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
Mar 25, 2025 - Demand Up for Clinical Services
- 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.
- According to a report in CFO Dive, consumer confidence levels, an indicator of discretionary spending, have fallen due to consumer anxiety about tariff effects and economic uncertainty. The consumer sentiment index from the University of Michigan dropped 11% in March 2025, marking the third straight month of declines and hitting the lowest level since November 2022. In addition, the Conference Board index of consumer sentiment in February 2025 marked the biggest decline since August 2021 and the third straight month of declines. According to Stephanie Guichard, senior economist for global indicators at the Conference Board, “There was a sharp increase in the mentions of trade and tariffs, back to a level unseen since 2019. Most notably, comments on the current administration and its policies dominated the responses.”
- State lawmakers are finding coverage of GLP-1 medications an ongoing issue due to their high price tag, according to a recent report by the National Conference of State Legislatures (NCSL). According to the NCSL, about a dozen states addressed coverage of GLP-1 drugs during their 2024 sessions. In 2024, Illinois expanded coverage for GLP-1s like Ozempic and Wegovy for weight loss under its state employee health plan while North Carolina stopped coverage for GLP-1 drugs for weight loss the same year. According to The Colorado Sun, Colorado will limit insurance coverage of prescription weight-loss drugs for state employees to three specific conditions in a cost-cutting measure effective July 2025. Some diet companies such as WeightWatchers have started offering access to GLP-1 medications as well as nutritional counseling related to weight-loss medications.
- According to US News and World Report, researchers in a Lancet Journal study found that about 260 million Americans could be overweight or obese by 2050. Researchers estimate that two in three adults, one in three teens, and one in five children in the US will be obese by 2050. The change is expected to create a crisis of chronic illnesses and serious health conditions in the nation, including diabetes, heart attacks, cancer, and other conditions. The research also showed that people are becoming obese at earlier ages in the US. According to lead study author Emmanuela Gakidou, a professor with the Institute for Health Metrics and Evaluation (IHME) at the University of Washington, “Our analysis lays bare the decades-long failure to tackle the growing overweight and obesity epidemic in the USA.” Obesity rates can be a demand indicator for diet and weight reducing centers, which court consumers seeking to improve their health.
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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