Here's a link to Marktdata's website, for more information about this report and other weight loss market studies:

http://www.marketdataenterprises.com/DietMarket.htm




He's Baaack... Richard Simmons' New Venture

Gaiam, Inc., a leading distributor of lifestyle media, fitness and self-improvement products, recently announced the launch of Richard Simmons' all new at-home fitness program called Project H.O.P.E. – Health, Optimism, Passion, and Energy. Available exclusively through television and online, the new comprehensive 90-day weight loss system features a combination of an effective workout routine, a three-month meal plan, and Simmons' all new electronic FoodMover program, which provides the tools necessary for one to achieve optimal fitness results.

Project H.O.P.E. is Simmons' most efficient exercise program yet. It consists of nine workouts on three DVDs, which combine cardio and toning.

Project H.O.P.E also includes Simmons' brand new 3-part FoodMover system, which provides a guide for making smart food choices and keeping track of calories and intake. (Sounds like an electronic version of his previous Deal A Meal exchange card system.)

Two versions of Richards Simmons' Project H.O.P.E. are available at: RichardSimmonsHope.com. The Deluxe Edition is available for 2 payments of $29.99 plus $9.99 S&H, while the Ultimate Edition is available for 3 payments of $33.33 plus $12.99 S&H. Both versions come with a complete 90-day money back guarantee.




NYC Super-Sized Soda Ban Fizzles Out

A judge on Monday march 11 invalidated New York City's plan to ban large sugary drinks from restaurants and other eateries, one day before the new law was to take effect. State Supreme Court Justice Milton Tingling in Manhattan ruled the new regulation was "arbitrary and capricious" and declared it invalid, after the American Beverage Association and other business groups had sued the city challenging the ban. Mayor Michael Bloomberg had touted the ban as a way to reduce obesity. But beverage manufacturers and business groups had called the law an illegal overreach that would infringe upon consumers' personal liberty.


Are Weight Loss "Counselors" Obsolete?

Do dieters really need or want weight loss "counselors" (coaches, consultants, group leaders) today? That's a question we at Marketdata have been pondering lately. All the evidence seems to support the theory that weight loss counselors in general are not adequately trained to serve client needs, they are underpaid, they have high turnover and frequently, no career path, and dieters don't want to pay extra for their services.

We seem to be moving toward to more anonymous model in the diet market, shifting away from the high overhead brick & mortar weight loss center where the client meets with a diet coach once or several times per week.

Consider these facts:

1. NutriSystem provides FREE counseling as part of its program, yet management says that only 20% of their customers use this service.

2. The Jenny Direct service (food shipped to your home, no in-person counselor meeting) is the fastest-growing part of their business.

3. LA Weight Loss Centers was one of the largest commercial chains with 800+ centers, and it went bankrupt and closed all of them. Consumer complaints about high pressure and deceptive sales practices to buy company supplements brought the company down.

4. Weight Watchers is currently facing a rebellion of group leaders over low pay.

5. Most "counselors" have little or no training or background in nutrition, exercise physiology, or the psychological issues facing dieters. Rather, most are trained mainly in SALES and meeting quotas.

6. NutriSystem abandoned the brick & mortar model long ago.

7. The fastest-growing part of Weight Watchers (20%+ growth/year the past 4-5 years) has been WeightWatchers.com, which now generates $504 million in revenues - nearly 28% of their total. This is an anonymous model, especially favored by male dieters. North American meeting attendance was down significantly in 2012.

8. Commercial weight loss centers are used by 9% of U.S. dieters today, vs. 14-15% in the early 1990s.

9. Few commercial weight loss companies today are selling franchises.

10. Data from visitors to Marketdata's weight loss portal BestDietForMe.com reveal that the "preferred location of a weight loss program" were as follows in 2005 and 2012:

weight loss center:  26.6% preferred in 2005, 10.3% in 2012

In addition, the preferred counseling format percentages changed from 2005 to 2012 as follows:

self-directed: 60% in 2005, 81.6% in 2012
one-to-one:  26.9% in 2005, 13.0% in 2012
small group: 12.5% in 2005, 5.1% in 2012
large group:  0.5% in 2005, 0.2% in 2012.

