[Report] Weight Loss Products: Supplements, Foods & Beverag TOC

INTRODUCTION

STUDY GOAL AND OBJECTIVES
REASONS FOR DOING THE STUDY
CONTRIBUTIONS TO THE STUDY AND FOR WHOM
SCOPE AND FORMAT
METHODOLOGY
INFORMATION SOURCES
RELATED BCC WORK CREDENTIALS
OTHER BCC PUBLICATIONS RELATED TO THIS TOPIC
- REPORTS
- MONTHLY NEWSLETTER
AUTHOR CREDENTIALS
BCC ONLINE SERVICES

SUMMARY

Summary Table:
U.S. RETAIL MARKET FOR WEIGHT LOSS PRODUCTS AND SERVICES, THROUGH 2007 ($ BILLIONS)
Summary Figure:
U.S. RETAIL MARKET FOR WEIGHT LOSS PRODUCTS AND SERVICES, 1999-2007 ($ MILLIONS)

OVERVIEW

NATURE OF O/O
OVERWEIGHT VS. OBESITY
DEFINITIONS
OBESITY TRAITS
AN INTERNATIONAL EPIDEMIC
UNITED STATES INCIDENCE

Table 1 OVERWEIGHT AND OBESITY AMONG U.S. ADULTS (20 AND OVER) 1978-2002 (%)
Figure 1 OVERWEIGHT AND OBESITY AMONG U.S. ADULTS (20 AND OVER) 1978-2002 (%)
Table 2 OVERWEIGHT INCIDENCE AMONG U.S. CHILDREN AND ADOLESCENTS, 1978-2002
Figure 2 OVERWEIGHT INCIDENCE AMONG U.S. CHILDREN AND ADOLESCENTS, 1978-2002 (%)
- REASONS FOR THE INCREASE
- EFFECT ON THE ECONOMY
  - A COSTLY DISEASE
  - GOALS AND ACTUAL RESULTS ARE MOVING IN OPPOSITE DIRECTIONS
- PERSONAL SUFFERING
- PRODUCTS
  - DO WEIGHT LOSS DRUGS REALLY WORK?
- IMPORTANT INDUSTRY INDICATORS
  - INCIDENCE AND TRENDS OF OVERWEIGHT
Table 3 PROPORTION OF U.S. ADULT POPULATION THAT IS OVERWEIGHT, (%)
- HISTORY OF THE INDUSTRY
  - PRIOR TO 1980
  - WIDESPREAD EMERGENCE OF THE O/O PROBLEM
  - CONFRONTING THE EPIDEMIC
  - MAJOR SIDE EFFECT PROBLEM
- OVERLAPPING CATEGORIES AND MULTIFUNCTIONAL PRODUCTS
- NUTRACEUTICALS APPEAR
- MISCONCEPTIONS REMAIN
- PRODUCT FUNCTIONS
  - PRODUCTS THAT REDUCE THE APPETITE
  - PRODUCTS THAT BURN FAT
  - PRODUCTS THAT PREVENT FAT DIGESTION
  - MEAL REPLACEMENTS
  - LOWER CALORIE FORMS OF FOODS AND BEVERAGES
- PRODUCT AND SERVICE SEGMENTS
  - SUPPLEMENTS
  - PHARMACEUTICALS
  - BARIATRIC SURGERY
  - WEIGHT LOSS CENTERS
  - LOW CALORIE FOODS
  - LOW CALORIE BEVERAGES AND ARTIFICIAL SWEETENERS
- MAJOR APPLICATIONS
  - SEVERE OBESITY
  - OBESITY
  - HIGH OVERWEIGHT
  - OVERWEIGHT
  - NOT OVERWEIGHT
- FUTURE EFFECTS ON THE INDUSTRY AND COUNTRY
  - CONSIDERABLE INTERDEPENDENCE
    - Weight Loss Industry Effect on the Country
    - The Country's Effect on the Industry
- FACTORS INFLUENCING DEMAND
- PROFESSIONAL AND GOVERNMENT RECOMMENDATIONS
  - PROFESSIONAL AND GOVERNMENT RECOMMENDATIONS (CONTINUED)
- LIFE STYLES
  - FASHION/FIGURE INFLUENCES
  - ATTRACTIVENESS PERCEPTIONS
  - PERCEPTIONS OF OVERWEIGHT ADOLESCENTS
  - SOCIETAL EFFECTS
  - EATING OUT
    - Restaurants Feel the Pressure
- EXERCISE CONSIDERATIONS
- SELF-MEDICATION TRENDS
Table 4 ATTITUDES AND BEHAVIOR RELATING TO HEALTH SELF-CARE (%)
- UNREALISTIC EXPECTATIONS
Table 5 EXPECTATIONS OF BEGINNING DIETERS BASED ON DESCRIPTIONS OF WEIGHT LOSS RESULTS (%)
- DEMOGRAPHICS
  - NOBODY IS SPARED
  - WEALTH STIMULATES O/O
- RAISING CHILDREN
- RELIGION
- TECHNOLOGY EFFECTS
- PREPARATION, CONSUMPTION PATTERNS AND TRENDS
  - CHANGES IN HOME FOOD PREPARATION
  - LONG-TERM TRENDS
  - SNACKING INCREASES
    - Snacking Increases (Continued)

