GLP-1 and the New Shopper: What Category Teams Should Do Now

The food industry is experiencing a major shift due to the emergence of GLP-1 (glucagon-like peptide-1) medications. These drugs, designed primarily for managing diabetes and obesity, are altering shopper choices in ways that can't be ignored.

GLP-1s regulate appetite and blood sugar levels. With the rise of GLP-1 medications, many consumers are altering their eating habits, often leading to a reduction in calorie intake. This change in appetite impacts shopper behaviour, pushing many towards different food options and changing their consumption patterns.

What is happening to consumption and purchasing patterns and ultimately what does that mean for each food category? What should category managers and teams be doing now?

Dive into what's happening - Monitor and Analyse

Start delving into the data and information. Read articles and studies on how the drugs are impacting the appeal of different food types. Ask your data providers what is available and what they are planning to monitor. As more people use the products data sets will build and the understanding of the impact will grow. The Grocer reported recently on changes in consumption of different foods. There is continued development of the drugs with a pill that could be available in the future.

A vibrant display of fresh produce promoting healthy eating.

Recognizing the New Shopper Profile

Kantar reported that 4 in 100 households are using GLP-1s currently. This number has doubled in a year. Start to consider the profiles/pen portraits of these shoppers.

• What will their capacity be to spend on Grocery?

• What is their demographic profile?

• How might their behaviours change?

• What needs may arise as a result of taking the drugs?

• Do needs arise that are not currently met?

• How is this number of shoppers likely to change and grow?

A well-organized grocery aisle filled with food options.

What is the impact for your Category

Think about it carefully

Is there any data in the initial studies about your category or one that is closely linked? Watch out on products that need a carrier or are an add on to a wider occasion. If the research says people are eating less bread you might not be selling bread, but is bread needed to use your product? (e.g. Butter, Fillings and Spreads). Pizzas are mentioned in some of the studies as something people eat less of. Could this mean that toppings and accompaniments are impacted?

Project changes

You may have already seen some changes in your category that you are hypothesising are from GLP-1 usage. Project out to how this trend could evolve. If you need forecasting support check out my latest resource. If you haven't seen any significant changes or are they negligible consider if this is the case if usage of GLP-1 grows at a similar rate.

Consider the opportunities

Do changes in consumption present opportunities? Will your category be visited more often? Will some space become redundant? Could your category grow space as a result? Are there new white space and innovation opportunities?

An appetising pizza

This is for the Long Term

Whatever the current impact, these drugs are here to stay. Incorporate this new thinking into your strategic work - Category Visions and Strategies, Business Planning, Forecasting and New Product Development Opportunities.

Get in Touch

I have already been supporting clients to help them understand the impact GLP-1s may have, create action plans and consider the opportunities. Get in touch is this is something you would like to explore further hello@curiouspuffin.com

Edit - Since writing it has been reported that the price of Mounjaro could rise significantly