U.S. Sexual Wellness Market Size, Share & Trends Analysis Report By Product (Sex Toys, Condoms, Personal Lubricants), By Distribution Channel (Mass Merchandizers, Retail Pharmacy, E-commerce), And Segment Forecasts, 2020 - 2027

Report Overview

The U.S. sexual wellness market size was valued at 9.1 billion in 2019 is expected to grow at a compound annual growth rate (CAGR) of 5.2% from 2020 to 2027. The market is anticipated to exhibit lucrative growth in the coming years due to the rising prevalence of Sexually Transmitted Diseases (STDs) and HIV infection. Increasing government initiatives and NGOs participating in promoting the use of contraceptives is expected to boost the market growth. The increasing childbearing population of women in the U.S. and ease of online shopping and e-commerce is expected to further facilitate the sales of sexual wellness products. The NYC Health Department recommends masturbation as the safest form of sexual activity to minimize contact with others and reduce the spread of COVID-19. Since the pandemic has reduced the stigma around masturbation, an increasing number of customers in the country are opting for various sex toys to improve their sexual experience.

Major brands in the U.S. market for sexual wellness are expected to witness lucrative demand due to the growing use of sex toys among both men and women. The market is expected to witness lucrative growth over the forecast period owing to the growing acceptance of sexual exploration and acceptance of Lesbian, Gay, Bisexual, Transgender, and Queer (LGBTQ+) communities. Increasing concern about personal hygiene is also one of the factors driving the market. Easy use of online shopping and e-commerce has further facilitated the sales as it delivers the sexual wellness products discreetly.

Veru Inc., formerly known as The Female Health Company, was formed in October 2016, after the merger of FHC and Aspen Park Pharmaceuticals, Inc. It deals with the manufacturing of FC2 female condoms for protection against sexually transmitted diseases such as AIDS and unintended pregnancy and ensures the wellness of the person using it. In August 2018, Veru Inc.’s global public sector division-The Female Health Company-was awarded 75.0% of a South Africa female condom tender.

Industry players play a vital role in the non-commercial sector of condom distribution. Companies such as ONE promotes the use of contraceptives and donate condoms at a lower cost or for free and finance local outreach programs. In October 2017, they launched myONE Perfect Fit condom in the U.S., with over 60 sizes, in order to reduce the reluctance to use a condom due to improper fit. As an initial strategy, the company distributed over 1.0 million condoms across the country.

Product Insights

Sex toys dominated the U.S. sexual wellness market and accounted for a revenue share of 83.5% in 2019. The stigma attached to exploring sexual activity and experimenting is fading due to the liberalization and acceptance of homosexuality. Initiatives such as sex-positive movements are helping break the stereotypes of age, gender, and social construct. Acceptance of sexual minorities i.e. LGBTQ+ individuals is also promoting the use of vibrators and other sex accessories in the society. Women, in particular, are more enthusiastic about the involvement in discussions about sexuality and do not hesitate in experimenting with sexual wellness products.

Aging often leads to changes, such as vaginal dryness and erectile dysfunction along with problems such as stress, chronic pain, lifestyle changes, and chronic illness, which can compromise the intimacy between partners. The use of lubricants can alleviate the problem and is preferred by the older cohort. Water-based lubricant is the most commonly used lubricant by consumers worldwide. These lubricants are available at low prices and are compatible with condoms and other sexual wellness products such as vibrators. They provide the feel of natural vaginal lubricants and are easy to wash off, which makes them popular among consumers for masturbation and penetrative sex.

Distribution Channel Insights

E-commerce dominated the market for sexual wellness and accounted for a revenue share of 51.1% in 2019. Preference for online shopping is observed due to the anonymity provided by these shopping sites. Though the stigma attached to sexual wellness products is reducing, several individuals, especially married couples and young working women purchase these products from online portals.

The convenience of viewing, selecting, and ordering through online shopping websites, without revealing one’s identity, removes the barrier of judgment in most cases and thus boosts the use of sexual wellness products. The most frequently ordered products include vibrators, rubber penis, and lubricants. Freedom to select any lubricant from the variety of products available under different brands has enabled e-commerce platforms to gain popularity among customers. Moreover, the assurance of delivering the packages discreetly via e-commerce platforms has increased purchases among women of all age groups.

Key Companies & Market Share Insights

Online portals such as Amazon, Lovehoney, Drugstore.com, and Adam and Eve also play an important role in the supply chain. Retail store chains such as Walmart, Target, CVS Pharmacy, and Kroger Pharmacy offer sexual wellness products similar to mainstream products. The stigma previously extended to investors that were reluctant to fund ventures in sexual wellness products has changed in recent times. The stereotypical perception has witnessed a massive shift leading to angel investors increasingly investing in sexual wellness products and their manufacturers.

The market for sexual wellness is also impacted by strategic alliances such as partnerships and mergers and acquisitions. For instance, in February 2020, Doc Johnson announced a partnership with Young M.A.-a rapper and actor-to design a new range of pleasure products and increase its market reach. Also, in November 2019, the company partnered with Soho’s Original Adult Store, London to rebrand its look and attract more customers. In May 2020, Doc Johnson started shipping its new line of pocket pussy masturbators-Main Squeeze and Signature Stroke of Leo-made from UtlraSkyn, a material that replicates the natural feel of the skin. In May 2020, LELO launched various Stay home and Save deals applicable for the entire month, wherein the company was offering up to 15% discount on its products. Some of the prominent players in the U.S. sexual wellness market include:

• Church & Dwight Co., Inc.

• Reckitt Benckiser Group plc

• Veru Inc.

• Mayer Laboratories, Inc.

• Ansell (LifeStyles Healthcare Pte Ltd)

• BioFilm, Inc.

• LELO

U.S. Sexual Wellness Market Report Scope

Segments Covered in the Report

This report forecasts revenue growth at country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2016 to 2027. For the purpose of this study, Grand View Research has segmented the U.S. sexual wellness market report based on product and distribution channels.

• Product Outlook (Revenue, USD Million, 2016 - 2027)

  • Sex Toys

  • Condoms

  • Male

  • Female

  • Personal Lubricants

  • Water-based

  • Silicone-based

  • Oil-based

• Distribution Channel Outlook (Revenue, USD Million, 2016 - 2027)

  • Mass Merchandizers

  • Retail Pharmacy

  • E-commerce