WeightWatchers 2005 Annual Report Download - page 15

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Please find page 15 of the 2005 WeightWatchers annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

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As Weight Watchers Online and Weight Watchers eTools reflect different value propositions, the
subscriptions are priced differently. Both subscription products currently offer an initial pre-paid
subscription term of one or three months, continuing thereafter on a pre-paid month-to-month basis
until canceled. In the United States, Weight Watchers Online costs $65.00 for the initial 3-month term
or $46.90 for the initial one-month term. The ongoing monthly fee for Weight Watchers Online is
$16.95. In the United States, Weight Watchers eTools costs $29.95 for the initial 3-month term or
$12.95 for the initial one-month term. The ongoing monthly fee for Weight Watchers eTools is $12.95.
We believe WeightWatchers.com’s personalized and interactive Internet subscription products
provide consumers with an engaging weight management experience. Our Internet subscription
products help customers monitor their weight management efforts, encourage exercise and healthier
living, and provide guidance toward healthier eating habits by offering the following interactive
resources:
• POINTS Tracker
• POINTS Calculators
• Weight Tracker and Progress Charts
• Recipe Database
• Recipe Builder
• Meal Ideas
• Restaurant Guides
In July 2004, WeightWatchers.com launched its first mobile subscription product—Weight Watchers
On-the-Go—which is available as an add-on product for subscribers to our Internet products. Weight
Watchers On-the-Go offers software tools and features for Palm-based handheld devices. Through a
two-way synchronization, subscribers can track their POINTS value, food consumption or physical
activities either on their handheld device or through the website and have their results automatically
uploaded to their Internet subscription account or downloaded to their handheld device. Weight
Watchers On-the-Go is currently only offered in the United States and is free for Weight Watchers
eTools subscribers. Weight Watchers Online subscribers can currently purchase Weight Watchers
On-the-Go for an additional $5 per month.
We believe men represent an important market opportunity for us and we are developing a version
of our Internet subscription products customized for men. Based on our internal research, we believe
many men trust the Weight Watchers brand as a source of sensible weight management advice. We
believe web-based offerings, combined with appropriate content and imagery, will be ideally suited for
men.
We believe we can continue to expand our Internet revenues from sources other than our Internet
subscription products. For example, in December 2005 we launched in the United States an online
store that sells our products (such as bars, snacks and POINTS calculators) to our Weight Watchers
Online subscribers. We are also exploring options to increase our Internet advertising sales.
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