Medical Weight Loss Programs: A Growth Market
The U.S. weight loss market has entered a new phase of flat to low growth, constrained by a strong shift to do-it-yourself plans, the proliferation of free apps for smartphones, and more healthy eating by consumers. Yet, some competitors are doing well, and many untapped niches exist.
The Affordable Care Act has strengthened the value proposition of medically supervised diet programs and small-mid-sized chains are growing rapidly via franchising. The market is moving in two directions: medical and retail. Report discusses the implications of the ACA’s $1,625 Preventative Health Benefit and why it gives medical weight loss programs the edge and momentum over commercial programs.
This is a completely new analysis of the $7.8 billion U.S. medical weight loss market.
Covered… dollar value & growth of the medical weight loss market segment (early 1980s to 2014, 2015 and 2019 forecasts), latest market trends and developments, growth of the retail drugstore mini-clinics diet programs, status reports for: weight loss surgery, MD-based programs, hospital and clinic-based programs, Rx diet drugs, bariatricians, VLCD programs. Franchising of medical programs, costs, avg. consumer cost of programs, avg. annual revenues per medical centers, and P&L statement.
Contains 17 in-depth competitor profiles for: Physicians Weight Loss, HMR, Optifast, Lindora Clinics, Smart For Life, Medi-Weightloss, Centers for Medical Weight Loss, Nuviva, Let’s Lose, Dr. G’s Weight Loss, JumpStartMD, Thinique, Medical Weight Loss of Michigan, CVS Health, Rite-Aid, Wal-Mart, and more.
- Executive Overview: Major Findings
- Discussion of total weight loss market: diet market mega-trends: shift from diet products to services, medical programs gain momentum under ACA, what’s wrong with commercial chains, importance of counselors, franchising pros & cons, consumer clean eating trend, move to retail outlets
- Outlook for 2105 diet season, discussion of rise of MLM firms, DIY trends, company programs, competition from apps.
- Types of medical weight loss providers - list
- - 2013-2014 $ value of diet products vs. services
- - Market revenues $ size, by segment: 2011-2015
- - Forecasted growth rates for market segments: 2015-2019.
- Retail Drugstore Chain Mini-Clinics
- Discussion of the growth of in-store mini-clinics at drugstore chains, why the demand
- Staffing by Nurses, Physicians Assistants, typical start-up costs, logistics
- Growth prospects/forecasts by merchant Medicine, others
- why weight loss programs are a good complement to their services and revenues.
- Company Profiles
- CVS Minute Clinics
- Rite-Aid Weigh Forward Program
- Wal-Mart Clinics
- Hospital & Clinic Chains Weight Loss Programs
- Types of plans offered (low-cost, moderate-cost plans, estd. no. of hospitals providing each, typical cost), Medicare new coverage
- Physician-based diet programs: diet drugs/other methods used, consumer attitudes, limitations, estd. no. MDs with a weight loss program – independents vs. affiliated with chains, meds used, typical cost of MD programs
- How Obamacare has provided a game-changing opportunity for MDs to add weight loss & counseling services via PAs, RDs, Nurses
- Profiles of a hospital-based weight loss program: Johns Hopkins
- Major Medical Chains: Lindora Clinics, Centers for Medical Weight Loss, Smart for Life, Medi-Weightloss Clinics, Medical Weight Loss of Michigan, new chains: Nuviva, Thinique, Dr. G’s, Let’s Lose, JumpstartMD (in-depth company descriptions, plan costs, estimated revenues, no. of centers, franchising growth strategies, etc.)
- Tables: Avg. revenues per site, avg. plan cost to patient, avg. income statement, start-up Costs for top 8 medical weight loss chains/franchises/licensors.
- The Diet Drugs Market
- Discussion of viewing obesity as a disease, major obesity medications used today, FDA position, role of MDs, commercial chains’ involvement with diet drugs, why it’s tougher than thought to develop anti-obesity drugs that are effective and with minimal side effects.
- Status Report: Contrave, Qsymia & Belviq sales & outlooks, FDA rejections of: Acomplia, Taranabant, other Rx diet drugs
- Other new obesity drugs in development: Saxenda, Beloranib, Mirabegron
- Existing drugs used (Xenical, Phentermine) – descriptions
- Tables - prescriptions written and $ sales for: Meridia, Xenical, Phentermine, 12 other anti-obesity drugs (2003-2014), historical sales 1995-2000
- Marketdata’s 2015 and 2019 outlooks for prescription diet drugs, effect of new drugs on mkt. Size, discussion of this market’s potential vs. drawbacks, overcoming MD and consumer attitudes, side effects, effectiveness. Moderate weight loss not enough for most dieters.
- Bariatrician Programs
- status report of profession, ASBP survey results (MDs by: age, income, size practice), how they’re trained, number practicing, certification by ASBP, use of diet drugs, treatment methods used, plan effectiveness/cost, business is up due to more surgeries, less surgeries – opinions of industry consultant.
- The Bariatric Surgery Market
- Discussion of gastric bypass & lapband procedures, why demand grew strongly to 2007, status report, 2014 estimated surgeries, 2015 & 2019 forecasts, costs per surgery by type payor, pros/cons, who qualifies, effect of Obamacare on coverage by 25 state exchanges
- Surgery mkt. smaller than thought – better data from government/AHRQ data proves 2009-2012 decline, revisions of prior estimates based on ASMBS estimates
- Surgery utilization and outcomes, mean cost per surgery
- Major insurers’ coverage today, status report, Medicare position, role of liaison firms (The Wish Centers, Barix Clinics, Liv-Lite, Journey Lite - addresses), avg. cost of surgery.
- Types of surgery: Roux-en-Y, lap banding, minigastric bypass, sleeve, consumer pros/cons
- Table: No. of bariatric surgeries performed: 1992-2015
- Table: $ value of the market: 1992-2019 F, outlook under Obamacare
- Associations: ASBS, Obesity Action Coalition, increased lobbying efforts.
- VLCD/LCD Fasting Supplement Programs
- Status report of low-calorie modified fasting programs in 2013-2014, effect of bariatric surgeries, outlooks by mgmt. at HMR, strong demand from hospitals for tunkey programs characterizing the mkt. (price, programs, no. of sites, increased direct-to-customer sales)
- Historical nature of market - development from 1970s-1990s, enrollments, drop-out/completion rates, problem on insurance coverage, market indicators, positive & negative trends/factors.
- Table: Marketdata estimates of VLCD enrollments for 1995-2015 (new vs. repeat patients, fasting vs. maintenance), $ value of mkt. for 1984-2019 F. Company Profiles: Detailed descriptions of companies/plans, program revenues: Health Management Resources, Optifast (Nestle)
- Table: VLCD enrollments, $ mkt. value: Marketdata estimates: 2007-2014.
- Reference Directory of Weight Loss Information Sources
- Industry & government trade associations, journals, newsletters, magazines, consultants