Coca Cola is Ready to Take On Wegovy and Ozempic For Weight Loss

Fortune reports that the Coca-Cola CEO explains how the company outmaneuvered Ozempic for weight loss because Coca Cola has been offering low-calorie options for years, and he “isn’t worried about the emergence of weight loss drugs like Ozempic and Wegovy.”

Meanwhile, many other retail companies and manufacturers in the food and beverage industry see the increased trend in Wegovy and Ozempic for weight loss as detrimental competition.

Yahoo!finance added more fuel to the fire.

While many global food and beverage producers grapple with the rising trend of weight loss drugs and its potential impact on their revenue, Coca-Cola’s CEO remains unperturbed, thanks to the company’s strategic diversification into diet and zero-sugar alternatives.

Coca-Cola, the world’s third-largest soft drink producer, is ending the year on a high note after improving its full-year outlook during its Q3 earnings call, causing its share price to spike. According to CEO and Chairman James Quincey, weight loss drugs like Ozempic and Wegovy are having a minimal impact on the company’s performance.

“What’s important and distinctive about the Coca-Cola company from the beverage industry in general [is that] we in particular have been on a journey for those people who want to consume less calories, to provide zero calorie drinks, to have innovation, to take down the calories in other drinks, and to have smaller package sizes.”

James Quincey via yahoo!finance

Coca Cola vs Wegovy and Ozempic For Weight Loss

He further highlighted Coca-Cola’s distinctive position in the beverage industry due to its extensive journey towards offering zero-calorie drinks, innovating to reduce calories in other drinks, and introducing smaller package sizes.

As of now, 28% of Coca-Cola’s global portfolio comprises low or no sugar products, and nearly 66% of its sparkling portfolio comes in packages containing 100 calories or less. Moreover, a recent report from the World Health Organization confirmed that aspartame, a sweetener found in Diet Coke, is safe at real-world exposure levels, easing potential concerns about the product.

Quincey firmly believes in the company’s ability to provide low-calorie options for people looking to consume fewer calories.

“From a hydration point of view, you’re going to largely have all the liquid. So we can provide the low-calorie options for those people,” Quincey asserted.

James Quincey via yahoo!finance

This perspective is shared by PepsiCo CEO Ramon Laguarta, who earlier this month assured investors that the impact of weight loss drugs on sales of its soft drinks was currently negligible.

On the other hand, brands like Nestle, maker of KitKat and Smarties, are modifying their plans in response to the rising popularity of weight loss drugs. Nestle has started working on a range of “companion products” for weight loss drugs, anticipating a potential shift in consumer trends.

With weight loss drugs gaining traction, their potential impact on consumer preferences and the food and beverage sector is being closely monitored by industry leaders. However, for brands like Coca-Cola that have wisely diversified their product portfolio, they remain confidently poised to navigate any changes in the tide.