Novo Nordisk reduces drug prices amid market pressures
Novo Nordisk announced on Monday that it will lower prices for its leading obesity and diabetes medications for cash-paying patients in response to increasing competition in the weight loss market and pressure from President Donald Trump, reports BritPanorama.
The move reflects ongoing efforts by drugmakers to offer discounts to Americans who choose to buy medications directly rather than through insurance. This strategy also aims to counteract the challenge posed by compounding pharmacies, which are providing cheaper alternatives to the widely used GLP-1 drugs.
Under the new pricing structure, the first two monthly doses of Wegovy and Ozempic will be available for $199, with the discount applicable until the end of March. Furthermore, the standard monthly price for other self-paying patients will be reduced to $349, down from $499, although the 2-milligram dose of Ozempic will remain at the higher price of $499.
These discounts will be accessible to self-paying customers through Novo Nordisk’s direct-to-consumer channels as well as partnerships with retailers such as Costco, GoodRx, and Weight Watchers, in addition to over 70,000 retail pharmacies.
Novo Nordisk’s announcement follows a recent deal with the Trump administration, alongside rival Eli Lilly, which will improve access to Medicare and Medicaid markets in exchange for price reductions. This agreement is expected to allow consumers who purchase GLP-1 medications directly from manufacturers to pay an average of $350 per month initially, with plans to lower it to approximately $250 over two years. If oral GLP-1 tablets are approved by the US Food and Drug Administration, the lowest price point could be set at $149.
These prices are anticipated to come into effect with the launch of TrumpRx, the administration’s direct-to-consumer online platform, in early 2026. Novo Nordisk’s strategy is focused on bolstering sales in the US market, particularly through self-pay channels, which account for about 10% of Wegovy prescriptions, according to executive vice president of US operations, Dave Moore.
“There’s a lot of interest in direct pay, self-pay,” Moore stated. “We know that’s an interest of people living with obesity.”
According to a recent KFF Health Tracking Poll, approximately 1 in 8 adults currently use a GLP-1 drug like Ozempic or Wegovy for either weight loss or chronic condition management. Notably, about a quarter of those using these drugs with health insurance reported bearing the full cost themselves.
Despite broad insurance coverage for Ozempic as a diabetes treatment, coverage for Wegovy, which is primarily marketed for weight loss, remains inconsistent, largely due to its $1,349 monthly list price, although insured patients typically pay significantly less. Earlier this year, Novo Nordisk launched a direct-to-consumer pharmacy offering Wegovy at a $499 monthly price and began selling Ozempic at a cash price of $499 in August.
Eli Lilly has also responded to pricing pressures by reducing the cost of its GLP-1 weight loss medication, Zepbound, for self-payers.
As the landscape of weight management drugs evolves, these price adjustments highlight the industry’s adjustment strategies amidst changing consumer demands and regulatory pressures.
