WeightWatchers 2011 Annual Report Download - page 20

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of overweight and obese people has steadily increased around the world over the past 20 years and is estimated to
reach approximately 3.0 billion by 2015, primarily driven by changing eating patterns and increasingly sedentary
lifestyles. Between 2007 and 2008, 68% of Americans over the age of 19 were considered overweight and almost
half of these were obese. Numerous diseases, including heart disease, high blood pressure and Type II diabetes,
are associated with being overweight or obese. We believe the growing population of overweight people who are
motivated by both an increasing awareness of the health benefits of weight loss and the desire to improve their
appearance is fueling the growth in demand for weight management programs. We believe this growth and
awareness is also a result of an increasing willingness of employers and governments to promote and subsidize
the cost of weight management programs.
Our Services and Products
Our Weight Management Plans
In each of our markets, we offer services and products that are built upon our weight management plans
which are comprised of a range of nutritional, exercise and behavioral tools and approaches. PointsPlus and
ProPoints, our current weight management plans, are innovative systems with similar methodologies, developed
from a combination of the latest nutritional scientific research and insights of customers who experienced prior
Weight Watchers plans. For example, the PointsPlus system is similar to our patented POINTS Weight Loss
System as it specifies a simple value for each food. The PointsPlus value of a food, however, is determined by a
unique and proprietary formula based on the food’s protein, carbohydrates, fat and dietary fiber content. The
formula takes into account how these nutrients are processed by the body as well as their impact on satiety.
Subject to certain nutritional guidelines, consumers following the PointsPlus program can eat any food as long
as the PointsPlus value of their total food consumption stays within their personalized PointsPlus “budget”.
Since nutritious foods generally have low PointsPlus values, this approach guides consumers toward healthier
eating habits. Under the PointsPlus program, consumers are taught different techniques shown to help them in
their weight loss efforts, such as being encouraged to choose specified “Power Foods” as part of their daily
“PointsPlus Target” to, among other things, maximize eating satisfaction in relation to other similar foods.
“Power Foods” are foods that are shown to be healthier and more satisfying food choices based on unique and
proprietary formulas assigned to categories of similar foods. At the end of 2009 and during 2010, the ProPoints
program was launched in Continental Europe. At the end of 2010, we launched the PointsPlus program in the
United States and Canada, and the ProPoints program in the United Kingdom and Australia. At the end of fiscal
2011, we introduced updated versions of the PointsPlus program in the United States and Canada and the
ProPoints program in the United Kingdom, Continental Europe and Australia.
Our Clinical Efficacy
Our program is one of the most clinically-studied commercial weight management programs, with almost
70 published trials in the last 15 years. Most recently, in fiscal 2011, The Lancet medical journal published a
global, one-year study led by investigators from the Medical Research Council of the University of Cambridge
indicating that, after twelve months, overweight and obese adults referred by their doctors to our program lost
more than twice as much weight as compared to those who participated in a standard care program led by a
primary care provider. Also in fiscal 2011, the British Medical Journal released a study further emphasizing the
effectiveness of our weight management program.
Our Meetings
We present our program in a series of weekly meetings of approximately one hour in duration. Meetings are
conveniently scheduled throughout the day. Typically, we hold meetings in either meeting rooms in well-located
civic or other community centers or space leased in retail centers.
Our group support system remains the cornerstone of our meetings. Members provide each other support by
sharing their experiences with, and by providing encouragement and empathy to, other people experiencing
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