PRODUCT AND SERVICE SEGMENTS: MARKET SIZE, MARKET SHARE AND COMPANY PROFILES

PRODUCT AND SERVICE SEGMENTS: MARKET SIZE, MARKET SHARE AND COMPANY PROFILES

Table 6 U.S. RETAIL MARKET FOR WEIGHT LOSS PRODUCTS AND SERVICES BY MAJOR SEGMENTS, THROUGH 2007 ($ MILLIONS)
Figure 3 U.S. RETAIL MARKET FOR WEIGHT LOSS PRODUCTS AND SERVICES BY MAJOR SEGMENTS, 1999-2007 ($ MILLIONS)
- SUPPLEMENTS
Table 7 U.S. SALES OF WEIGHT CONTROL SUPPLEMENTS, THROUGH 2007 ($ MILLIONS)
Table 8 U.S. SALES OF WEIGHT CONTROL SUPPLEMENTS BY PRODUCT SUBCATEGORIES, THROUGH 2007 ($ MILLIONS)
Figure 4 U.S. SALES OF WEIGHT CONTROL PRODUCT SUPPLEMENTS BY PRODUCT SUBCATEGORIES, 1999-2007 ($ MILLIONS)
Table 9 U.S. SALES OF WEIGHT CONTROL SUPPLEMENT PILLS, THROUGH 2007 ($ MILLIONS)
Table 10 MARKET SHARE OF WEIGHT CONTROL PILLS BY BRAND, 2001 (%)
Figure 5 MARKET SHARE OF WEIGHT CONTROL PILLS BY BRAND, 2001 (%)
Table 11 U.S. SALES OF LIQUID/POWDER DIET MEAL REPLACEMENT PRODUCTS, THROUGH 2007 ($ MILLIONS)
Table 12 U.S. SALES OF DIET MEAL REPLACEMENT BAR PRODUCTS THROUGH 2007 ($ MILLIONS)
Table 13 MARKET SHARE OF WEIGHT LOSS MEAL REPLACEMENT BRANDS, 2001 (%)
Figure 6 MARKET SHARE OF WEIGHT LOSS MEAL REPLACEMENT BRANDS, 2001
- PHARMACEUTICALS
  - PHARMACEUTICAL MARKET MOVEMENT
Table 14 U.S. SALES OF PHARMACEUTICAL WEIGHT CONTROL PRODUCTS, THROUGH 2007 ($ MILLIONS)
Table 15 U.S. SALES OF PHARMACEUTICAL WEIGHT CONTROL PRODUCTS BY MAJOR INGREDIENT TYPE, THROUGH 2007 ($ MILLIONS)
Figure 7 U.S. SALES OF PHARMACEUTICAL WEIGHT CONTROL PRODUCTS BY MAJOR INGREDIENT TYPE, 1999-2007 ($ MILLIONS)
Table 16 WEIGHT LOSS MEAL REPLACEMENT MARKET SHARES, 2001 (%)
Figure 8 WEIGHT LOSS MEAL REPLACEMENT MARKET SHARES, 2001 (%)
- BARIATRIC SURGERY
Table 17 BARIATRIC SURGERY REVENUE, THROUGH 2007 ($ MILLIONS)
Figure 9 BARIATRIC SURGERY REVENUE, 1999-2007 ($ MILLIONS)
- WEIGHT LOSS CENTERS
  - MARKET AND SUMMARY
