Effects of Consumer Characteristics on the Intake of Health Functional Foods: Implications for National Health Expenditure Savings

Abstract

This study analyzed the consumer characteristics of health functional food intake by major product and measured the national health expenditure saved due to the intake. Our survey of 1,210 consumers covered the current state of their health functional food intake and consequently their reduced medical expenses. Using a probit model, this study analyzed the characteristics of the consumers' intake of each of the seven major products: multivitamins, red ginseng, probiotics, lutein, eicosapentaenoic acid/docosahexaenoic acid oils, single vitamins, and propolis. The results showed that women had a higher probability of consuming these products than men. However, younger consumers were more likely to take multivitamins and probiotics, while older consumers were more likely to consume lutein, eicosapentaenoic acid/docosahexaenoic acid oils, and propolis products. For most products, a higher income level increased the probability of taking them. On the other hand, the national health expenditure saved due to consumers' intake of health functional foods was estimated to be approximately 8.952 trillion won (about USD 8 billion), which included about 2.202 trillion won (about USD 1.95 billion) in the private sector and approximately 6.750 trillion won (about USD 5.98 billion) in the public sector.