WeightWatchers 2005 Annual Report Download - page 16

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Please find page 16 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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Corporate Solutions
We believe there is an increasing demand by companies for services and products that can improve
the health and well-being of their employees. In response, we recently launched our Corporate
Solutions sales and marketing initiative. We believe our broad range of services and products uniquely
positions us to serve this market and help companies reduce their healthcare costs and improve the
well-being of their employees. Our Corporate Solutions initiative typically leverages a company’s
internal communications to promote our services and products directly to its employees. As part of this
strategy, we have built a dedicated national sales and account management team focused on engaging
national clients.
The Corporate Solutions initiative promotes four differentiated offerings, any of which can
generally be offered by companies to their employees:
• Onsite Weekly Meetings: For employees who want support from fellow colleagues, guidance
from an experienced leader and the convenience of attending meetings at their workplace.
• Local Meeting Vouchers: For employees who want guidance from a leader but want to attend
meetings away from work.
• Weight Watchers Online: For employees who cannot attend meetings, or are self-help inclined,
but want access to Weight Watchers.
• At Home Kits: For employees who prefer an offline self-help approach.
This national approach to serving companies supplements our existing local efforts to target the
corporate market. We intend to leverage our existing local relationships into expanded national
relationships.
Licensing and Publishing
Licensing
We license the Weight Watchers brand and other intellectual property in certain categories of food
and other consumer products to carefully selected partners. We seek to increase our licensing revenues
by targeting sizeable product categories where the Weight Watchers brand can add real value. We have
recently expanded our global licensing team in order to focus on increasing the number of categories
and geographies of our licensed products.
We typically partner with licensees that excel at new product development and have strong
marketing and sales expertise, manufacturing and distribution capabilities, financial strength, prior
performance in previous licensing deals and senior management commitment to building the Weight
Watchers brand. In addition, in connection with our acquisition from the H.J. Heinz Company, or
Heinz, in September 1999, Heinz received a perpetual royalty-free license to continue using our brand
in its core food categories. We plan to continue to choose our licensing partners carefully after
identifying and prioritizing categories that enhance the Weight Watchers brand and have long-term
growth potential.
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