GNC is struggling. It hopes Ozempic can improve it

GNC is struggling. It hopes Ozempic can improve it

GNC, the vitamin and supplement chain, has struggled for years. The brand hopes a new strategy tailored for people taking GLP-1 drugs for weight loss will help attract customers to stores and grow its business.

GNC announced Monday that it is adding specialty sections in its 2,300 US stores with vitamins, protein shakes and supplements tailored for people managing GLP-1 drugs such as Ozempic and Wegovy. GNC also trains store employees about the common side effects of GLP-1 and the company’s products for these issues.

The full impact of GLP-1s – or glucagon-like peptide 1 agonists – on people’s health is still unclear, but some people have reported side effects such as muscle loss and gastrointestinal problems. GNC positions its brand as a retailer that can support people managing these issues. Gyms, food manufacturers and retailers are adapting their strategies to respond to the rise of GLP-1.

“You’re dealing with GLP-1 side effects. What now? We can help,” advertises the top banner in GNC’s new GLP-1 “support section.”

Danish pharmaceutical company Novo Nordisk makes huge profits from creating and selling its famous GLP-1 product. Other big pharmaceutical companies like Pfizer and Roche are racing to bring their versions to market.

US healthcare providers wrote more than 9 million prescriptions for Wegovy and other injectable drugs used for weight loss in the last three months of 2022 alone. JPMorgan researchers estimate that 30 million people may be taking GLP-1 drugs by 2030, or about 9% of the US population.

GNC, which filed for bankruptcy in 2020 and closed more than 1,200 stores, is the latest brand to build a strategy around people using GLP-1.

WeightWatchers is launching a new membership plan for people that gives members access to doctors who can prescribe these drugs. It also struck a $100 million-plus deal to buy Sequence, a telehealth business that offers patients virtual prescriptions for these weight-loss drugs if appropriate.

Gyms are adapting their strategies as more of their members take drugs to lose weight. High-end gyms like Life Time are getting weight-loss clinics with doctors who can prescribe GLP-1, while Equinox is starting a personal training program for members who take GLP-1 to maintain muscle mass.

Food companies are also gearing up for GLP-1 users to buy fewer sugary snacks and drinks. JPMorgan said last year that current GLP-1 users bought about 8% less food — including snacks, soft drinks and high-carbohydrate products — over the previous year, compared to users not on the drug.

Food giant Nestlé plans to invest more in nutritional products it says provide “benefits” to people using GLP-1 treatment, such as the high-protein Opifast shake.