The $38 billion U.S. commercial weight loss market is 15% larger than in 2020, but has had to pivot to adjust to huge competition from the popular GLP-1 drugs. The large commercial chains have been hurt the most since 2022. The business has gone virtual, and some competitors have added the GLP-1 drugs to their programs to position themselves for a new future.
However, some commercial markets have held up well. Diet soft drinks have shown surprising strength, and high-protein meal replacements have been positioned as an adjunct to the weight loss drugs. The weight loss apps market is growing strongly. The ranks of commercial weight loss centers have been thinned, and franchising is all but dead as a growth model.
Top Things to Know About the U.S. Commercial Weight Loss Market
Market sizing and areas of decline: Marketdata estimates that the U.S. commercial (non-medical) weight loss market, for programs, products, and services, was worth $38.4 billion in 2024, down slightly from $38.8 billion in 2022. Commercial services represent 53% of the $72.2 billion total market now, down from 82% in 2020, prior to the GLP-1s boom.
The dramatic impact of GLP-1 drugs: The commercial weight loss programs market segment contracted by 29.2% in 2023, to $3.24 billion, and another 23.7% to $2.47 billion in 2024, due to competition from GLP-1s drugs. This amounts to a 56% decline in just two years.
Revenue loss due to GLP-1s: Commercial weight loss companies have lost $2 billion in revenues since 2022 due to the competition from GLP-1 drugs. Jenny Craig went bankrupt, Profile Plan closed, and NutriSystem’s private equity parent Wellful is having debt issues.
Average weight loss center receipts: The “average” weight loss center had annual receipts of $646,250 in 2022. But, sales have fallen since then, to $484,000 per center in 2024.
Growth opportunities: There may be an opportunity for commercial weight loss firms to post some growth in the second half of 2025. The GLP-1s shortage is over, and the compounding pharmacies have to stop making these meds as of May 22. Consumers will then have to pay full price for the brand-name meds. Many will opt for less costly (non-medical) diet programs.
Shift to virtual models: The business has gone virtual. Operating a retail, brick & mortar weight loss center or franchise has become too difficult in this era, with rising real estate and staff costs. Many businesses have pivoted to a virtual delivery model, which can be scaled larger and quicker, and is more profitable.
Resilient segments: Some weight loss market segments have held up well: meal replacements, diet soft drinks, and weight loss apps (a growing $990 million market).
Where to Learn More
For more in-depth information, be sure to check out the new report The U.S. Weight Loss & Diet Control Market: Commercial (Non-Medical) Programs & Products by Marketdata, which provides a comprehensive look at this rapidly changing market, including:
Dollar value & growth rates of all major commercial weight loss segments
Latest market trends and company developments
Status reports for diet soft drinks, artificial sweeteners, commercial weight loss centers, multi-level marketing diet plans, retail and MLM meal replacement and weight loss supplements, and low-cal frozen entrees
Analysis of the medical weight loss programs market
Competition from MDs, hospitals, medical clinic chains, and telehealth
Extensive national/state commercial centers’ operating ratios
Rankings & revenues for top commercial chains and competitor profiles
About the Author: John LaRosa is the President of Marketdata LLC and is the author of 100+ industry and market studies. His research appears in top media outlets including ABC, CNN, Fox, Forbes, USA Today, The Wall Street Journal, The New York Times, and a variety of trade journals.
