Weight Watchers puts full weight behind star-studded Oprah-palooza
Might as well call it Diet-Chella... Weight Watchers isn't counting calories when it comes to investing in big names to rep its brand. Shares rose on word WW (the ‘90s health throwback rebranded from "Weight Watchers") extended its partnership with Oprah through 2025. Check out the resumés of WW stock and Oprah:
- Oprah: In 2015 the TV legend became a board member, advisor, and the 2nd largest shareholder, owning 8% of the company.
- Weight Watchers stock: Shares had fallen 90% in the 4 years prior to signing Oprah, but are up 500% in the 4 years after Oprah. We call this year "4 AO."
How do you beat bread-hating Keto diets?... Schedule a nationwide 9-city tour from January to March packed with Oprah. It's called "Oprah's 2020 Vision: Your Life in Focus," and it's WW's most strategic Oprah move — she interviews celebs like Lady Gaga, The Rock, Michelle Obama, and Tina Fey about their health journeys. Paleo can’t fill an arena like Oprah can.
Oprah has way more pull than Chipotle's "Lifestyle Bowls"... WW hopes celeb endorsements will power it through the most critical quarter of the year: New Year’s Resolution Q1. And it’s looking good so far — Tickets for Oprah Vision Tour 2020 are over 80% sold out, and investment bank UBS predicts it'll drive 8% WW subscriber growth. Big names bring big bucks.