Commercial Weight Loss Centers Likely To See 6.5% Growth This Year

Tampa – WEBWIRE – Tuesday, January 14, 2020

John LaRosa, Research Director

"Weight loss companies will need to work smart to achieve growth in 2020."

Tampa FL, January 14, 2019: Marketdata LLC, a leading independent market research publisher of “off-the-shelf” studies about service industries since 1979, has released some new forecasts about the U.S. weight loss market.

“In today’s competitive weight loss market, to grow, diet companies must find untapped niches, offer consumers more customization and personalization, and offer both virtual and off-line programs, at different price points. They’ll also need to use alternative distribution channels such as: MLM and retail healthcare mini-clinics. In addition, they must figure out how to reach overweight Millennials and not chase aging Baby Boomers forever.”, according to Research Director, John LaRosa.

.
2020 Forecasts:

2020 Revenues… Marketdatata has a forecast for 6.5% growth in revenues for the “big four” diet companies in 2020 (WW, NutriSystem, Medifast, Jenny Craig)-- to $3.42 billion, with the best growth to be posted by WW. All commercial diet companies, including the big 4 plus smaller regional franchises and chains, are slated to post $4.1 billion in sales.

2019 Performance… Based on 3rd quarter 2019 guidance by each company, it’s looking like the top four weight loss companies posted a collective 3.6% sales increase for 2019 versus 2018, with revenues of $3.21 billion. Adding in all the other smaller competitors, this segment of the market was worth an estimated $3.86 billion, up slightly from the $3.72 billion of 2018. WW and NutriSystem both missed the mark in the 2019 diet season last year, due to marketing mistakes in the 1st quarter. We don’t think they will do that again in 2020. All indications point to the firms being more ready, with major promotional pushes for their new programs--including Oprah Winfrey, DNA testing, discounts and more.

Marketdata estimates that 97 million Americans will try to lose weight by some method during 2020. About 80% of them (or 77 million) are do-it-yourselfers that do not join a paid, structured, commercial or medical program.

Most popular weight loss plans in 2020…. The Keto, Intermittent Fasting, Plant-based, and Flexitarian diets should continue to be popular among DIY dieters. Some competitors like Slim-Fast are pitching their products as Keto-friendly. Atkins should also do well, due to its similarity to the Keto approach.

Weight loss companies will need a dual marketing approach… Millennials don’t like structured plans involving personal visits to a brick & mortar weight loss center, so reach them digitally. However, older Baby Boomers still respond to traditional ads and do utilize in-person diet centers.

The Virtual or Digital Weight Loss Market… Is worth $1.4 billion and is forecast to grow 6.6% yearly through 2023. Digital resources for weight loss are plentiful: websites, apps, podcasts, online courses, webinars, social media, You Tube videos, video coaching, texting, blogs and more, as well as the online purchase of non-prescription diet pills and meal replacements.

Headwinds… For commercial weight loss centers and franchises will include: a growing body positivity movement, a possible economic recession that will dampen disposable income and funds available for structured diet programs, and the continued popularity of the Keto, intermittent fasting, and intuitive eating DIY plans.

About Marketdata’s Weight Loss Industry Research

Marketdata is a private market research and consulting firm that has specialized in the analysis of the weight loss market since 1989—31 years. It has published more than 50 in-depth weight loss market studies, custom research projects, and regularly holds teleconferences about the market. Mr. LaRosa, President, has consulted for many large and small weight loss companies, physicians, start-ups and entrepreneurs and the media. Marketdata also operates a free weight loss news website called DietBusinessWatch.com.

The U.S. Weight Loss & Diet Control Market and The Digital Weight Loss Market, both published in 2019, are two of Marketdata’s “off-the-shelf” reports. A Table of Contents and description are available by email and at the firm’s website: www.marketdataenterprises.com. Contact: Marketdata LLC, 7210 Wareham Drive, Tampa, FL 33647, (813) 971-8080. John LaRosa is available for interviews.