Eli Lilly on Thursday launched a website to allow people to order directly from drug makers, including the weight-loss drug Zepbound, and to connect people with obesity and other conditions with telemedicine companies.
The service, called LilyDirect, was born on the back of extraordinary demand last year for powerful weight-loss drugs such as Novo Nordisk's Wigovy.
The obesity drug market, which is expected to grow to about $100 billion by the end of this decade, is also attracting interest from weight management service providers WW International and Ro, which have also launched telemedicine services for the drug.
Shares of WW International, formerly known as Weight Watchers, fell 11% on Thursday after Lilly's website launch.
Lilly said its direct-to-consumer service is also available to diabetics and migraine sufferers, and its website's pharmacy page features home-delivery products such as the migraine drug Emgality and insulin.
The website will connect patients with independent telehealth providers who can complement their current team of doctors or replace in-person visits for certain conditions, the company said.
It also plans to offer pharmacy services through third-party providers.
Lilly's move was “ahead of its time,” said Evan Segerman, an analyst at BMO Capital Markets.
“In our view, a direct-to-consumer (DTC) model is ideal for an obesity drug, facilitating uptake of Zepbound and lowering the barrier to entry for new patients,” he added. .
Lilly stock hit a record high of $636.41 in early trading and closed 0.5% lower at $614.50.
Optimism over Lilly's Zepbound, which launched last month, helped drive the company's stock price up 59% last year, making it the largest health care company by market capitalization.
Lilly also said it opposes the use of its obesity and diabetes drugs Munjaro and Zepbound for “cosmetic weight loss” purposes.
