
Weight Loss Medications Disruption on Consumer Eating Habits
Living a healthier lifestyle has become a theme for most consumers. January 2024, McKinsey and Company reported that 82% of consumers now consider wellness a top or important priority in their lives. The global wellness market was forecasted to hit $1.8T this past year. The US wellness market was valued at $480B in 2024, growing at 5% to 10% per year.[1] A key wellness trend for 2025 is weight loss. Weight management is the top physical health concern for consumers globally. A New Year resolution for many, yet hard to achieve. A Nanos Research study revealed:
- 60% of Canadians struggled to meet their recent weight loss resolution.
- 14M Canadians aim to lose weight in 2025.[2]
Yet as we age, losing weight becomes that much more difficult. Today, obesity is a major concern in Canada. Obesity Canada reveals one in four (25%) Canadians, and one in ten (10%) children are now living with excess weight.[3] To lose weight in the past, many turned to Weight Watchers or Jenny Craig. Most recently, consumers turned to the Paleo and Keto diet. Today, consumers are embracing weight-loss medications (GLP-1 Drugs). Yet, what impact if any have these weight loss medications had on consumers eating habits?
What Weight Loss Medications are Available to Canadians?
GLP-1 drugs were initially intended for treating type 2 diabetes yet are now being used more frequently for weight loss. Ozempic is a weekly injection that is not approved for weight loss, but some physicians prescribe it for this purpose. Wegovy also comes as a pre-filled injection pen that is only available through specialist weight loss clinics. Research has revealed those who have a regular exercise program are more inclined to keep the weight off while taking the drug.
What Consumer Segment are Most Likely to Try Weight Loss Medications?
In the US, close to 33% of consumers are inclined to pay for weight loss medications with that number increasing to 47% for Millennials as compared to 14% for baby boomers.[4] In Canada, that number is closer to 22%.[5] Males with children at home who earn more than $100,000 annually is the key demographic. Please refer to Appendix 1
Will Weight Loss Drugs Disrupt Grocery Budgets?
According to global business consultancy PwC, “Consumers using or planning to use GLP-1 medications can be expected to make definite changes in the amount of food they buy and eat, what they eat and how often they eat.” “The bottom line: Food and beverage suppliers and retailers — and restaurant and foodservice operators – are likely to see consumers volume of purchases and caloric consumption “meaningfully decrease” as the burgeoning market for GLP-1 drugs draws more users”.[6]
What Food Categories are Impacted the Most by Weight Loss Medications?
PwC’s research revealed that 29% cut back their food and beverage spending. Users spent on average 11% less on most food categories with the largest reduction in sweet and salty snacks and baked foods. In terms of eating and dietary changes, 47% of GLP-1 users in PwC’s survey reported eating smaller portions, and 56% said they now make healthier food choices.[7] Please refer to Appendix 2
On the other side of the coin, “The frozen foods aisle, which offers a wide variety of options and convenience for health-focused consumers, is of particular interest to GLP-1 users.” “Frozen food categories that are seeing the most spending among GLP-1 users include single-serve meals, multi-serve meals and appetizers. Health-focused, single-serve frozen meals are experiencing the largest growth”.[8]
What Can Brands do to Mitigate the Ripple Effects of Weight Loss Medications?
The common thread for brands impacted by weight loss drugs is the ability to adapt and innovate based on consumers’ changing food and beverage spending and consumption habits. For example,
- Nestle introduced a line of high-protein frozen food products called Vital Pursuit, also designed to be a companion for GLP-1 weight loss medication users and other consumers focused on weight management.
- Abbott Nutrition announced the launch of Protality, a line of protein shakes for those taking weight loss drugs.
Food Distribution Guy’s Final Thoughts
The weight loss medication market is here for a sustainable future. These drugs are considered a “forever drug” as research reveals people who go off the drug eventually regain much of their weight loss. Goldman Sachs estimates the size of the GLP-1 market in the US will reach $100B by 2030.[9] Here are just three ways food and drink companies can prepare for the impact of weight loss medication on consumer behaviour:
- Portion-Controlled Packaging: Smaller pack sizes appeal to people on the drug as they report feeling full after consuming less food and drink.
- Provide Targeted Solutions: Brands can provide tailored products for people using GLP-1 drugs.
- Appeal to Weight-Conscious Consumers Who Aren’t on These Drugs: Brands that prioritize high protein / fibre, lower sugar / salt, and energy boosting products have the most to gain.
Appendix 1
Percentage of those Prioritizing Weight Who Would Pay for Weight-loss Medications By Demographic[10]
Appendix 2
Reduction in Food and Beverage Purchases After Starting Weight Loss Medications[11]
References:
[1] The Trends Defining the $1.8 Trillion Global Wellness Market, www.mckinsey.com, January 2024
[2] Failed Weight Loss Resolutions Leave Canadians Discouraged Annually: Felix Health, www.ca.finance.yahoo.com, January 2025.
[3] Understanding Obesity, www.obesitycanada.ca
[4] More Americans Want to Lose Debt than Weight, www.lendingtree.com, January 2025
[5] Carman Allison, Nielsen IQ, November 2024
[6] Boom in GLP-1 Drugs Augurs Food Industry Disruption, www.foodbusinessnews.com, January 2025
[7] More Americans Want to Lose Debt than Weight, www.lendingtree.com, January 2025
[8] GLP-1 Drugs Drive New Innovation in Frozen Foods, www.supplysidefbj.com, January 2025
[9] The Business Opportunities and Challenges Weight Loss Drugs Hold for Food, Fitness, and Fashion Brands, www.uschamber.com,
[10] More Americans Want to Lose Debt than Weight, www.lendingtree.com, January 2025
[11] Impact of GLP-1 Drugs on Consumer Eating Habits, www.cdn.dal.ca, March 2024