Herein lies the disconnect.... Also according to BestDietForMe.com's  10-year data - 75% of dieters need emotional eating support and 57% need stimulus control support. So, if they're NOT getting it from weight loss counselors, who do they get it from? Their doctors? Not likely. Most MDs' schedules are packed and they have little time for meaningful discussions about weight, nutrition, etc. And they are afraid that they'll offend their patients.

Need we say more? Maybe it's time to re-think the whole concept of counseling. Most dieters don't seem to want it at all, or don't want to pay extra for it. They'd rather just get the food and do the exercise themselves. Maybe diet companies should just scrap counseling altogether, and lower program prices, because it just doesn't seem to be working. It would probably significantly improve diet companies' bottom line, profits, since they would no longer need to recruit and train coaches, pay them salary & benefits, motivate them to stay/train them in-house, etc.



Diet Companies' Dirty Little Secret - Low Pay

Today's article in the NY Times, about Weight Watchers group leaders and their complaints about low pay brings up a critical topic foe the weight loss industry that's been around since the beginning - poor pay for weight loss "coaches", "counselors" and "group leaders" - the people in the trenches that do the daily grunt work of signing up, meeting with and motivating members.

Weight Watchers has traditionally paid the best, and attracted some of the best people. But, with people struggling in a still bad economy, they have every right to complain if they are underpaid. This comes as somewhat of a surprise to us at Marketdata. We've all heard the horror stories about diet coaches at LA Weight Loss Centers and how they are forced to aggressively sell company bars and supplements, and browbeat clients into paying up front for yearly contracts. That's a big reason why they went bankrupt and nearly disappeared as 800A+ centers closed. LA Weight Loss was far from the only diet company with this problem, however.

Low pay and high turnover are par for the course in this industry, and it has been this way since Marketdata began tracking the market in 1989. In the early 1990s, when we published a newsletter called the Diet Busine$$Bulletin, we did extensive research and surveys, and found that the typical weight loss counselor made $15-19,000 per year, with a big part of that coming from commissions. Alas, little has changed with that pay scale in 20 years.

Weight Watchers group leaders are complaining about being paid the minimum wage and being pressured to work many hours unpaid--while celebrity spokespersons like Jennifer Hudson and Jessica Simpson earn millions. Some leaders say the $18 base rate for running 2-3 hr. meetings has not been raised in 10+ years. No mileage reimbursement either. Many leaders stay because they truly care about their clients, and were successful losing weight on the program.

These leaders are usually more highly educated people than the average weight loss consultant (which are usually just clients that lost weight with a program and are internally trained (mainly in sales). Two years ago, Weight Watchers reached a $6.2 million settlement to end a class action lawsuits in California where employees complained about minimum wage violations, off-the-clock work, and paychecks that didn't explain how wages were calculated.

We'll be watching to see how WW handles this situation. Its employees have always been one of its strongest assets, and it's critical to keep them happy.




Atkins Nutritionals Now Sells Diet Foods

yMarketdata analysts just noted a magazine ad in a women's magazine that features a line of new frozen meals, for breakfast, lunch and dinner. This is new for the company, which used to sell just meal replacements (shakes bars). A store locator on the Atkins website refers you to stores in your are (by zip code) that supposedly carry these meals. However, when we checked a few zip codes around the country, the only listing that came up were for Walmarts. Many cities or zip codes came up with "not available" results. Atkins also has a Quick Start kit consisting of 3 free bars, plus and workbook and guide.



