Food Giants Adapt as GLP-1 Drugs Reshape Consumer Habits

The growing use of weight-loss drugs like Ozempic and Wegovy is influencing how consumers eat, prompting food manufacturers to adjust their strategies. Companies such as PepsiCo, Mondelēz, and Conagra are responding to shifting dietary habits by marketing products that cater to those using these medications.

Approximately 14% of U.S. adults have taken GLP-1 drugs for weight loss or diabetes management. These medications, which suppress appetite, have raised concerns that they could lead to a decline in food consumption and sales. However, major food producers have largely maintained their sales volumes by adapting their product lines to align with consumer needs.

Conagra Brands has labeled over two dozen Healthy Choice frozen meals as “GLP-1 friendly,” becoming the first major brand to explicitly reference the medication on packaging. The company is closely monitoring consumer feedback to determine whether similar labeling should be expanded to other brands in its portfolio. Many of Conagra’s products, including Birds Eye vegetables, Slim Jim meat sticks, and Healthy Choice frozen meals, have been positioned as suitable choices for individuals managing their weight with GLP-1 drugs. These portion-controlled, nutrient-dense foods remain relevant even after consumers stop taking the medication, supporting long-term weight maintenance and overall health.

Other major food companies are also shifting their marketing strategies. General Mills is leveraging targeted advertisements to promote its Progresso high-protein, high-fiber soups to GLP-1 users. Danone is working with healthcare practitioners and retailers to position its Oikos and Too Good & Co. yogurt lines as ideal options for those on medication. Nestlé has introduced a pre-meal drink under its Boost brand to help consumers manage hunger and launched Vital Pursuit, its first major U.S. brand in nearly three decades, specifically catering to individuals using GLP-1 drugs and those focused on weight management.

Despite concerns over potential declines in snack sales, research from Cornell University and Numerator found that households with a GLP-1 user reduced their grocery spending by approximately 6% within six months. Savory snacks, including chips, baked goods, and cookies, saw spending declines of up to 11.1%.

Hershey has reported only a mild impact from GLP-1 drugs, while PepsiCo has not observed any significant changes in consumer demand. Mondelēz International’s analysis found that while GLP-1 users initially consume smaller portions, they tend to revert to previous eating patterns once they stop using the medication. The company anticipates that the drugs could reduce product volumes by up to 1.5% by 2035 yet does not see a need to reformulate its products, instead focusing on offering smaller portion sizes suitable for GLP-1 users.

Mondelēz is also less exposed to potential GLP-1-related sales declines than some competitors, as only a quarter of its revenue comes from the U.S., which is expected to be the largest market for these weight-loss medications. Industry analysts suggest that broader consumer trends—including the demand for healthier ingredients and functional nutrition—have been more influential in shaping food company strategies than GLP-1 medications.

Despite the evolving market, no major food company has reported significant disruptions due to GLP-1 drugs. The industry remains focused on innovation and marketing strategies that align with shifting consumer preferences, ensuring continued growth in a changing market.

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