UK consumers reduced their purchases of food and alcohol during the Christmas season, with industry experts attributing the trend to the popularity of weight loss injections. Despite reaching £19.6 billion in grocery sales over the four weeks leading up to December 27, a 2.5% increase from the previous year, sales volume actually decreased by 0.2%, according to data from market researcher NielsenIQ.
Analysts point to the growing use of GLP-1 injections, which simulate a hormone that promotes early satiety, as a significant factor in the decline of food and alcohol sales. The National Health Service (NHS) prescribes weight loss injections like Mounjaro and Wegovy, and diabetes treatment Ozempic. Recent studies suggest that approximately 1.6 million adults in the UK have utilized these injections in the past year.
Retail experts emphasize the impact of the “Ozempic effect” on grocery trends, noting a surge in GLP-1 usage leading to a year-on-year decrease in grocery volume among users. Categories like high-calorie snacks and alcohol have been notably affected, prompting retailers to adjust their product offerings to cater to the shift towards moderate consumption.
Major retailers are already responding to these changing consumer behaviors by introducing smaller meal options. Supermarkets like Co-op have launched “mini meals” for individuals with smaller appetites, while Marks & Spencer unveiled a new “nutrient dense” range and Iceland expanded its frozen meal selection with 38 new products.
Companies like Greggs are feeling the impact of the weight loss injections on their business, as evidenced by a 7.4% increase in total sales but only a 2.4% growth in like-for-like sales. Executives from Tesco and Sainsbury’s have acknowledged the need to closely monitor consumer preferences in light of the rising popularity of weight loss medications, signaling a potential shift in the retail landscape.