WeightWatchers (WTW): Subscribers Migrating to Free Competitors

   10 Jan 2014

Losing Subscribers to Free Calorie Counting Competitors

Our online signals had tracked well with Weight Watchers subscribers over the past 8 quarters, and as the New Year and Weight Watcher’s new program “Weight Watchers 360″ unfolded we became concerned. Our proprietary data indicated existing subscribers as well as new leads were identifying cheaper ways of counting calories. We noticed explosive increases in App downloads for several free tools, as well as increases in visits to the websites of these free tools. Social media mention for Weight Watchers was also lower than the prior year and our checks indicated their was no improvement in North American meeting attendance. Our hypothesis of diminished subscriber growth and overall interest was validated when WTW guided 2013 earnings more than 20% below expectations and shares responded by selling off more than 20% so far this year.

Share :

Related Projects