Hello Omni Talk Fans!
We are back in Las Vegas for Groceryshop 2026, and this week I sat down with Chad Lusk, Partner and Managing Director at A&M Consumer and Retail Group, for another edition of 5 Insightful Minutes.
We covered a lot in five minutes, but the conversation kept coming back to one question: as consumers become more intentional about what they eat and drink, what is actually worth it?
Chad has a pretty fascinating perspective on that, particularly as GLP-1s accelerate trends that have already been building across food and beverage for years. Here are my biggest takeaways from our conversation.
GLP-1s Are Accelerating What Was Already Happening
The first thing that struck me was Chad’s point that GLP-1s did not create the current shift in food and beverage. Consumers have been moving toward healthier and cleaner eating, functional ingredients, smaller and more frequent meals, new sensory experiences, and greater scrutiny around value for years.
What GLP-1s have done is accelerate all of it. Chad compared the moment to grocery e-commerce during COVID, when an existing trend suddenly compressed years of growth into a much shorter period. In his view, GLP-1s are creating that same kind of inflection point for food and beverage.
There Are Fewer “Hollow Bites” Out There
This was probably my favorite line from the conversation.
As consumers consume less overall and become more selective about what they put in their bodies, Chad says there are simply “fewer hollow bites to be had.” In other words, consumers are increasingly asking themselves whether a particular food or beverage is actually worth the calories, money, or occasion.
That creates a pretty significant challenge for brands. If a product does not have a clear reason to be chosen, it is going to have a harder time competing for that increasingly valuable share of stomach.
Consumers Are Shopping for Outcomes
Another point I found particularly interesting was Chad’s argument that consumers are increasingly shopping based on outcomes rather than categories.
Instead of asking what the best product in a particular aisle is, consumers are asking which product best fits the need they are trying to solve. That means competitive sets are increasingly crossing aisles, with share of stomach becoming a much broader battle than simply competing against the brands sitting next to you on the shelf.
“Worth It” Does Not Always Mean Healthy
It would be easy to hear all of this and assume consumers are simply looking for the healthiest possible option.
Chad made clear that is not the case. There is a functional side to the equation, with consumers looking for nutritional density and better-for-you products, but there is also an emotional side. Enjoyment, celebration, nostalgia, connection, and simply getting an emotional lift from food can all make a bite or sip worthwhile.
For me, that was an important distinction. The winning product does not necessarily have to be the healthiest one. It needs to have a clear purpose.
Value Is No Longer Just About Price
Of course, this is all happening against a backdrop of inflation and increased price sensitivity. But Chad argues that value exists across price points, not just at the lowest one.
He pointed to A&M research showing that roughly 68% of consumers say private label quality is as good as or better than national brands, while high-50s percentages say private label assortment and variety are just as good. Nearly 70% say private label fits their dietary or lifestyle needs. That means consumers can increasingly get the quality, assortment, and attributes they want without necessarily paying a national-brand premium.
Premiumization Is Still Alive
But here is the part that I think brands will really want to hear: premiumization is not dead.
Consumers are still willing to spend more when there is a meaningful reason to do so. Chad pointed to distinctive taste, ingredients, experiences, and even the emotional payoff of a splurge as examples of things that can justify spending up.
The key is intentionality. Consumers may be more selective about where they spend, but they are not necessarily unwilling to spend.
The Middle Is Getting Harder to Defend
That brings us to what may be the biggest implication for brands.
Chad’s point was that the name on the box does not mean as much as it used to. Consumers are increasingly evaluating the attributes behind the brand and asking whether the product actually delivers something they value.
That makes the fuzzy middle a difficult place to live. If you are not the low-price option and you do not have a distinctive reason for consumers to spend more, what exactly is your value proposition?
As I said to Chad at the end of our conversation, it was a pretty premium five minutes. But more seriously, I think his point about “fewer hollow bites” captures a lot of what is happening in food and beverage right now.
Consumers are becoming more intentional. GLP-1s are accelerating that behavior. And whether a product is functional, indulgent, affordable, or premium, the question is increasingly the same: Is it worth it?
Be careful out there,
Chris and the entire Omni Talk team
You can listen to or watch the full conversation with Chad Lusk, Partner and Managing Director at A&M Consumer and Retail Group, wherever you get your podcasts.
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Omni Talk® is the retail blog for retailers, written by retailers. Chris Walton founded Omni Talk® in 2017 and have quickly turned it into one of the fastest growing blogs in retail.