Table 18 U.S. WEIGHT LOSS CENTERS TOTAL MARKET REVENUE, THROUGH 2007 ($ MILLIONS)
Table 19 NUMBER OF WEIGHT LOSS ESTABLISHMENTS, 1996-2000
Table 20 MARKET SHARES OF U.S. WEIGHT LOSS CENTERS, 2002 (%)
Figure 10 MARKET SHARES OF U.S. WEIGHT LOSS CENTERS, 2002 (%)
Table 21 WEIGHT WATCHERS TOTAL REVENUES AND NET INCOME, 1997-2002 ($ MILLIONS)
Table 22 WEIGHT WATCHERS ATTENDANCE AT COMPANY OWNED OPERATIONS, 1999-2002 (MILLIONS*)
Table 23 JENNY CRAIG REVENUES AND NET INCOME, 1997-2001 ($ MILLIONS)
Table 24 TOTAL NUMBER OF JENNY CRAIG CENTERS, 1992-2001
Table 25 NUTRISYSTEM REVENUES, 1995-2001 ($ MILLIONS)
Table 26 NUTRISYSTEM NET INCOME, 1996-2001 ($ MILLIONS)
Table 27 eDIETS.COM REVENUE AND INCOME, 1999-2001 ($ MILLIONS)
- LOW CALORIE FOODS
  - FAT, BAD INGREDIENT #1
    - Summary of Opportunities and Difficulties
    - Fat Is Very Damaging
    - Rules for Handling Fat
  - THE LOW CALORIE FOOD MARKET
    - Low Calorie Food Sales Compared to Total Food Sales
Table 28 TOTAL U.S. RETAIL FOOD SALES, THROUGH 2007 ($ BILLIONS)
Figure 11 TOTAL U.S. RETAIL FOOD SALES, 1999-2007 ($ BILLIONS)
Table 29 U.S. RETAIL SALES OF LOW CALORIE FOOD, THROUGH 2007 ($ BILLIONS)
Figure 12 U.S. RETAIL SALES OF LOW CALORIE FOOD, 1999-2007 ($ BILLIONS)
Table 30 RETAIL LOW CALORIE FOOD SALES vs. FOOD SALES, 1999-2007 (%)
Table 31 CHANGES IN SELECT FOOD CONSUMPTION TRENDS PER CAPITA (% CHANGE: 1970 TO 1997)
Table 32 U.S. SALES OF FAT REPLACEMENT INGREDIENTS, THROUGH 2007 ($ BILLIONS)
Figure 13 U.S. SALES OF FAT REPLACEMENT INGREDIENTS, 1999-2007 ($ BILLIONS)
- LOW CALORIE BEVERAGES AND ARTIFICIAL SWEETENERS
  - THE BAD INGREDIENT #2: SUGAR
    - A Natural Product?
    - A Disturbing Product
    - Continuing Over Consumption
    - What Added Sugar Is About
Table 33 U.S. FOOD SOURCES OF ADDED SUGARS