Weight Watchers Reports Q4 and Full Year 2012 Results, Analysts Disappointed, Stock Price Falls

Feb. 13... Full year 2012 revenues increased 1.8% on a constant currency basis versus the prior year as the Company continued to benefit from strong global growth in the WeightWatchers.com business. Revenues for 2012 were $1.826 billion, vs. $1.819 billion in 2011. This growth in the WeightWatchers.com business was in large part offset by lower sales in the meetings business as the company experienced weaker volumes particularly in North America and the UK. Full year 2012 total paid weeks were up 9.3% as compared to the prior year, on top of the 37.3% growth reported for the full year 2011 versus the full year 2010.  Full year 2012 meeting paid weeks and attendance decreased 5.4% and 11.0%, respectively, versus the prior year.  Online paid weeks for the full year 2012 increased 26.7% versus the prior year, on top of the 67.6% growth reported for the full year 2011 versus the full year 2010.

Full year 2012 operating income decreased 5.3% on a constant currency basis versus the prior year. 

Meeting fees for 2012 stood at $935 million. Product sales at these metting were $253 million. Internet revenues was the bright spot, rising 26% to $504 million. NACO (North American) meeting fees were down 5.6% to $799 mill. and International meeting fees were down 9.0% to $389 million. Total attendance was down 11%.

The company provided full year 2013 earnings guidance of between $3.50 and $4.00 per fully diluted share. 

"While 2012 set a company record for combined global meetings members and global Weight Watchers Online subscribers, we have been disappointed by our recruitment trends thus far in 2013," commented David Kirchhoff, Chief Executive Officer of the company.  "Our current marketing has not been as effective in this tough economic and increasingly competitive environment."

Find details and financial tables here:

http://finance.yahoo.com/news/weight-watchers-announces-fourth-quarter-210500388.html

Marketdata Opinion & Conference Call Details

In the conference call after release of Q4 2012 and full year results, WW management revealed that early 2013 trends for the first 6 weeks of the new year are not good. Jessica Simpson getting pregnant again, after her success losing 50 lbs last year did not help. Also cited was the negative effect on consumer confidence related to the fiscal cliff situation and the higher payroll taxes that kicked in Jan. 1. Severe weather in the U.K. did not help either. Management also reported that they have not yet convinced many of its online users to convert to the regular program.

WW is retreating somewhat on the men's program, citing a too high cost per acquisition. As well, the firm is reducing its advertising spend on banner ads online. They are eliminating all non-productive ad spending.

The company doesn't see any real threat from mobile weight loss apps or from social media, and reports good progress in the B2B market. They also don't see much impact from the new Rx diet drug from VIVUS, since it still has a high out-of-pocket co-pay. The drug is also viewed as an adjunct to lifestyle changes, not a replacement for them. However, they do concede this could be a rough year. We'd also like to hear what progress the company has made in its multi-year retail site modernization. How many of the 850 or so leased sites have been refurbished? No one's talking about that.

All these factors may be true, but we at Marketdata don't think they fully explain why the response from consumers has been so weak. The simple fact, in our opinion, is that consumers (and Marketdata) just don't see much that's new with the 360 degree program. It's a very minor modification and tweaking of the Points system, but nothing to rave about. That said, in this environment of slow economic recovery, flat revenues or even a gain of 1-2% is no minor accomplishment. Flat is the "new growth". The company still generated $1.8 billion last year and its Internet revenues are still growing 20+% annually. When compared to other weight loss brands, that's not all that bad.



Jenny Craig Is New Partner of Canadian Obesity Network

Jan 29, 2013 -- The Canadian Obesity Network (CON-RCO) announced that Jenny Craig has become its newest "Vision Partner". "Vision Partners" commit significant support toward the network's operations and provide their invaluable perspective as CON-RCO shapes the future of obesity management and prevention in Canada. CON-RCO is Canada's only not-for-profit organization that focuses on the needs of Canadians coping with excess weight and related health issues. Funded completely through its corporate partnership program and individual donations, the network strives to identify and promote best practices in prevention and treatment among health care providers, researchers and policy makers while working to eradicate widespread bias and discrimination against those living with obesity.



