Industry Analysis & Industry Trends
According to IBISWorld estimates, 64.6% of Australia's adult population is either overweight or obese. Obesity is now the leading cause of premature death and illness in Australia. Therefore, for both health and cosmetic reasons, there is growing pressure on Australians to take control of their weight. As a result, a significant amount of consumer spending is being directed towards weight loss and health. During 2015-16, Australians are expected to spend $613.6 million on weight-loss counselling services and related low-calorie foods and dietary supplements. This is up 1.2% from the previous year. Over the five years through 2015-16, industry revenue is expected to grow by an annualised 1.1%... purchase to read more
Industry Report - Industry Investment Chapter
The Weight Loss Services industry is characterised by a low level of capital intensity, although the degree of capital intensity differs between businesses. For every dollar that the industry invests in capital, operators spend $9.74 on wages. The provision of weight-loss services is highly labour-oriented, as many providers offer personal interaction and tailored services. Companies providing this model maintain a significant share of the market, benefiting by keeping members accountable and helping them remain on track.
Companies that provide diet food and supplements tend to have a higher level of capital intensity due to the need for some manufacturing and distribution equipment... purchase to read more