March 15, 2026
Medifast is an MLM (multilevel marketer) that sells meal replacements and diet foods, via health coaches. Their sales declined by 36% in 2025, to $386 million.
Herbalife is another MLM that sells meal replacements and appetite suppressants, via health coaches. Their weight loss product sales in North America only declined by an estimated 0.7% in 2025, to an estimated $563 million.
Why the big difference? The two companies are selling very similar weight loss products, using the same sales model.
Medifast…
- has 16,000 coaches, and declining, and their average earnings are declining, the average coach earns $18,650
- does not sell products internationally, only in the U.S.
- does very little advertising
- has one basic product line (Optavia)
- sells prescription GLP-1 drugs
Herbalife…
- sells internationally, is more geographically diversified
- coaches earn a lot more, $50-60,000 a year
- sells meal replacements (shakes, nutrition bars) AND appetite suppressants/fat burners
- is a much larger company, with access to a larger marketing budget
- does not sell any medical weight loss plan or prescription diet drugs
MLMs depend greatly upon their “distributors” or “coaches” for success. Medifast grew to revenues of $1.5 billion a few short years ago, when it had more than 65,000 coaches. Now it has only 16,100 as the company has tried to pivot to add a medical weight loss program. Those coaches were used to selling meal replacements and a non-medical program. Then they suddenly had to learn how to market a medical program, an area where they had no expertise. Many left. The number and quality of coaches or “distributors” matters, a lot. Also, it’s wise when competing in the weight loss market, to have a diversified product line, and a variety of price points. The Medifast line basically has one price point – $350 to $450 per month for their diet foods. Company focus also matters. Herbalife is well known as seller of nutrition products, whereas consumers don’t know if Medifast is a medical or non-medical weight loss program (they offer both).
Learn More About All The Major Weight Loss Market Competitors – From Marketdata’s Reports
Marketdata LLC has released a new report: “The U.S. Weight Loss Market: Status Report & 2026 Forecast” This 108-page analysis tracks the current status of ALL weight loss market segments, 2025 performance, the latest dieting trends, 15 competitor profiles, with 27 tables and charts.
Some findings:
- The total U.S. weight loss market was worth $135 billion in 2025 (when including the revenues of health clubs ). A 6.6% increase is forecast in 2026, largely due to growing sales of GLP-1 drugs.
- Commercial weight loss companies/centers (Weight Watchers, NutriSystem, jenny Craig, Medifast) saw revenues fall by 24% as a group in 2025, to $1.86 billion, as they struggle to pivot and deal with strong competition from the GLP-1 drugs.
- All medical programs accounted for a new high of 38% of the total market, worth $51.5 billion last year. This is up sharply from 11% in 2022, prior to the GLP-1 drugs boom.
- The number of bariatric surgeries is estimated to have fallen by 8% in 2024 and another 6% in 2025, to 232,000.
- The market for prescription obesity medications is estimated to have increased by 64%, to $43.48 billion. Growth will be slower in 2026, as new and cheaper weight loss pills enter the market.
- Meal replacements and OTC appetite suppressants is a $4.2 billion market. Shakes and nutrition bars have held up well but retail diet pills sales are plummeting.
- Weight Watchers revenues will likely have decrease by 11% in 2025, while sales at Medifast fell by 36%.
The complete report is available for sale, for $995, at: marketdataenterprises.com, or by calling Marketdata at: 813-971-8080. A Table of Contents can be found at the website.
The report includes in-depth analyses of: 2024-2025 market/revenue performance, recent competitor and market developments, current dieter trends and top diet plans, and diet company advertising and marketing spending. Special emphasis and analysis of the obesity drugs market and its effect on all market segments. Coverage of cheaper compounded drugs that are not FDA-approved, new drugs entering the market.
Individual Status Reports and the effects of the obesity drugs boom on operations and revenues, for ALL major weight loss market segments… diet soft drinks, artificial sweeteners, health clubs industry, commercial weight loss chains, retail meal replacements and appetite suppressants, and low-calorie dinner entrees.
Includes profiles and 2025 performance of: Medifast, Weight Watchers, NutriSystem, Slim-Fast, Simply Good Foods (Atkins) Herbalife, AMWAY, Premier Protein, Eli Lillky, Novo Nordisk and and Noom.