Posted by admin on Jul 08, 2015


Upward Growth Curve in Nutraceutical Sales

Since 2007, the nutraceuticals market in the United States has increased steadily by 7 percent every year, and today the industry is worth $75 billion. According to a recent study conducted by Nutraceuticals World, a leading online publication of the industry, the trend has nowhere else do go but upward, especially in the United States and Japan.  This growth has been sustained over these years by reduced R&D costs, permissive regulation, and health-conscious customers.

Nutra Companies Classified as High Risk Merchants

One factor that is bound to have an impact on future profits, however, is the products being made increasingly accessible to customers through online payments. Unfortunately nutraceutical companies frequently find it difficult to get a merchant account not only because of the business model, but also because of the nature of the products they are selling.

With respect to the business model, the merchants that use recurring or continuity billing, frequently described with the blanket term of “negative option billing”, find themselves on the blacklist of payment processors, irrespective of how much effort they put into achieving customer satisfaction. If used properly, negative option billing can be a profitable business model, but the prospect of handling potential chargebacks is off-putting for many merchant account companies.

It is commonly accepted that permissive regulation has contributed to the expansion of the market, but as it happens most of the time, advantages come with costs. Nutraceutical products may contain substances that are regulated differently in various countries, specifically, a substance may be legal in the country where the seller resides, but it may be illegal in the customer’s country.

These inconsistencies in regulation for dietary supplements bring about a degree of unpredictability that might later on cause compliance or legal issues. As the penalties for processing online payments for regulated substances are exceedingly punitive, it is no wonder that nutraceutical companies are turned down by risk-averse payment processors.


Merchant accounts are crucial to the success of nutraceutical companies.   In seeking reliable accounts, it is vitally important to work with merchant account providers who understand the challenges of the industry.  And can deliver to you high volume processing accounts.

Account approval is simply the first step.  Once accounts are approved, nutraceutical companies need processors that  help control chargebacks and mitigate processing risk.  In this way, your accounts are protected long-term.  Assuring the success of your payment processing and protecting your business operations.

Both US and international merchant accounts are available for the nutra industry. Diversification of accounts is a wise strategy to mitigate risk for nutra merchants.  

Nutraceutical merchant accounts are available for one-time and recurring payments. Convenient for customers. Profitable for you. 

Are you searching for nutra merchant accounts to help your company grow & prosper?