As more consumers start GLP-1 treatments, some CPG brands must work harder to stay in shopping carts. As many GLP-1 users eat less and change their diets, it opens new challenges and opportunities for retailers and marketers.
The news: Prescription drugmakers can now apply for new Trump administration priority review vouchers that will cut drug approval times down from 10-12 months to just 1-2 months. Our take: Good faith commitments for US drug onshoring investments could translate to valuable advantages if those drugmakers can leverage those into a CNPV. But with so many pharma companies already in that pool, we expect this year’s winners to be drugmakers who can show real evidence of two, three or even all five priorities on the Trump administration list.
The trend: Consumers generally find that AI-generated responses to their online health queries are only somewhat reliable, according to a new survey from the Annenberg Public Policy Center (APPC) of the University of Pennsylvania. Our take: As Google’s AI gets smarter, healthcare and pharma websites will lose search traffic. Google is in a race with OpenAI and other tech players to make its AI more intelligent and improve users’ search experiences. Other consumers will conduct more health queries on platforms like ChatGPT. Brands and publishers must optimize content for AI rather than for search, but they should also be developing strategies to connect more with consumers on non-search channels such as social media and CTV.
The news: Roche is considering a direct-to-patient (D2C) sales channel for its prescription drugs, CEO Thomas Schinecker said in its Q2 earnings call. Our take: The complex US healthcare PBM and insurance system can’t easily flip to a pure-play D2C prescription sales market. However, we think it will become a reliable channel, especially for self-pay patients. Pharma marketers can court them with special pricing deals, a la Lilly and Novo, but ensure they stay on the right side of regulators.
The news: Due to confusing guidance from the federal government, medical associations and several states are creating their own vaccine recommendations for the public, per a Reuters report. Our take: Next, pharma brands and marketers—particularly vaccine makers—must preserve the integrity of their products by creating ad campaigns that directly address the safety concerns called out by RFK Jr. and his team.
The news: AstraZeneca plans to invest $50 billion in US drug manufacturing and R&D by 2030. The big takeaway: Pouring billions into US builds isn’t an option for most generic drugmakers that operate on thin margins. This could result in shortages since companies that make generics may have to choose between exiting the market once tariffs take effect and raising prices when possible. Other players in this space might find it most beneficial to wait it out and see if Trump changes course yet again on tariff policy.
The news: Rare disease drugmaker Sarepta Therapeutics is pausing sales of a muscular dystrophy drug, Elevidys, after initially refusing an FDA request to halt sales due to safety concerns. The takeaway: Elevydis’ path to FDA approval was unconventional, but deemed appropriate at the time for a devastating disease. The new deaths and now paused sales serve as caution for both the FDA and drugmakers to balance the emotional sway of unmet medical needs with complete and continued clinical research.
The news: Insurance premiums are set to rise by 15% next year for the people who buy through the Affordable Care Act, per a new KFF analysis. Our take: While the Trump administration is eliminating the ACA tax credits, states where the president won the election account for 88% of ACA enrollment growth since 2020, per KFF research in April. When premium increases roll out across the ACA marketplace, and spillover into higher costs for hospitals and healthcare services, we expect plenty of political finger-pointing over fault, but little agreement on ways to improve US healthcare and keep consumers out of medical debt.
The trend: Consumer perception of healthcare providers worsens when they find out the doctor uses AI, according to research recently published in JAMA Network. Our take: Healthcare is inherently emotional, and many consumers might be under the impression that their doctor is using AI as a shortcut. In reality, the opposite might be true. Physicians use AI to make them more efficient and free them up to spend extra time with patients. But language and details matter, and providers and marketers must ensure this is reflected in their messaging.
The trend: People who actively use patient portals are less likely to skip an upcoming doctor’s appointment than those without portal accounts, according to recent research from Epic that analyzed 1.6 billion visits in 2024. Our take: Engaging with a patient portal is important, but it isn’t a major needle mover for appointment no-shows. Strategies such as helping coordinate transportation, sending text and email alerts, and communicating no-show fees could play a bigger role in eliminating costly no-shows.
The big idea: Pharma marketers should pivot away from TV advertising even if the government doesn’t implement a ban on D2C drug ads. Our take: Pharma is a unique industry that still benefits from linear TV. However, more drug brands should consider D2C online platforms that serve as quasi substitutes to TV commercials at a much lower cost, plus channels like influencer partnerships.
