WW repositions itself for a digital market

Article Excerpt

Weight Watchers rebranded itself as WW in the fall of 2018, when it expanded its weight-loss services to include “Wellness that works” programs. The move reflects the company’s goal of promoting healthy living, in general, rather than just weight loss. More important, it also focused on expanding its digital offerings. That’s been key during the pandemic, as almost all of its expanding subscriber base is in the Digital division; its growth has more than offset the declining Studio (in-person meetings) business. WW INTERNATIONAL $29.40 (Nasdaq symbol WW; TSINetwork Rating: Extra Risk) (www.ww.com; Shares outstanding: 69.3 million; Market cap: $2.0 billion; No dividends paid) had a record 4.4 million active subscribers as of January 2, 2021. That’s up 4.4% from 4.2 million at the start of last year. Of those, 3.7 million are digital subscriptions. The growth should lead to improved sales and profits. What’s more, WW’s new Digital 360 app, an enhanced program providing coaching sessions, a social network, and premium content, is proving very popular. We…