Weight Reduction Services

Brief Excerpt from Industry Overview Chapter:

Companies in this industry provide nonmedical weight loss services and products that include counseling, food supplements, menu and exercise planning, and body measurement and weight monitoring. Major companies include Jenny Craig, Nutrisystem, and Weight Watchers (all based in the US), as well as Dukan Diet (France), Nutrition & Diet Center (Saudi Arabia), and Rosemary Conley (UK).

COMPETITIVE LANDSCAPE

Consumers' excess weight, personal income, and leisure time drive demand. The profitability of individual companies depends on effective marketing, customer acquisition and retention, and efficient operations. Large companies have advantages of scale in marketing, infrastructure, and partnerships, such as licensing deals for private-label products and foods. Small companies can compete effectively by offering individualized services or upscale facilities. The US industry is concentrated: the 50 largest companies account for about 70% of industry revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Major services for the weight reduction service companies mainly cover weight loss services (about 90% of industry revenue).