Diet and Weight Reducing Centers NAICS 812191

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Industry Summary
The 1,400 diet and weight reducing centers in the US help individuals attain or maintain a desired weight using non-medical methods. Weight loss services account for the majority of industry sales. Firms may also sell weight reduction products, such as food supplements or prepared food products.
High Customer Failure Rate
Most consumers fail to achieve or maintain weight loss through traditional programs.
Competition from Alternative Service Providers
Diet and weight reducing centers compete with a range of alternative service providers, including health care providers, fitness centers, pharmaceuticals, self-help programs, and surgical procedures.
Recent Developments
May 7, 2025 - Slower Growth Forecast
- Reflecting the challenges facing the industry, sales for the US diet and weight reducing centers industry are projected to grow at a CAGR of 1.9% between 2025 and 2029, according to a forecast from Inforum and the Interindustry Economic Research Fund, Inc. The expected growth rate is slower than the overall economy‘s anticipated growth. Diet and weight reducing services are part of the “other services” sector, which is driven by consumer spending, along with expenditure by businesses. Consumer sentiment is likely to improve in the forecast period, which bodes well for the sector. Factors that may limit consumer spending are higher tariffs on consumer goods, which may be painful for households. On a positive note, lower inflation supports a moderate increase of real disposable income by about 2% in 2025 and 1.9% in 2026. Real income could suffer to an extent if average prices rise due to tariff implementation.
- According to the Wall Street Journal, WeightWatchers filed for Chapter 11 bankruptcy in May 2025, seeking to reduce its debt load by $1 billion. WeightWatchers has struggled in recent years to adapt its business model to the fast-changing weight loss industry, which has been upended by weight-loss drugs like Ozempic. While the company has added a clinical component incorporating weight-loss drugs, the growth has not been fast enough to offset a decline in subscriptions to its core programs. CEO Tara Comote said the company expects that deleveraging will free up cash flow to help it compete and innovate.
- According to a report in CFO Dive, consumer sentiment, an indicator of discretionary spending, fell in large part due to tariff uncertainty and an expectation of higher prices. The final index of consumer sentiment from the University of Michigan dropped 8% in April 2025 from the previous month. An index measuring consumers’ expectations for the future fell nearly a third since January, the steepest three-month percentage decline since the 1990 recession. According to survey director Joanne Hsu, “Consumers perceived risks to multiple aspects of the economy, in large part due to ongoing uncertainty around trade policy and the potential for a resurgence of inflation looming ahead.”
- WeightWatchers reported declines in its digital and workshop memberships in its full 2024 results while its clinical subscription segment expanded, according to Subscription Insider. Subscription revenues dropped 5.6% overall year-over-year to $777 million, driven by decreases in digital (a 3.3% decline) and workshops plus digital (a 20.3% decline). Meanwhile, its clinical subscription grew 164.1% year over year to $78 million. To that end, WeightWatchers is expanding its clinical offerings and launching new products such as compounded semaglutide. In addition, the company has expanded its registered dietitian support and launched AI-powered food tracking tools. Speaking to the results, CEO and President Tara Comonte said, “At the same time, WeightWatchers in a period of significant transition as we navigate industry shifts and reposition our business for long-term growth.” The company noted that it is focused on cost management, with annual interest payments of approximately $100 million impacting cash flow.
Industry Revenue
Diet and Weight Reducing Centers

Industry Structure
Industry size & Structure
The average diet or weight reducing company operates out of a single location, employs about 10 workers and generates $1.2 million annually.
- The diet and weight reducing services industry consists of about 1,400 firms that employ about 14,000 workers and generates $1.7 billion annually.
- Franchises account for half of the industry. Franchisees account for 21% of establishments.
- The industry is highly concentrated; the top 50 companies account for 72% of industry revenue.
- Large firms, which include WW (Weight Watchers), Nutrisystem and Jenny Craig (both owned by Wellful), and Medifast, may have international operations.
Industry Forecast
Industry Forecast
Diet and Weight Reducing Centers Industry Growth

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