Table 34 CLASSIFICATION OF PERSONS BASED ON AMOUNTS AND SOURCES OF ADDED SUGAR (2001) AND % OF TOTAL CALORIES FROM ADDED SUGARS
Table 35 FOODS WITH ADDED SUGAR AS A PERCENT OF USDA RECOMMENDED 10 TEASPOON DAILY INTAKE
Table 36 TOTAL U.S. SALES OF NONALCOHOLIC COLD BEVERAGES BY TYPE, THROUGH 2007 ($ BILLIONS)
Table 37 TOTAL RETAIL VOLUME OF CARBONATED BEVERAGES, THROUGH 2007 ($ BILLIONS)
Figure 14 TOTAL RETAIL VOLUME OF CARBONATED BEVERAGES, 1999-2007 ($ BILLIONS)
Table 38 TOTAL NONCARBONATED BEVERAGE RETAIL VOLUME, THROUGH 2007 ($ BILLIONS)
Figure 15 TOTAL NONCARBONATED BEVERAGE RETAIL VOLUME, 1999-2007 ($ BILLIONS)
Table 39 BREAKDOWN OF TOTAL LOW CALORIE BEVERAGE RETAIL VOLUME, THROUGH 2007 ($ BILLIONS)
Figure 16 BREAKDOWN OF TOTAL LOW CALORIE BEVERAGE RETAIL VOLUME, 1999-2007 ($ BILLIONS)
Table 40 LOW CALORIE CARBONATED BEVERAGE RETAIL VOLUME, THROUGH 2007 ($ BILLIONS)
Table 41 SALES AND MARKET SHARES OF MAJOR CARBONATED BEVERAGE COMPANIES, 2002 ($ BILLIONS)
Figure 17 MAJOR CARBONATED BEVERAGE COMPANY TOTAL MARKET SHARE, 2002 (%)
Table 42 RETAIL DOLLAR SALES AND BRAND SHARES FOR ALL CARBONATED BEVERAGES, 2002
Table 43 CATEGORIES AND BRANDS OF NONCARBONATED BEVERAGES
Table 44 U.S. SALES OF ARTIFICIAL SWEETENERS, THROUGH 2007 ($ MILLIONS)
Figure 18 U.S. SALES OF ARTIFICIAL SWEETENERS, 1999-2007 ($ MILLIONS)
Table 45 U.S. SALES OF ARTIFICIAL SWEETENERS BY SUBSEGMENTS, THROUGH 2007 ($ MILLIONS)
Figure 19 U.S. SALES OF ARTIFICIAL SWEETENERS BY SUBSEGMENTS, 1999-2007 ($ MILLIONS)
Table 46 U.S. SALES OF ARTIFICIAL SWEETENERS BY TYPE, THROUGH 2007 ($ MILLIONS)
Figure 20 U.S. SALES OF ARTIFICIAL SWEETENERS BY TYPE, 1999-2007 ($ MILLIONS)
Table 47 U.S. BEVERAGE LAUNCHES USING LOW CALORIE SWEETENERS (1999 THROUGH SEPTEMBER 2001)
Table 48 U.S. RETAIL SALES OF TABLETOP ARTIFICIAL SWEETENERS, THROUGH 2007 ($ MILLIONS)
Figure 21 U.S. RETAIL SALES OF TABLETOP ARTIFICIAL SWEETENERS, 1999-2007 ($ MILLIONS)