Diet Soda Sales Were Flat in 2012

Diet soda sales constitute a significant share of the total diet market sales - $21.78 billion in 2011. The latest data show that diet soft drink sales represented 30% of all soft drink sales--no change. The soda companies are working hard to develop zero or low-calorie natural sweeteners, but progress has been slow and consumers have turned to other beverages. Pressure from government agencies and cities such as New York, to cut down the consumption of sugary soft drinks, has not helped.

A recent Wall St. Journal article reported that the large beverage companies have been raising prices over the past 8 years, to keep sales growing, but lower volume consumption has outpaced the price rises. According to retail tracker SymphonyIRIGroup, total soft drink sales in dollar terms fell 2.5%, with volume dropping 1.8%. Symphony data do not include sales in restaurants, vending machines and other outlets. When taking these figures into account, industry analysts say that soft drink sales probably barley rose last year.



Meal Replacements Growth Outpaces OTC Diet Pills

As we at Marketdata had predicted in our May 2011 "U.S. Weight Loss & Diet Control market" report, growth of meal replacements (shakes, nutrition bars) has outpaced that of OTC (retail) diet pills/appetite suppressants. According to Chain Drug Review's May 2012 issue, retail sales of meal replacements by drug stores, for the year ended March 18, 2012, were up 10.6% to $243 million. On the other hand, sales of retail diet pills fell 3.2% to $148.7 million.

Of course, this is just one distribution channel of the market for such products - not including sales via supermarkets, mass merchants like Walmart, MLM channels, mail order, and the Internet. When you add these channels, the market is much bigger in dollars. However, this data (from Symphony/IRI Group) does show the direction these products are headed.



Costs Per Pound of Weight Lost by Top 3 Companies?

Savvy Spender host and personal finance expert Vera Gibbons reports that, taking into account all costs including food and services, the following are the estimated costs to lose a pound:

Weight Watchers  $86

NutriSystem  $120

Jenny Craig  $163.



How Big Is The January Diet Surge?

According to a Dec. 31 article in the NY Times, in a recent unusual study, two psychologists sought an answer in data on diet-related searches provided by Google. The researchers focused on a 6-year period beginning in 2005, during which diet-related searches, involving keywords like “diet,” “Atkins,” “Weight Watchers” and “Nutrisystem”, followed an annual trend. Searches for these keywords spiked on average 29% nationwide from December through Jan. 31st, then fell month by month until the same period the next year. No surprises - the greatest surges in diet-related searches in December and January occurred in states with the highest obesity rates. The greatest increases were in South Dakota (a 54 percent surge), Tennessee (50 percent) and North Dakota (46 percent). States with lower obesity rates had smaller keyword surges. Vermont had the lowest (18 percent), followed by Hawaii (22 percent) and California (27 percent). Survey findings are only a crude indication of nationwide interest in dieting. But they correlate well with previous research showing that many people resolve to lose weight in January but gradually lose interest. The same is probably true for health club memberships.


Marketdata's 2013 Diet Market Forecasts

Dec. 31, 2012...  As we transition into the 2013 "diet season", it's time to look back at what happened in the weight loss market in 2012 and look forward to what's in store for 2013. This next year promises to be as dynamic as ever, as diet companies tweak their programs with a new twist for the new year, new companies enter the market, advertising campaigns ramp up, new diet books are written, drug companies continue their search for the magic pill, and dieters look for the "next big thing".

We will not go into ALL the details and forecasts here, but here are a few of our predictions:

The total U.S. weight loss market is expected to grow 4.5% in 2013, to a value of $66.5 billion, as consumer discretionary income increases, new diet drugs enter the market, and the large players such as Weight Watchers boost enrollments. We see good growth in medical programs, and heavy advertising that should fuel demand.

