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Weight Loss Services in the US Industry Market Research Report From IBISWorld Has Been Updated
Date:7/22/2013

Los Angeles, California (PRWEB) July 22, 2013

In 2013, Americans are expected to spend about $2.4 billion on weight loss services. As the percentage of Americans who are overweight or obese continues to rise, the demand for Weight Loss Services industry products strengthens. Currently, 69.2% of Americans are either overweight or obese, according to the latest data from the Centers for Disease Control and Prevention. Although the industry experienced high growth for the first part of the decade, with a greater variety of substitute services available, demand began to slow toward the end of the decade. “Furthermore, lower disposable income decreased consumers' propensity to spend on discretionary weight-loss products and services during the recession and slow recovery period,” according to IBISWorld industry analyst Caitlin Moldvay. Over the five years to 2013, industry revenue declined at an average annual rate of 3.7%. However, from 2011 to 2013, demand has begun to improve along with gains in per capita disposable income. In 2013, industry revenue is estimated to increase 3.1%.

The Weight Loss Services industry is highly competitive with 29,117 companies currently in operation. “During the recession, with adverse demand conditions, smaller companies were forced to exit the industry or were acquired by competitors,” says Moldvay. However, a greater amount of nonemployers, or companies that have no paid staff, during the recovery period led to overall gains in the number of companies over the five-year period. In addition to industry competition, players faced greater competition from do-it-yourself dieting methods, which were increasingly attractive to money-strapped consumers
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