Novo Nordisk's Wegovy Pricing Strategy Boosts Market

Novo Nordisk has launched NovoCare Pharmacy, offering its weight-loss drug Wegovy at a reduced price of $499 per month to cash-paying customers in the United States, significantly lower than its previous list price of approximately $1,350. This move, which follows a similar pricing strategy by rival Eli Lilly for its drug Zepbound, is aimed at uninsured patients or those with commercial insurance lacking coverage for obesity medications. The initiative comes after the FDA announced that Wegovy is no longer in shortage, which will reduce sales of cheaper, compounded versions. Novo Nordisk's stock rose by over 4% following the announcement, highlighting the market's positive reception. The new pricing strategy seeks to enhance accessibility and counteract challenges from compounding pharmacies, while also addressing congressional scrutiny over drug prices. The launch of this direct-to-consumer approach is expected to influence market dynamics and consumer choices in the weight management sector.