INTERNATIONAL OUTLOOK

OVERVIEW

Table 49 INTERNATIONAL MARKETS FOR WEIGHT LOSS PRODUCTS AND SERVICES FOR THE OBESE POPULATION, 2002
- DETAILED ANALYSIS
  - ECONOMIC DEVELOPMENT: A KEY DETERMINANT
Table 50 MARKET POTENTIAL BY ECONOMIC DEVELOPMENT AREA, 2000
Table 51 WORLDWIDE OBESITY AMONG ADULTS, 1995-2000 (MILLIONS)
Figure 22 WORLDWIDE OBESITY AMONG ADULTS, 1995-2000 (MILLIONS)
- STATUS OF SPECIFIC REGIONS AND COUNTRIES
Table 52 INCIDENCE OF OBESITY IN SELECT COUNTRIES, 1999 (% OF ADULTS)
Table 53 WEIGHT WATCHERS INTERNATIONAL REVENUE FROM MEETING FEES AND FRANCHISE COMMISSIONS, NORTH AMERICA VS. INTERNATIONAL, 1999-2002 ($ MILLIONS)
Figure 23 WEIGHT WATCHERS INTERNATIONAL REVENUE FROM MEETING FEES AND FRANCHISE COMMISSIONS, NORTH AMERICA VS. INTERNATIONAL ($ MILLIONS)
Table 54 HIGH-INTENSITY (ARTIFICIAL) SWEETENER CONSUMPTION FOR SELECT AREAS, 1999

TECHNOLOGY

THE PHARMACEUTICAL INDUSTRY IN GENERAL
- HIGH COST OF ENTRY
- MAPPING OF THE HUMAN GENOME
  - Quick Breakthroughs Not Likely
- MASSIVE R&D EXPENDITURES
  - Lengthy Time and High Costs of New Drugs
- LEADING PHARMACEUTICAL COMPANIES

Table 55 LEADING PHARMACEUTICAL MANUFACTURERS BASED ON SALES AND PRESCRIPTIONS, 1999
Table 56 2002 ANNUAL SALES OF THE LARGEST BIOTECH COMPANIES AND THE ENTIRE PHARMACEUTICAL INDUSTRY ($ BILLIONS)
- THE O/O AREA
  - IMBALANCE OF THE PHARMACEUTICAL SEGMENT
  - CURRENT O/O PRODUCTS IN FDA TESTING
Table 57 NUMBER OF FDA DRUG TESTS BY COMPANY THAT INVOLVE NEW O/O AND OTHER PRODUCTS, FIRST QUARTER, 2002
Figure 24 NUMBER OF FDA DRUG TESTS BY COMPANY THAT INVOLVE NEW O/O AND OTHER PRODUCTS, FIRST QUARTER, 2002
- BIOTECHNOLOGY DEVELOPMENT COMPANIES
Table 58 SELECT GENOME TECHNOLOGY COMPANIES SALES AND ALLIANCES,
- PROPOSED AND RECENT RESEARCH
  - A NEW AND DIFFERENT GENOME STUDY
  - C75
  - CORTICOTROPIN
  - PYY
  - PPARd
  - ZONISAMIDE AND CNTF
- SIGNIFICANCE OF PATENTS RELATED TO O/O
  - PATENTS BY COMPANY
Table 59 WEIGHT LOSS INDUSTRY PATENTS BY COMPANY, 1997-2002
Table 59 (CONTINUED)
Table 60 WEIGHT LOSS INDUSTRY PATENTS BY YEAR
Table 61 NUMBER OF PATENTS BY FUNCTION, 1997-2001
Table 62 NUMBER OF FOREIGN PATENTS BY COUNTRY
Table 63 NUMBER OF PATENTS ISSUED, 1997-2002
- R&D EXPENDITURES BY THE WEIGHT LOSS INDUSTRY
Table 64 ANNUAL R&D EXPENDITURES IN SELECT U.S. INDUSTRIES, 1997-2000 ($ MILLIONS)