For complete press release and financials, see this link:

http://finance.yahoo.com/news/medifast-inc-announces-fourth-quarter-210500588.html

To view complete financials, see this link:

http://finance.yahoo.com/news/nutrisystem-reports-2012-results-210100531.html


Medifast Reports 4th Quarter & Year 2012 Results

For the fourth quarter ended December 31, 2012, Medifast net revenue increased 20% to $83.2 million from net revenue of $69.6 million in the fourth quarter of the prior year.  Each of the Company's three primary distribution channels, Take Shape for Life, Medifast Direct, Medifast Weight Control Centers and Wholesale Physicians, contributed to this year-over-year revenue increase.

The company had 68 Medifast Weight Control Centers in the comparable store base as of December 31, 2012. The Company ended the fourth quarter with a total of 87 corporate and 35 franchise centers.  Going forward, the Company expects to expand the number of franchise locations and continue to enhance the customer experience and profitability at corporate centers.

For the fiscal year ended December 31, 2012, Medifast reported a net revenue increase of approximately 20% to $356.7 million from net revenue of $298.2 million in 2011.  Each of the Company's three primary distribution channels, Take Shape for Life, Medifast Direct, and Medifast Weight Control Centers and Wholesale Physicians, contributed to this year-over-year revenue increase.

How many times now have we heard about the next new anti-obesity drug blockbuster, that never met expectations? The next multi-billion dollar/year magic pill? Qnexa by Vivus is the latest to get a nod from an FDA review panel. Soon we'll be hearing the Wall Street analysts proclaim Qnexa's virtues, the growing global obesity problem and the sure fire $1 billion sales.

Don't believe all the hype. We've heard it before--with Accomplia, with Meridia, with Xenical, with phen/fen, with Contrave, etc. Some of these diet drugs achjieved short-term sales success, but they all petered out within a year or two, not able to sustain sales over the long term, due to side effects, being pulled off the market, or the simple fact that most overweight people simply don't stay on the drug for more than 6-9 months. Weight loss has been very moderate with these drugs so far, not exacvtly what dieters want to hear.

In 1996, when the phen/fen combination came out, it was a different story. This was the first new prescription weight loss drug in a long time, so dieters flocked to their physicians and avoided structured programs that required more work, and yes, exercise. Now, the public has seen a half dozen diet drugs come and go, each with their own side effects, and they are jaded, less inclined to jump on the bandwagon.

So the next time you see an analyst projecting $1+ billion sales for a prescription diet drug, remember that the landscape is littered with wildly overoptimistic forecasts. Remember also that Wall St. analysts are salesmen, trying to justify their "buy" rating on the stock. Touting a huge potential is one way to gt you to buy.

Here's a good article that we totally agree with, by Forbes magazine:

http://www.forbes.com/sites/matthewherper/2012/02/28/why-no-obesity-drug-will-ever-be-the-next-lipitor/2/




U.S. News Names Best Diets for 2012

 An Improved BMI Formula On The Horizon?

In my consulting travels, I come across some very interesting start-ups, entrepreneurs and ventures that launch new diet companies and products or services designed to augment the programs of existing companies. One such venture is the Weight Zone Factor, by a California mathematician and entrepreneur with a team of people under the name Virtual Wellness, Inc.. His name is Jay Weiner. 

Medicare To Pay For Obesity Counseling

Medicare will pick up the tab for obesity screening and intensive behavioral counseling, the Centers for Medicare and Medicaid announced late Tuesday.

CMS, which first floated the obesity coverage plan last September, said it expects more than 30% of the Medicare population to qualify for the new benefit.

Beneficiaries with body mass index values of 30 or more can receive weekly in-person intensive behavioral therapy visits for one month, followed by visits every two weeks for an additional five months, fully paid by Medicare with no co-payment.

Counseling must take place in a primary care setting such as a physician's office. It will not be covered when provided in skilled nursing facilities, hospitals, emergency departments, outpatient surgery centers, or hospices. 

However, may are already criticizing this restriction, pointing out that many good weight loss programs provided in other settings (hospitals, commercial and medical weight loss centers) would not qualify. Also, if people are obese when they reach old age, they probably have a lifetime of bad habits that will be difficult to break.

