Nutrisystem, Inc. provides weight management products and services, including nutritionally balanced weight loss programs, multi-day kits available at retail locations and digital tools to support weight loss. Products and Services The company provides a weight management program, consisting primarily of a pre-packaged food program, digital tools and counseling. Typically, its customers purchase monthly food packages of frozen and ready-to-go food containing 28 days of breakfasts, lunches, dinners, snacks and desserts, which they supplement with fresh fruits, vegetables, and dairy. Majority customers order through the company’s Auto-Delivery feature. Trained counselors are available to answer questions and make recommendations to help each customer achieve and maintain his or her weight loss goal. Customers support and encourage each other and share information online and through Nutrisystem social media channels. These services are complemented with relevant information on diet, nutrition and physical activity, including a personalized ‘My Daily 3’ physical activity program and expert guides with tips to help customers succeed on the program. Additionally, NuMi, the company’s digital product that integrates with wearable fitness devices and health platforms, is offered to its customers free of charge. The company’s Nutrisystem program consists of approximately 150 portion-controlled items that serve as the foundation of a low Glycemic Index diet. The company’s program is portioned for weight loss and offers a balance of carbohydrate, protein and fat that meets national dietary guidelines. Including grocery additions to supplement its meals, the company’s plans contain 1800-2200 milligrams of sodium per day, consistent with national guidelines, and tailored versions of the plans are available that deliver approximately 1500 mg/day. The company offers a customizable program, along with its Fast 5+ kit, a one-week starter kit that could help customers lose 5 pounds plus 1 inch off of their waist in their first week of dieting. Fast 5+ includes seven days of breakfasts, lunches, and dinners, plus all-new shakes with formulations for men and women to meet their nutritional needs. Additionally, the company’s 5-day Weight Loss Kits are available at select retailers and represent a departure from its traditional 28-day program. The company offers a core 5-day kit, a ‘D’ kit targeted to individuals with or at risk of Type 2 diabetes, as well as SmartCarb and PowerFuel products, including blueberry muffins, cinnamon buns, vanilla shakes, chocolate shakes and chocolate chip cookie packs, designed to complement the ‘D’ kit. The company is seeing repeat business, as well as multiple kit purchases, indicating that customers are seeing results or enlisting other family members to diet with them. Also, the company continues to offer its program at Costco through the use of prepaid program cards and gift cards. The company is developing its retail product pipeline and expects to have additional products/kits to launch in retail. The Nutrisystem D Program is a weight loss program primarily designed to produce gradual weight loss in overweight persons with, or at risk for, Type 2 diabetes. It provides nutrition consistent with the guidelines of the American Diabetes Association. By offering various frozen and ready-to-go foods, the company helps its customers sustain their weight loss efforts. On its Website, customers could order food 24 hours a day, seven days a week. Customers The company offers weight loss programs designed for women, men, seniors, and people with Type 2 diabetes who want to lose weight. The company’s typical customer is female, approximately 52 years of age. On average, the company’s customers want to lose approximately 44 pounds through a period of time. Seasonality Typically in the weight loss industry, revenue is greatest in the first calendar quarter (year ended December 2014) and lowest in the fourth quarter. The company’s business experiences seasonality, driven primarily by the predisposition of dieters to initiate a diet at certain times of the year and the placement of its advertising, which is based on the price and availability of certain media at such times. Competition The company’s identified peers and competitors include, but are not limited to, Atkins Nutritionals, Inc.; eDiets.com; Jenny Craig; Medifast, Inc.; and Weight Watchers International, Inc. History Nutrisystem, Inc. was founded in 1972.
nutrisystem inc (NSJ:Frankfurt)
Fort Washington Executive Center
600 Office Center Drive
Fort Washington, PA 19034
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