Walmart says Ozempic, weight loss drugs impacting sales - Bloomberg
Oct. 04, 2023 4:09 PM ET
Walmart Inc. (WMT), LLY, NVO K
By: Jonathan Block, SA News Editor
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The rise in the use of a class of drugs used for diabetes and weight loss is starting to have an impact on shopper behavior, according to a Walmart (NYSE: WMT) executive.
In an interview with Bloomberg, CEO, US Operations John Furner said there is "a slight pullback in overall basket" in terms of items purchased and calories in them.
He added that it's too early to tell how much of an impact the drugs will have.
Diabetes drugs such as Novo Nordisk's ( NVO) Ozempic and Eli Lilly's (NYSE: LLY) Mounjaro (tirzepatide) are rising in popularity as they are being used for their weight loss benefits. Along with Novo's ( NVO) Wegovy (semaglutide), which is actually approved for weight loss, all are considered GLP-1 agonists.
The drug class works in part by impacting a part of the brain involved with hunger and satiety, allowing a person to feel full eating less food.
Walmart ( WMT) is able to examine sales patterns using anonymized data on shoppers. In this way, the retail giant can look at the purchasing changes among those taking GLP-1 agonists and those who aren't, Bloomberg explained.
On Oct. 2, Kellanova ( K) CEO Steve Cahillane said his company is looking at challenges drugs used for weight loss could have on the business. |
