WeightWatchers 2013 Annual Report Download - page 20

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application, which launched in fiscal 2011, provide Monthly Pass purchasers and Weight Watchers Online
subscribers with access to a suite of weight-loss tools, such as recipe and tracking tools, as well as other helpful
content. In fiscal 2010, we launched our initial iPad®-optimized application, and a universal application was
launched in fiscal 2011. In fiscal 2011, we launched an iPhone®and Android™ barcode scanning application,
which scans the barcodes of food products and provides accurate PointsPlus values. We currently offer our
universal iPhone®,iPad®and Android™ applications in ten countries. We continue to explore opportunities to
enhance the mobility of our plans and products. We also believe we can expand our Internet revenues from
sources other than our Internet subscription products, including third-party advertising on our website.
In addition, we believe there are many other markets that will present opportunities for us, including men,
for whom we have a customized version of our Internet subscription products.
At-Work Meetings and Healthcare
As healthcare costs continue to be a significant concern on the minds of employers and their employees, we
believe that our broad range of services and products uniquely positions us to serve the corporate market and help
companies reduce their healthcare costs and improve the overall well-being of their employees. Our strategy is
focused on leveraging our organizational capability to serve companies of every size and type by offering
convenient and flexible weight-loss solutions that include meetings at the workplace, local community meetings
and access to Weight Watchers Online. In addition, we believe our information technology platform can be
leveraged to meet the needs of these companies and their employees. As a result of our strategy, we now have,
and plan to continue to invest in, the capability to sell, market, and service companies at the local level, the mid-
market level, and the national level of the corporate market.
We believe the healthcare market, from the doctor’s office to national and other health plan providers,
represents an important channel to reach new consumers. We continue to explore different approaches to this
market.
Licensing, Endorsements and Publishing
Licensing and Endorsements
Companies show continued interest in licensing our brand and other intellectual property as a platform to
build their businesses since the Weight Watchers brand brings high credibility and access to the weight-
conscious consumer. By partnering with carefully selected companies in categories relevant and helpful to
weight-conscious consumers, we have created a highly profitable licensing business as well as a powerful vehicle
to reinforce the Weight Watchers brand in the minds of our target consumers.
We license the Weight Watchers brand and our other intellectual property in certain categories of food and
other relevant consumer products. We also endorse carefully selected branded consumer products. We seek to
increase our licensing revenues by targeting sizeable or strategic product categories where the Weight Watchers
brand can add real value. In order to achieve this goal, our global licensing team focuses on strategically
increasing the number of categories and geographies of our licensed and endorsed products.
We typically partner in our licensing and endorsement arrangements with third parties that excel at new
product development and have strong marketing and sales expertise, manufacturing and distribution capabilities,
financial strength, prior performance in previous licensing and endorsement deals and senior management
committed to building the Weight Watchers brand. 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 and endorsement partners carefully
after identifying and prioritizing product categories that enhance the Weight Watchers brand and have long-term
growth potential.
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