Global Anti-Obesity Drugs Market to Reach $10.3 Billion by 2017, According to New Report by Global Industry Analysts

According to GIA: "The landscape is vast with contenders including biotech companies such as Arena Pharmaceuticals and Orexigen Therapeutics to giant pharmaceutical companies gearing up to develop safer anti-obesity drugs with lower side effects."

"The US continues to remain the largest and the fastest growing regional market and is home to the majority of world's obese population, and the number is still on the rise. Given the increasing prevalence of obesity in the US and other parts of the world, and the lack of any blockbuster drug, the market offers immense potential for effective anti-obesity drugs with lower side-effect profile. Europe represents one of the leading markets for anti-obesity drugs and the Asia-Pacific region holds enormous potential for anti-obesity drugs."

The research report titled: "Anti-Obesity Drugs: A Global Strategic Business Report" announced by Global Industry Analysts, Inc., provides a comprehensive review of trends, issues, strategic industry activities, and profiles of major companies worldwide. The report provides market estimates and projections in US$Million across geographic markets such as the US, Europe (France, Germany, Italy, UK, and Rest of Europe), and rest of World.

For more details about this market research report, visit:

www.strategyr.com/Anti_Obesity_Drugs_Market_Report.asp

 

Diet e-Book Published By John LaRosa & Susan Burke March:

 "The Common Cent$Diet For The Busy Girl: Simple Do-it-

   Yourself Weight Loss" - October 2011

John LaRosa, Marketdata's President and the former VP of Nutrition for eDiets.com, Susan Burke March, RD, have teamed up to co-author a brand new e-book. The CommonCent$Diet For The Busy Girl: Simple Do-it-Yourself Weight Loss, is a plan based on the use of 2 microwave "healthy" frozen entree meals per day, plus snacks, salads, etc. This is a 1400 calorie/day plan that is lower in sodium than the recommended daily allowance of 2200 mg.

Best of all for the frugal consumer, this is basically a ZERO COST, home-based program that IS sustainable long-term, using tasty brands such as Weight Watchers Smart Ones, Healthy Choice, Lean Cuisine, Amy's and Kashi. And, frozen entrees are portable, easily microwaved at work.

The only cost is $1.99 for the e-book, plus the cost of food a person would have to buy anyway--about $5/day for 2 frozen entrees. The typical American now spends $12/day on food eaten at home and away from home.

The 115-page book contains a 14-day regular and lower sodium meal plan, plus tips on stress management, exercise, the true cost of all the major diet programs, and much more.

In addition, purchasers of the e-book get free access to a supporting website: www.TheCommonCentsDiet.com, which contains, articles, videos, news, tips for online dieting, weight tracking tools, and a Blog by John LaRosa and Susan Burke March.

See the Press Release with more details here:

Common Cents Diet, Oct. 17 Press Release

Purchase the e-book at Amazon.com (Kindle reader) here:

  http://www.amazon.com/dp/B005VSJES0

Global Weight Loss Market to Reach $672 Billion? Really?

That's what a new study by MarketResearch.com says will happen by 2015. The report is entitled: "Global Weight Loss & Diet Management Products & Services Market (2010-2015)" and covers foods, beverages, drugs, surgeries, services, fitness equipment and accessories.

The global weight loss and diet management products & services market was expected to be worth $390 billion in 2010 and is estimated to grow to $672 billion by 2015, growing at a compound annual rate of 11.5% over that period.

The device and accessories market accounts for the largest chunk, worth $143 billion in 2010. According to MR.com, weight management services (i.e. programs) is growing at a fast pace and is expected to reach a size of $216 billion by 2015, growing at a CAGR of 16.2%. 

