WW International, Inc. (NASDAQ:WW) Q4 2022 Earnings Call Transcript

Jason English: And I loved all the stats you dropped on the brand health engagement, et cetera. But frankly, I would be very disappointed if you weren’t seeing material improvement for survivor bias alone. Presumably, it’s the more loyal, more engaged, how satisfy customers who are not leaving your franchise. So have you been able to go through and tease out that noise from the survivor bias? And if so, what is it telling you?

Heather Stark: So actually, activation rate, Jason, is a measure of a new member in the first 30 days. So, I don’t think that there is survivor bias in that. And we’ve noted that is up 5% year-over-year.

Jason English: Yes. But you gave — at least three other metrics that were related to surveys of existing members.

Heather Stark: That’s true. And we split those cohorts by tenure, and it’s all very similar. So yes, that is a very reasonable thing to think about and consider and certainly, we look at that. But no, the NPS being up and the brand affinity being up is true across all of our cohorts. In fact, in some cases, in the newer members, we’re seeing them to be actually higher because they are coming into our new simplified program and having a really great experience where for some existing members sometimes these changes can be hard.

Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Sima Sistani for any closing remarks.

Sima Sistani: We are extremely excited about the future of Weight Watchers and our ability to positively impact so many millions of people to achieve their weight loss goals in a healthy, sustainable and scientifically recommended way. Our move into the clinical space will allow us to help even more people with a holistic program no one else can deliver. At the same time, we are going to make very significant improvements across coaching, community and accountability to take our already excellent offerings to an even higher level. We are already seeing improvements in engagement from these efforts, but even bigger improvements are coming. 2023 will be a year of dramatic improvement in our ability to help members achieve their goals. Thank you for joining us today, looking forward to speaking with many of you, including at the Morgan Stanley Technology Conference on Wednesday. We’ll look forward to keeping you updated on initiatives we have underway. Thank you.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.