Nestle (NSRGY.US) will launch a new food brand for people taking weight-loss drugs like Wegovy, which will emphasize high protein, high fiber, and rich nutrition, but will not mention any drug names on the packaging. Tom Moe, president of Nestle's US food business, said in an interview that the world's largest food manufacturer decided to no longer label drug names on its product packaging due to regulatory considerations. Instead, it will promote its Vital Pursuit series of frozen foods through social media channels, priced at $5 or less. Product structure, 100-300 billion yuan products operating income of 401/1288/60 million yuan respectively.

Moe emphasized: "We will not directly link food packaging to drugs." This indicates that Nestle has taken a cautious approach in promoting products for people taking appetite suppressants, in contrast to companies like Novo Nordisk (NVO.US) that directly label drug names on their packaging.

These drugs belong to the GLP-1 agonist category, which may significantly reduce food intake for users, posing a potential impact on snack manufacturers and fast food chains' profits. This fall, Nestle will introduce new products in the market to compete with competitors that have clearly marked their target consumer group taking specific drugs. However, directly associating food with weight-loss drugs may subject Nestle to regulatory scrutiny.

For example, Biocare's drinks claim on the packaging that they can alleviate side effects such as nausea for people taking sitagliptin-like drugs. Doctors recommend that people taking these drugs continue to eat, especially protein-rich foods, to maintain energy and prevent muscle loss.

However, directly linking food to weight-loss drugs may subject Nestle to regulatory scrutiny.

Food lawyer Lauren Handel pointed out that mentioning drugs may imply that the food can treat or prevent diseases, which can only be claimed by products that have been approved by the FDA. "This is a tricky area, and you have to be careful. The safest thing is not to mention any drugs," Handel advised. She added that the same rule applies to advertisements, and labeling products as "suitable for dieters" or "compatible with drugs" may be more in line with FDA regulations.

Nestle refused to disclose whether these drugs will be mentioned in advertising. Moe stated: "We are not drugs, we are food."

Food and beverage giants are competing to lay out their products.

Other companies, such as Herbalife (HLF.US) and GNC, are also using different methods to meet the needs of people taking GLP-1 agonist drugs. Herbalife's shakes are sold for $185.10 per pack, claiming to help people meet their nutritional needs while taking drugs. Compared to Nestle, Herbalife took a more direct approach, promoting its products through social media to complement GLP-1 weight-loss drugs.

Frank Lamberti, Herbalife's chief business officer, explained that the company chose to use the term GLP-1 instead of directly mentioning brand names like Ozempic to avoid alienating consumers who may be using competing drugs produced by companies like Eli Lilly (LLY.US) or those who have stopped using drugs but still care about managing their weight.

Meanwhile, Robard Corp, the producer of Biocare, said that it is promoting its beverage products through partnerships with influential communities of people taking GLP-1 drugs. Biocare influencer Ashley Dunham shared her success story in a TikTok video, saying that the product played an "absolutely game-changing" role in maintaining her weight after losing 100 pounds (45.4 kilograms).

Other food and beverage companies, such as Coca-Cola (KO.US) and yogurt maker Danone (DANOY.US), have also noticed this market trend. Their products, such as Coca-Cola's Fairlife shakes, are favored by consumers taking these drugs due to their high protein content (up to 42 grams of protein per serving). Fairlife stated that although it did not partner with any paid partners or influencers to promote its products' association with GLP-1 or weight loss, it had received positive feedback from consumers taking the drugs.

Health food manufacturers such as Conagra Brands (CAG.US) are also adjusting their product strategies to better serve consumers taking these drugs. Megan Bullock, Conagra's Director of Strategic Insights, pointed out that the company decided not to use drug names on packaging to avoid potential alienation of potential consumers who do not take these drugs.

However, directly linking food to weight-loss drugs may subject Nestle to regulatory scrutiny.

However, directly associating food with weight-loss drugs may subject Nestle to regulatory scrutiny.

Bob Nolan, Vice President of Demand Science at Conagra Brands, said the company will focus on emphasizing the protein or fiber content of its existing products to help consumers taking GLP-1 drugs identify foods that suit them.

Although Conagra Brands does not currently develop new brands for consumers taking these drugs, company executives see the potential to sell more frozen foods to this specific group.

Currently, food companies are trying to create new market associations, and consumers are not yet clear about what they should eat while taking these drugs. Kelly Friar, a marketing professor, pointed out that food companies are "trying to create new associations," which is a whole new field for consumers.