Marketdata Commentary:

We don't know where all this enthusiasm is coming from but we certainly don't see commercial or medical programs growing anywhere near 16% per year. Surgeries have been flat for several years and the diet soft drinks market has been flat to slightly down. Health club revenues in "normal" years grow about 7% annually. Maybe we're missing something. Maybe MR.com is expecting some tidal wave of overseas growth in China and developing countries, a move away from the current frugal do-it-yourself dieting trend, or several blockbuster prescription obesity drugs to be approved and enter the market.

However, considering the state of consumer confidence and the weak global economy, we just don't see any justification for these wildly optimistic projections. An 11.5% CAGR for the industry is nearly DOUBLE the historical pace of the past 20 years (about 6%/year). Will the period 2010-2015 really be that good? We'd take this report's forecasts with a BIG grain of salt.

 

 

Weight Loss Conference - "Marketing To The Overweight American" - Key Takeaways...

John LaRosa here... Got back from the MDPA's first annual weight loss industry conference in Silver Spring, MD on 9/27-28. If you weren't there, you missed a great event. Small turnout but very high level and interesting presenters. See www.mdpaconference.com for the agenda.

* The industry's growth has slowed with the recession, but individual companies (like Weight Watchers, Medifast) can still post strong results with great ad campaigns, service and innovative thinking.

* Small weight loss companies can out-market and out-perform giants by being creative and entrepreneurial.

* Look for a major new health information portal called Sharecare to be launched for consumers in Q1 2012. Dr. Oz is a partner. Now offered to hospitals, MDs and other healthcare providers. Very robust platform of tools and community features. See www.droz.com for his $1 million Transformation Nation challenge.

* Weight Watchers recognized by all as the best performer right now - hitting on all cylinders.

* Social media is critical to include in a weight loss marketer's arsenal.

* FTC very active in policing diet frauds and outrageous claims, but staff is limited. They more than have their hands full. In 2007, 4.8 million Americans were victims of diet product/service frauds or scams--more than any other product. FTC has jurisdiction over diet PROGRAMS and SERVICES as well, not just products.

* Glaxo looking to divest itself of the Alli OTC brand.

* Revolution Health bought out by Everyday health.

* Red flag products today for the FTC: Hoodia, HCG, Acai Berry claims.

* Health is not a popular topic for mobile apps. People look for this information via websites, using their computer.

* TV advertising on diet products: Q2 is the biggest spending period--not the 1st quarter. Best to reach female dieters via early morning news, men at night. States where people really take action to lose weight are NOT where you'd expect (i.e. deep South with high obesity rates), but in KY, FL, TX, Montana, Idaho, Wyoming, Colorado.

* Newspapers ranked #3 in media watched by the obese. These people are more likely to treat their obesity. Obesity rates vary by state and by county, newspapers lend themselves well to local targeting.

* The best performing diet company advertisers are customer "advocates" rather than "advertisers". There's a big difference. An advocate finds a shared purpose--what can we do to help each other? Advocates listen and create "ambassadors" that multiply and go viral. Engage potential customers.

See John LaRosa's Powerpoint slides (industry status report, forecasts for 2011, 2014) from the conference here:

     click here

Dieting Is Big Business in Canada Too...

Obesity is apparently big business in Canada too--about one tenth the size of the United States market. Many of the large U.S. weight loss companies have outlets in Canada (Weight Watchers, jenny Craig), along with many home-grown chains. According to The Star, at least $6 billion is spent annually by Canadians for weight loss surgeries, diet pills, special diets and meal replacements.

However, say obesity experts north of the border, it's literally a "free-for -all", Wild West market, in terms of regulation. Almost a third of that $6 billion is spent by the highest risk persons that are obese.

Health Canada rules sate that "medical devices must not be advertised to the general public making any claims related to obesity." Medical procedures in general are a provincial responsibility..

A study by the Canadian Obesity Network claims that 3 million people considered obese in Canada spend an average of $580 per year for quick fix solutions. Much of that money goes to non-prescription weight loss products such as herbs and supplements. Those products are approved by Health Canada's Natural Health Products Directorate.

