How Are GLP-1 Drugs Reshaping the Hot Sauce Market?

Most of the discourse around GLP-1 drugs like Ozempic and Wegovy involves their effects on the appetite; more precisely, it involves how taking them generally makes someone eat less. And yet one of this month’s biggest stories is about a food manufacturer who has seen an uptick in sales as a result of GLP-1 drugs. To be more specific, one of the most ubiquitous makers of hot sauce in the U.S. right now.

As Itzel Luna explained at the Los Angeles Times, that hot sauce company is Tapatío — which was sold to private equity firm Highlander Partners earlier this year. As Highlander’s Jeff Partridge explained to the Times, one of the things that drew them to the hot sauce market was an uptick in sales as people taking GLP-1 drugs seek out bolder taste experiences. “Whether it’s GLP-1 or desire for proteins, Tapatío and hot sauces enhance that experience,” Partridge said.

Partridge’s comments also highlighted an interesting convergence in food trends that hot sauce makers could benefit from for multiple reasons. In a recent Substack post, Kevin Ryan of the food and beverage-focused Malachite Strategy and Research, noted that the popularity of high-protein foods is increasing even among people who aren’t taking GLP-1 drugs. “[E]ven consumers who aren’t on GLP-1s recognize that there needs to be an off-switch for ‘food noise,’ and the answer is a massive dose of protein,” Ryan wrote.

Where Do All Those Celebrity Hot Sauce Collaborations Come From?

Noah Chaimberg of Brooklyn hot sauce shop Heatonist explains the process

That’s a win-win situation for hot sauce manufacturers. It could lead to further consolidation within the indudstry above and beyond the recent shift in control of Tapatío. At the end of March, McCormick and Unilever Foods announced a merger, bringing a number of hot and spicy sauces under the same corporate umbrella. If adoption of GLP-1 drugs continues to grow, more deals like this could be in the cards.

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Tobias Carroll

Tobias Carroll lives and writes in New York City, and has been covering a wide variety of subjects — including (but not limited to) books, soccer and drinks — for many years. His writing has been published by the likes of the Los Angeles Times, Pitchfork, Literary Hub, Vulture, Punch, the New York Times and Men’s Journal. At InsideHook, he has…