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By Jessica DiNapoli
NEW YORK, June 20 (Reuters) - Nestle's new food
brand for people taking weight-loss drugs like Wegovy will note
that the meals are high in protein, fiber and nutrients, but
will not name the blockbuster medications, a company executive
told Reuters.
The world's largest food maker is keeping the names of the
drugs off the packaging due to regulatory concerns, Tom Moe,
Nestle USA's president of meals, said in a recent interview.
Nestle will instead market its Vital Pursuit line of
$5-and-under frozen meals on social media, he said.
"We won't directly make the connection (to the drugs) on the
food package," Moe said.
Nestle's hesitancy to name drugs like Novo Nordisk's
Wegovy and Ozempic on its packaging shows the
uncertainty facing global food companies as they place big bets
on selling products specifically geared toward millions of
people taking the appetite-suppressing medicines.
The medications, from a class of drugs known as GLP-1
agonists, threaten to dent profits of snack-makers and fast food
chains as people taking them cut way back on the amount of food
they consume.
When its fajita melts and pizzas hit store freezers this
autumn, Nestle will face a sea of competitors making specific
claims about their products targeting people on the medications.
The maker of Biocare, a drink that sells for $4.50 per
serving, touts on the packaging that it can "alleviate side
effects" such as nausea, for people taking semaglutides, a
reference to the active ingredient in Wegovy and Ozempic.
The medications can cause gastrointestinal side effects, but
doctors recommend people using them keep eating, especially
protein-rich foods, to maintain energy and avoid losing muscle.
Herbalife ( HLF ) pitches shakes sold in a bundle for
$185.10 that it claims can help people achieve their nutritional
needs while on "the shot," as the injectable drugs are sometimes
colloquially called.
Retailers like supplement-seller GNC are also looking to
capitalize on the trend by introducing a section in stores
dedicated to GLP-1 users, selling protein powder and fiber.
Referencing the weight-loss drugs on packaging for Vital
Pursuit products could expose Nestle to regulatory scrutiny.
"We're not a medication, we're a food product," Moe said.
Referring to the medications could suggest that the food
somehow treats or prevents disease, claims only drugs approved
by the U.S. Food and Drug Administration can make, said Lauren
Handel, an attorney specializing in food.
"It's a tricky area where you'd want to be careful about
what you say," Handel said. "The safest course of action is not
to mention any drugs."
The same rules apply to advertising, she said. Labeling
items as "suitable for people on a diet" or as "companions" to
the medications may comply with FDA regulations. "Some companies
will take more risk," she said.
Nestle declined to say whether it will refer to the drugs in
advertisements.
'ABSOLUTE GAME CHANGER'
Herbalife ( HLF ) is taking a more direct approach, saying on
Facebook: "Using a GLP-1 weight-loss drug? Support your
nutritional needs by using Herbalife's ( HLF ) GLP-1 Companion Pack."
Robard Corp, which makes Biocare, said it is marketing the
drink through a "strong influencer community who are all taking
GLP-1s." Other drugs in the class include Eli Lilly's ( LLY )
Mounjaro and Zepbound.
Biocare influencer Ashley Dunham of Jacksonville, Florida,
said in a TikTok video the product has been an "absolute game
changer" when it comes to maintaining her weight after losing
100 pounds (45.4 kilograms).
Coca-Cola and yogurt-maker Danone say many
of their products are perfect for people taking the medications
because they are either low in sugar or high in protein.
Coke's Fairlife shakes, with up to 42 grams of protein, are
frequently touted by social media influencers using the
medications.
Fairlife does not have any paid partners or influencers who
link the shakes with GLP-1s or weight loss, and does not target
them with free products or other incentives, a spokesperson
said.
Healthy Choice meal maker Conagra Brands ( CAG ) also will
keep drug names off packaging for food marketed to people using
the medications, executives told Reuters this month.
Using the names could turn off those who aren't taking the
drugs but would still consider buying the food, said Megan
Bullock, a director of strategic insights at Conagra.
Conagra will focus on attributes of its existing products
such as protein or fiber content to help consumers using GLP-1s
make the connection that the food is suitable for them, said Bob
Nolan, the company's vice president of demand science.
Conagra is not currently developing new brands for people
using the medications but executives have said it sees
opportunity to sell more frozen meals to them.
Kelli Frias, a marketing professor at American University,
said consumers do not yet have clear ideas of what to eat while
on the medications.
Food companies are "trying to create new associations," she
said. "We don't have those associations in our mind until we're
taught them."