint
The gummy boom is creating a manufacturing capacity constraint. Formulating a gummy with effective doses, stable texture, and long shelf life is technically harder than filling capsules. Specialized gummy CDMOs have waiting lists in 2026. For brands wanting to enter the format, time-to-market is longer than anticipated — which is a structural advantage for those already in the format.