CHANNELS OF DISTRIBUTION

HIGHLIGHTS

Table 65 RETAIL DISTRIBUTION CHANNELS FOR PRODUCT AND SERVICE SEGMENTS
- DETAILED REVIEW OF DISTRIBUTION CHANNELS
  - INTRODUCTION
    - Traditional vs. Nontraditional Channels
  - DISTRIBUTION CHANNEL REVIEW
    - General
    - Specific Retail Channels
Table 66 SALES OF THE FIVE LARGEST DRUG CHAINS, 2001 ($ BILLIONS)
Table 67 TOP MASS MERCHANDISERS, SALES AND NUMBER OF STORES, 2001 ($ BILLIONS)
Table 68 ANNUAL SALES OF LEADING MULTILEVEL COMPANIES, 2002 ($ BILLIONS)
Table 69 MULTILEVEL MARKETING REPRESENTATIVES AND THE PRIMARY PRODUCT CATEGORY THEY HANDLED, 1999
- DISTRIBUTION CHANNELS FOR EACH PRODUCT/SERVICE SEGMENT
  - SUPPLEMENTS
Table 70 WEIGHT LOSS SUPPLEMENT SALES BY DISTRIBUTION CHANNEL, 2002 ($ MILLIONS)
Table 70 (CONTINUED)
Table 71 PHARMACEUTICAL DISTRIBUTION METHODS, 2001
Figure 25 PHARMACEUTICAL DISTRIBUTION METHODS, 2001 (%)
Table 72 DISTRIBUTION CHANNELS FOR U.S. RETAIL SALES OF LOW CALORIE FOOD, 2002 ($ BILLIONS)

GOVERNMENT ACTIVITIES AND REGULATIONS

OVERVIEW
POLICY ISSUES
- CONFLICTS OVER A NATIONAL FOOD POLICY
- O/O HAS NOT RECEIVED ATTENTION AT THE TOP
- MOMENTARY EXCITEMENT ABOUT PROPOSED LEGISLATION
  - Proposed Legislation
FEDERAL GOVERNMENT AGENCIES
- U.S. FOOD AND DRUG ADMINISTRATION (FDA)
  - General
  - O/O Products
  - Recent and Current FDA Controversies
- FEDERAL TRADE COMMISSION (FTC)
  - General
  - Weight Loss Industry Advertising

Table 73 FREQUENTLY USED MISLEADING CLAIMS FOUND IN WEIGHT LOSS ADVERTISING, 2002
- STATE AND LOCAL GOVERNMENTS
  - STATE ATTORNEYS AND FRAUDULENT WEIGHT LOSS SERVICES
  - MANDATORY INFORMATION DISCLOSURE
  - FALSE ADVERTISING AND FRAUD
  - CONSUMER EDUCATION AND SKEPTICISM
  - OTHER COALITIONS
- GOVERNMENT SPONSORED RESEARCH

FUTURE RESEARCH AREAS

OVERVIEW
- A LACK OF KNOWLEDGE IS NOT DUE TO A LACK OF EFFORT
- WHAT IS SUCCESSFUL WEIGHT LOSS?
DETAILED ANALYSIS
- WHAT IS NOT KNOWN
- THE UNKNOWNS
  - Category A: Physical Science
  - Category B: Motivation
  - Category C: Science and Motivation
  - Category D: Organization

OPPORTUNITIES FOR FUTURE COMMERCIAL SUCCESS

INTRODUCTION
- WHERE WE ARE
  - Obesity is Now a Disease
  - Losing Weight is not Simple
  - A Worldwide Problem
  - The Entire Family is Likely to Be Obese
- WHERE WE MIGHT BE GOING
  - Pill Supplements
  - Pharmaceutical
  - Weight Loss Centers
  - Food and Beverages
  - Restaurants
  - Food Retailers
  - Exercise
  - Children and the Teenage Market
  - The Family
  - Help Boomers Get and Stay Fit
  - Public Relations Input
  - International Opportunities
  - Psychological Elements

APPENDIX

REFERENCES
- REFERENCES (CONTINUED)
- REFERENCES (CONTINUED)
CONTACTS
- CONTACTS (CONTINUED)

Weight Loss Markets: Products, Services, Foods and Beverages

TABLE OF CONTENTS

INTRODUCTION

SUMMARY

OVERVIEW

PRODUCT AND SERVICE SEGMENTS: MARKET SIZE, MARKET SHARE AND COMPANY PROFILES

INTERNATIONAL OUTLOOK

TECHNOLOGY

CHANNELS OF DISTRIBUTION

GOVERNMENT ACTIVITIES AND REGULATIONS

FUTURE RESEARCH AREAS

APPENDIX