Elite Supplements Expands Amid Fitness Boom

Elite Supplements is rapidly expanding, aiming to open 22 new stores this year, despite growing challenges in retail leasing and labour shortages. The company, which started in Canberra, has experienced a surge in demand, driven by a broader shift towards health and fitness across Western countries.

Originally launched in 2007 as part of a Canberra gym, Elite Supplements grew steadily before accelerating in recent years. The brand capitalised on the rising consumer interest in wellness, particularly since the pandemic, and has now grown to nearly 140 outlets nationwide.

Over the past 12 months, the company's valuation has climbed 22% to approximately $150 million. This growth reflects the broader supplement industry, which is now worth an estimated $6 billion, with 8.2 million Australians purchasing supplements every six months. Demand for products like whey protein, vitamins and energy drinks has surged, contributing to Elite's revenue jump from $35 million to $143 million in just five years.

While supplement sales are booming, concerns remain over regulation and product safety. Some imported products lack approval from regulatory authorities, leading to warnings from industry experts. Strict local regulations are seen as both a safeguard and a hindrance, sometimes slowing product innovation.

Elite Supplements is also expanding internationally, with plans to open a store in Singapore this year. The company is securing prime locations in major Australian shopping centres, banking on strong in-store sales, which still make up the majority of its revenue despite the e-commerce trend. However, competition is intensifying, with major retailers adding supplement products to their shelves, putting pressure on specialist stores to differentiate themselves with premium offerings and expert advice.

Source: Australian Financial Review, Elite Supplements