Goodbye to dieting: after 60 years, this weight loss giant is shutting down

WeightWatchers seeks bankruptcy with surge in weight-loss pills

Modified on:
May 7, 2025 3:51 pm

WeightWatchers, the veteran weight-control chain established more than 60 years ago and now trading as WW International, sought Chapter 11 bankruptcy protection on May 6, 2025. The action will write off about $1.15 billion of debt and set up the company for long-term growth in a rapidly changing weight-loss industry dominated by new drug treatments. In spite of the bankruptcy notice, WW International guarantees members that none of its services such as workshops, access to the app, and telehealth services will be affected.

The fall of a legendary brand

WeightWatchers, a behemoth of diet culture, has been unable to keep pace with the changes in consumer behavior and the runaway popularity of weight-loss medications such as semaglutide (Wegovy) and tirzepatide (Zepbound). The revenues of the company have kept declining from a peak in 2018 when its shares were trading at $100 per share to below $1 per share in early 2025, with first-quarter 2025 revenue declining by about 10% year-over-year to $186.6 million. Withdrawal of celebrity investors such as Oprah Winfrey and liquidity issues also added to the pressure on the company’s finances.

Strategic shift: Adopting telehealth and weight-loss drugs

In response to the disruption created by prescription weight-loss medications, WeightWatchers has evolved from a classic diet program to a health tech firm offering holistic and evidence-based solutions. In 2023, it acquired Sequence, a telemedicine platform under which members would be able to get prescriptions for GLP-1 receptor agonists like semaglutide and tirzepatide. It resulted in the introduction of WeightWatchers Clinic, which holds telemedicine sessions and monthly doctor visits by obesity medicine specialists.

Relative to its initial behavior-based model-focusing on diet, exercise, and support-the new model incorporates clinical solutions, a more significant change in weight management philosophy. CEO Tara Comonte highlighted the firm’s return to “trusted, science-backed, and holistic solutions” as long-term health discussions increasingly shift.

Difficulties and risks of the new model

While the weight-loss medication prescriptions and telehealth clinic have fueled a 57% year-over-year increase in clinical subscription revenue, the increases have not been enough to offset losses in conventional services. WeightWatchers is charging an extra $99 monthly for access to the clinic in addition to standard membership costs. The firm also recently started selling lower-cost, compounded forms of GLP-1 drugs to offer supply gap and insurance coverage gap fill, a business that can be cash-generative but perhaps dilutes its brand as a trusted source.

Also, the company is competing against established telehealth companies and online pharmacies that are already dispensing these medications. Use of weight-loss drugs also presents new challenges for members, such as management of side effects and proper nutrition, which WeightWatchers aims to address through special programming and medical support.

What this means for members and the industry

WeightWatchers presently counts over 3 million members across the globe and makes no assurance of discontinuation of plans during its bankruptcy procedure. It anticipates completing restructuring in about 45 days and staying publicly held. For members, it will continue to have access to new and previous telehealth services, but with a greater focus on weight loss through medication.

The filing for bankruptcy is a sign of a larger industry disruption where established diet companies need to reinvent themselves or become obsolete as successful drugs gain ground. WeightWatchers’ shift towards a different direction highlights the importance of flexibility and inclusion of clinical solutions in managing weight in the future.

WeightWatchers’ filing for bankruptcy shows the significant role weight-loss drugs play in disrupting established diet companies. Although the company is devoted to following the science and developing community-supported, whole-life solutions, it has enormous issues to overcome in aligning its heritage brand identities with those of a new telehealth-based marketplace. As the weight management setting continues to evolve, WeightWatchers’ story is a warning about the necessity for change and innovation in the shadow of disruption health care innovations.

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Jack Nimi
Jack Nimihttps://polifinus.com/author/jack-n/
Nimi Jack is a graduate on Business Administration and Mass Communication studies. His academic background has equipped him with a robust understanding of both business principles and effective communication strategies, which he has effectively utilized in his professional career. He is also an author with two short stories published under Afroconomy Books.

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