How RxSugar’s PIM Investments Are Helping It Seize GLP-1 Opportunities
While the impact of GLP-1 medications on appetites has alarm bells ringing for some CPGs, many others view it as an opportunity to bite into.
RxSugar is one such brand, and their earlier investments in product information management (PIM) are paying off as they ride an unexpected wave of increased demand.
Founded in 2019, RxSugar aims to provide a healthier substitute for sugar through its line of plant-based snacks, syrups, and sugar alternatives. The company’s SKUs are available through drug, club, grocery, and mass channels, including CVS, Rite Aid, Costco, Kroger, Publix, and Walmart, among others.
As a lean team of just six people, RxSugar’s vision of scaling to a wide network of retailers meant getting their arms around product content management, RxSugar founder and CEO Steven Hanley tells CGT. Each retailer can carry their own data and attribute requirements, and it only takes one bad product description to wreck a consumer’s perception of a nascent brand.
Before GLP-1 was even a blip on most consumers’ minds, RxSugar expanded their partnership with 1WorldSync in 2020 in order to increase PIM accuracy. The CPG leverages the solution provider’s Data Loading & Maintenance solution, a decision that Hanley says has significantly enhanced processes.
Because 1WorldSync can format, load, and publish RxSugar data more quickly and efficiently, the manufacturer has streamlined operations and enabled ongoing maintenance of product information across multiple retail channels. The platform’s attribution, full hierarchy support, and image-loading capabilities has reduced data loading process time by 50%, according to the exec.
GLP-1 Growing Pains
In 2022, the increase of consumers using GLP-1 medications hit RxSugar’s radar as an opportunity, as their products are designed to support many of the same needs as those taking the medications, says Hanley.
GLP-1, commonly prescribed under the Ozempic or Wegovy brand names, was initially developed for people with Type 2 diabetes, but its use as a weight-loss medication has increased. Six percent of U.S. adults reported in a March 2024 Gallup poll that they’ve used injectable diabetes medicine to reduce weight, and 3% are currently using it specifically for this purpose.
A broader shift in consumer preferences for health and wellness products has also meant greater interest in products like RxSugar. As it goes in CPG, the surprising surge in popularity proved to be a double-edged sword for brands.
“This dynamic has created even more demand, necessitating additional resources to accommodate our rapidly evolving growth curve,” notes Hanley. “Managing this unexpected acceleration in scale has been both a challenge and an opportunity.”
In navigating the increases, Hanley points to their PIM investment as a key component of their success and increasing their agility.
“This efficiency has enabled us to expand seamlessly to a growing retailer network, ensuring our product content accurately reflects our offerings and drives conversions,” he says. It has made scaling even with a tiny team possible, as employees can now focus attention on more strategic tasks.
RxSugar has expanded to 25,000 stores and remains in growth mode. Looking ahead, they’re also exploring introducing new products to the market within their existing infrastructure.
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