GNC 2009 Annual Report Download - page 8

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Table of Contents
Increasing Focus on Fitness: In total, U.S. health club memberships increased 5.3% between January 2004 and January 2008 from
39.4 million members to a record 41.5 million and has grown 72% from 24.1 million in 1995, according to the International Health,
Racquet & Sportsclub Association. We believe that the growing number of fitness-oriented consumers, at increasingly younger ages,
are interested in taking sports nutrition products to increase energy, endurance, and strength during exercise and to aid recovery after
exercise.
Participants in our industry include specialty retailers, supermarkets, drugstores, mass merchants, multi-level marketing organizations, mail-
order companies, and a variety of other smaller participants. The nutritional supplements sold through these channels are divided into four
major product categories: VMHS; sports nutrition products; diet products; and other wellness products. Most supermarkets, drugstores, and
mass merchants have narrow nutritional supplement product offerings limited primarily to simple vitamins and herbs, with less knowledgeable
sales associates than specialty retailers. We believe that the market share of supermarkets, drugstores, and mass merchants over the last five
years has remained relatively constant. 3