Regulations regarding marketing have essentially been abandoned amid the sheer volume of weight loss products, which makes monitoring almost impossible. The agency Health Canada has the power to crack down, but doesn't, say those following the market.

Diet Plans Ranked by The Magazines - How Good Are The Rankings?

U.S. News & World Report

U.S. News's first-ever rankings, released last week, evaluated diets in seven categories, including short-term weight loss, long-term weight loss, easiness to follow, and nutritional completeness. The government-endorsed DASH Diet (Dietary Approaches to Stop Hypertension) snagged the top spot overall.

Weight Watchers came in #1, while Jenny Craig and the Raw Food Diet came in #2. The Glycemic Index (used by NutriSystem) and the Paleo Diet came in at the bottom, due to their alleged lack of scientific evidence and long-term weight maintenance. The Dean Ornish diet came in best for heart health.

The best commercial diet plans included Weight Watchers, Jenny Craig, then Slim-Fast, while the Atkins Diet and Medifast came in last.

Best Diets cuts through the clutter of claims and half-truths to deliver the facts about 20 diets, including many, such as Weight Watchers, that are household names and others, such as the DASH Diet, that should be.

A U.S. News team spent six months researching the diets, mining medical journals, government reports, and other sources. An in-depth profile was then drawn up for every diet that explains how it works, whether its claims add up or fall short, and what risks it might pose, along with insights into living on the diet, not just reading about it.

A panel of 22 recognized experts in diet and nutrition and specialists in diabetes and heart disease reviewed the U.S. News profiles. Then the experts rated each diet from 1 to 5 in seven categories: short-term weight loss, long-term weight loss, how easy it is to follow, its nutritional completeness, its safety, its ability to prevent or manage diabetes, and its ability to prevent or manage heart disease.

See results and methodology here:

http://health.usnews.com/best-diet

Commentary:

In Marketdata's opinion, this is NOT as good a ranking as it could be. Why? Because the researchers didn't rate the diet plans on two of the three key components of successful weight loss: exercise and motivational coaching/support. The emphasis here is all on the food and nutrition. In addition, they only analyzed 20 diet plans. Marketdata, via BestDietForMe.com's online survey, tracks 60 programs. Therefore, this ranking get a "thumbs down" from us.

Of course, the diet companies that came out on top will tout the results as proof that their program is best. But, in our opinion, both of these studies are incomplete.

 Consumer Reports Magazine

In Mid-May, Consumer Reports released its own rankings on the leading diet programs on the market. They had Jenny Craig, Slim-Fast and Weight Watchers taking the top 3 spots, derived by aggregating hundreds of published studies over the past six years. They measured nutrition, daily calories, drop-out rates and both short and long-term weight loss scores from clinical studies.

The CR study does admit that it was not able to measure the effectiveness of counseling, community or a support system element in a successful diet program due to lack of published information. But, they note that Weight Watchers, Jenny Craig and NutriSystem all are known for their counseling and support--whether it's in-person or online.

 

National Institute of Health Obesity Plan

More than a third of adults and nearly 17% of children in the United States are obese, increasing their chances of developing health problems including type 2 diabetes, heart disease, high blood pressure, fatty liver disease and some cancers.

"This plan is a bold blueprint that will encourage the research community to examine the epidemic of obesity from diverse perspectives," National Institutes of Health (NIH) Director Dr. Francis Collins said in a statement.

The NIH spent $971 million in fiscal year 2010 on obesity research, with $147 million of that in one-time stimulus funds.

Under the plan, NIH will fund studies to test new ways to reach and maintain a healthy weight in real-world settings and diverse populations.

It also will focus on understanding biological processes that regulate weight, and factors that contribute to obesity and the health issues it causes.

Obesity-related diseases account for nearly 10% of U.S. medical spending, or an estimated $147 billion a year.

Studies have shown that obese children are more likely to stay obese as adults, and that they develop chronic conditions at younger ages, burdening the healthcare system.