The news: Abbott and Johnson & Johnson reported lower-than-expected costs from tariffs during Q2 earnings this week. Our take: It seemed like medical device companies would be the hardest hit by tariffs initially. So the positive spin from Abbott and J&J is encouraging. But tariffs are still costly. While device and diagnostic companies talk broadly about plans to mitigate tariff effects, raising prices for healthcare systems and consumers isn’t off the table.
The news: An FDA panel endorsed the removal of black box warnings on hormone therapies used for menopause. For context: Black box warnings are the strongest safety warning issued by the FDA for Rx drugs and highlight serious or life-threatening risks. Our take: Removing the black box warning could encourage pharma brands to not only develop more treatments but also market hormone therapy more. While personal risks and benefits still need to be weighed with a doctor, the change may result in more women on treatment.
The news: Pfizer and Bristol Myers Squibb will launch a direct-to-patient channel to sell their blockbuster blood thinner Eliquis at a reduced cash-pay price. Our take: Pfizer and Bristol Myers Squibb have anticipated the Eliquis patent loss and sales drop for years as part of the typical branded drug cycle. We see the new direct sales platform launch not as a play for new revenues, but rather a negotiating nod to the Trump administration. Only 10% of Eliquis patients are uncovered by insurance, so it’s a small market to court as a revenue-driving ploy. However, Trump has made it clear he’s open to using any levers possible to force lower drug prices, pushing pharma companies to offer good faith options and concessions.
The news:. A new report reviewed by STAT reveals that Pfizer and Eli Lilly pay their telehealth provider partners upwards of a few million dollars. Our take: Drugmakers in the D2C telehealth market likely won’t be too worried about the report’s findings. It will be difficult for regulators to prove that a pharma company’s payment to a telehealth partner is directly tied to prescription volume. Drug brands will need to boost awareness of their D2C offerings to justify the price they pay telehealth firms, however.
The news: Connecticut plans to ask the federal government to allow it to contract for generic GLP-1 drugs for state employees and Medicaid patients. Our take: While other HHS secretaries have resisted trying to use Section 1498, RFK Jr. has shown a willingness to challenge established precedent. Even if RFK doesn’t respond to Connecticut’s plea, the broad enthusiasm for workarounds to lower GLP-1 costs—the Connecticut law sponsor said both red and blue state officials have reached out—could be a negotiating tool with drugmakers.
The trend: Physicians are ramping up use of AI for pharma-related queries on medications, treatments, and drug interactions. But usage of AI trails search, according to a new Bain & Company. report. The big takeaway: Doctors trust search engines over AI for drug information—for now. The convergence of the two tools via AI Overviews on Google could lead to declining confidence in search results. The winner in securing physician trust could be clinical-specific AI tools like the widely used UptoDate or the emerging OpenEvidence, which brands itself as a ChatGPT for doctors.
The news: Linear TV—already struggling amid the rise of digital—is at risk as US leaders across parties push for a crackdown on the multi-billion dollar pharmaceutical ad market. Secretary of Health Robert F. Kennedy Jr. is pursuing policies that would require advertisers to disclose drug side effects more transparently or risk losing the ability to deduct ad spending from their taxes, per Bloomberg. Our take: Restrictions on pharma advertising would isolate linear TV from omnichannel budgets and put it at a greater disadvantage against more data-rich platforms, accelerating the shift to digital.
The news: UnitedHealth Group has been engaging in a series of legal tactics to silence some of the company’s loudest critics, according to a recent NYT report. Our take: UnitedHealth is more focused on defending its business than acknowledging people’s concerns and offering solutions. This won’t do anything to help its brand reputation—but that probably isn’t a major concern for UnitedHealth right now. Similar to drugmakers, health insurers recognize that healthcare is not like a typical D2C industry, in which consumer experience is the most important measure of success.
The news: Weight loss drug prescribing for children and teens increased significantly after the American Academy of Pediatrics (AAP) recommended the medications’ use, per a new Harvard study. Our take: Word-of-mouth recommendations and testimonials on social media are driving weight loss drugs’ popularity with young people. GLP-1 marketers have an opportunity to provide medically responsible, but social friendly and engaging content by partnering with influencers, creating behind-the-science video content, and developing edutainment FAQs for interested young consumers.