U.S. Weight Loss Market Worth $60.9 Billion

[Guest guest]

Marketdata Enterprises, Inc., a leading independent market research

publisher of “off-the-shelf” studies about service industries since 1979,

has released its biennial 412-page study: The U.S. Weight Loss & Diet

Control Market (11th edition). This is a complete analysis and forecast of

ALL major segments of the U.S. diet market.

" America’s estimated 75 million dieters—about 80% of whom try to lose weight

by themselves, are fickle and shift from fad to fad. These shifts in dieter

preferences spell boom or bust for diet companies. American dieters in

2009-2010 were faced with a lousy economy, rising gas prices, and limited

discretionary dollars for weight loss

programs<http://www.marketdataenterprises.com/DietMarket.htm>.

Consequently, they are spending their weight loss dollars very carefully.”,

according to Research Director, La.

Report’s Major Findings:

- Market Value… Marketdata estimates that the total U.S. weight loss

market grew less than 1% in 2010, as most market segments were flat or

marginally up. Revenues were $60.9 billion in 2010, and $60.4 billion in

2009, (up 3.2% from $58.6 billion in 2008).

- Frugal Dieters… 2009 – 2010 were the years of the “value diet” and

the frugal dieter. Dieters shifted toward greater use of free and low-cost

do-it-yourself diet plans, (diet websites, OTC diet pills, meal replacements

and diet books). Marketdata finds that the share of dieters that prefer a

self-directed program was 80% during 2010— near the highest ever. Typically,

70% of dieters use a self-directed plan, but this share was even higher due

to the recession.

- Commercial weight loss chains… Sales of all commercial weight loss

chains grew about 2% in 2010. Marketdata analysts estimate 3.3% growth for

the top eight commercial chains, to $2.73 billion in 2010. Adding revenues

for all other small local commercial weight loss

centers,<http://www.marketdataenterprises.com/DietMarket.htm>this

segment is forecast to be worth $ 3.14 billion. Weight Watchers came

out as the big winner for late 2010/early 2011.

- Diet Drugs… No blockbusters yet. 2009-2010 proved tough for this

market, as the FDA denied approval for Lorcaserin, Qnexa, and Contrave,

following on the heels of the 2008 rejection of Taranabant and

Acomplia.There is still plenty of R & D taking place, but drug companies and

the medical community are realizing that developing an effective diet

drug <http://www.marketdataenterprises.com/DietMarket.htm> with no

significant side effects is more difficult than they thought.

- Retail Diet

Pills<http://www.marketdataenterprises.com/DietMarket.htm> & Meal

Replacements… The bad economy and tighter consumer weight loss

budgets should have helped this “do-it-yourself” category. However, one of

the top-selling brands, Hydroxycut, was taken off the market by a more

active FDA. Meal replacements and MLM channels are currently holding up

best. Dieters are attracted by the low price and easy availability.

Marketdata estimates that the combined sales of diet pills and meal

replacements was down about 2% to $2.69 billion last year. To 2014,

Marketdata forecasts 3.3% annual gains in sales of meal replacements and OTC

diet pills sales. By 2014, the combined market should be worth $3.04

billion.

- Medical Programs… Of the 4,900 U.S. community hospitals,

approximately 60% offer some form of weight loss program. However, medical

clinic chains are where the recent growth has taken place, One of the

biggest recent success stories in the medically supervised programs segment

is The Centers for Medical Weight

Loss<http://www.marketdataenterprises.com/DietMarket.htm>,

which has grown from 60 centers in 2007 to more than 450 currently.

Medi-Weightloss has also displayed strong growth via franchising.

- Dieter Trends… The typical American dieter now makes 4 weight loss

attempts per year—the highest number in 15 years. 80% want an inexpensive,

low-cost, home-based plan. Low-carb is making a comeback, with The Dukan

Diet <http://www.marketdataenterprises.com/DietMarket.htm> and 17-Day

Diet books recently released.

- Diet Websites… Online dieting was estimated to be an $842 million

market in 2009 – down a sharp 17%. But, revenues are recovering and we

expect 8% yearly growth to 2014. Most sites are not profitable and are

moving to a user-free, ad-supported model. WeightWatchers.com is #1, with 1+

million paid subscribers and 2010 revenue of $238 million.

- Diet Food Home Delivery Services…. This is a $924 million

sub-segment of the weight loss market that, aside from NutriSystem, seems to

have held up well. NutriSystem captures 55% of sales, but smaller firms are

growing faster by serving an affluent, or health conscious client with fresh

or frozen gourmet food.

“Flat is the new growth, as the U.S. weight loss market grew less than 1%

in 2010. Most market segments were flat or down as dieters postponed signing

up with structured commercial programs, or surgery. Three potential new

prescription obesity drugs didn’t gain approval and a top OTC diet pill was

taken off the market.”, according to Research Director, La.

ABOUT THE STUDY

The U.S. Weight Loss & Diet Control Market, published in May 2011, is an

independently researched “off-the-shelf” study. The study has 412 pages and

160 tables. It costs $2,295 and is also sold by individual chapters. A table

of contents is available by mail, email or fax. A 42 pp. Overview summary is

available to the public for $79. The study traces the market from 1989-2014

and discusses all major company and market developments since the recession

first hit.

LINK<http://www.redorbit.com/news/health/2045046/us_weight_loss_market_worth_609\

_billion/>

--

Ortiz, MS, RD

*The FRUGAL Dietitian* <http://www.thefrugaldietitian.com>

Check out my blog: mixture of deals and nutrition

* " Nutrition is a Science, Not an Opinion Survey " *