In the developed world, if you look closely at the people there are many people who are above the government recommended weight for their body type. The fashion industry likes smaller bodies, the government likes moderate bodies but the reality is most people are overweight. The good news is the weight loss industry will never lose clients and for weight loss using drugs from Eli Lilly and Novo Nordisk, the demand is only getting larger, particularly with the generic version coming soon. Losing weight using drugs has side affects – people eat less snacks, which means the package food snack companies have to adjust.

In an article by Richa Naidu of Reuters, Nestle SA is seeking to turn the rise of weight loss drugs (GLP-1) from a threat into an opportunity using artificial intelligence (AI) and nutritional science to develop products.

Chief technology officer Stefan Palzer said Nestle was using AI and other technology to analyze clinical research, identify nutrient combinations and develop products tailored to GLP-1 users.

One of the side effects associated with taking GLP-1 and having rapid weight loss, including muscle loss and facial fat often referred to Ozempic face.

About 16 million Americans are taking GLP-1, according to Boston Consulting Group and that number is rising as insurance providers pay for it. The insurance companies benefit from healthier patients or patients that pay premiums and do not use the services as much or tend to use low-cost services.

According to the results of weight loss, many people lose muscle mass. Nestle has found a combination of 2 micronutrients that stimulate the growth of muscle tissue. The product is marketed under the Vital Products brand.

Nestle US business created Boost Advanced Nutrition Shake, marketed as containing 35 grams of protein to support muscle health during weight loss. In Asia and Australia, there is a higher protein version of its Milo shake called Milo PRO High Protein.

Nestle has developed internal systems to analyze scientific literature, stimulate consumer behavior, identify emerging trends, and help product developers navigate a database of roughly 120,000 recipes. The company is also using AI to monitor social media and identify consumer trends.

If you have a body weight that is consider moderate, forget the products and continue eating fresh food that contains the same proteins and nutrients, said Amanda Avery, associated professor in nutrition and dietetics and the University of Nottingham in central England.

Linking to dividend paying stocks, one of the reasons you buy these companies is their ability to adapt to changing trends and continue to earn high margins which translates into profits. Dividend paying companies often have the resources to use the best technology i.e. AI to find solutions. There will be an adjustment, but companies can adjust and regain higher margin products to continue being profitable.

There are more questions than answers, till the next time – to raising questions.