The growing popularity of GLP-1 medicines such as Ozempic, Wegovy and Mounjaro is beginning to reshape consumer spending patterns in South Africa, creating new challenges for major fast-food brands including McDonald’s and KFC.
Originally developed to help manage diabetes, GLP-1 medicines have become increasingly popular worldwide due to their effectiveness in supporting weight loss. As more consumers adopt these treatments, researchers are observing noticeable shifts in food purchasing habits and lifestyle choices.
According to Discovery Bank and Visa’s latest SpendTrend26 report, South Africans using these medications are spending less on takeaways, restaurant meals and alcohol while increasingly choosing healthier food options.
The findings are based on an analysis of more than 2.6 billion transactions across 12 million credit cards, combined with Discovery Bank client data and a survey of 1,000 high-income consumers.
Health-conscious spending patterns emerge
One of the most significant findings in the report is the growing preference for healthier diets among users of GLP-1 medicines.
Most respondents reported increasing their spending on vegetables, grains and other nutritious food products. At the same time, nearly half said they were spending less on takeaways and restaurant dining, while a similar proportion reported reducing alcohol consumption.
Another 38% indicated that their overall grocery spending had declined, reflecting reduced food consumption as appetite suppression remains one of the key effects of GLP-1 treatments.
The trend mirrors developments already observed in international markets, particularly in the United States, where adoption rates of these medications are considerably higher.
Research cited in the report suggests that American consumers reduce fast-food spending by roughly 8% within six months of starting GLP-1 treatment. Grocery spending also falls, although to a lesser extent.
The effect is especially noticeable among higher-income households, which represent both the largest users of weight-loss medications and some of the biggest customers for fast-food chains.
Fast-food industry faces shifting consumer preferences
The changing behaviour comes as broader consumer trends are already reshaping South Africa’s food industry.
Consumer research firm Eighty20 has found that while the number of South Africans dining out has remained relatively stable, restaurant visits have become less frequent.
According to Eighty20 director Andrew Fulton, consumers are increasingly choosing more affordable protein options, particularly chicken, as economic pressures and health considerations influence purchasing decisions.
This shift has affected traditional burger-focused chains such as McDonald’s, Wimpy and Steers, which have seen growing competition from brands offering alternative menu options.
The report also found that 16% of surveyed South Africans had already spent money on weight-loss support services, including dietitian programmes and specialised weight-management clinics.
Meanwhile, soaring demand for GLP-1 medicines has led to rapid growth in the market for compounded versions of these drugs.
Healthcare and pharmaceutical expert Charles Green of Cliffe Dekker Hofmeyr cautioned that many consumers may not fully understand the difference between approved medications and compounded alternatives.
He noted that compounded GLP-1 products are generally not evaluated or registered by regulators such as the South African Health Products Regulatory Authority (SAHPRA), raising concerns about quality control and patient safety.
As demand for weight-loss treatments continues to grow, experts believe the influence of GLP-1 medicines could extend far beyond healthcare, affecting everything from grocery shopping and restaurant visits to the long-term strategies of major food and beverage companies.
For fast-food brands, adapting to a more health-conscious customer base may become increasingly important as the South African market evolves.
Source: Discovery Bank SpendTrend26 Report, Visa, Moneyweb Radio
