Medifast, Inc. MED, which has been benefiting from strength in its OPTAVIA lifestyle solution and coaching support system, announced the launch of the OPTAVIA app. This digital tool is likely to enhance Clients’ experience with Lean & Green recipes, along with access to past order record; auto-ship details and account information among other things.
Medifast has been making investments toward digital infrastructure for a while now, to better support Coaches as well as Clients. The OPTAVIA app, rolled out in late July, has been downloaded roughly 150,000 times, and marks the company’s first innovation that stemmed from its strategy of concentrating on digital products and technology.
The app is solely available for OPTAVIA Community members, and will keep getting enhanced as per users’ feedback. The OPTAVIA app is a one-stop-shop catering to all Client needs, and is aimed at offering Clients the required tools to conveniently adapt healthy habits. Apart from this, management stated that it has a new Coach app, OPTAVIA Connect, under development. Anticipated to be available to all Coaches by 2021 end, OPTAVIA Connect will be aimed at building efficiencies, which enhance Coach productivity, alongside enriching the Coach and Client experience.
Clearly, consumers’ rising inclination toward health and wellness options has been working well for Medifast’s OPTAVIA.
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OPTAVIA – A Key Driver
OPTAVIA follows a holistic approach by focusing on six key areas of a human being, namely weight, eating and hydration, motion, sleep, mind and surroundings. OPTAVIA combines scientifically-proven programs, effective products as well as guidance from its coaches to help consumers lead a healthier lifestyle. The OPTAVIA product line is sold through its community of independent coaches who offer support and guidance to their clients. In partnership with OPTAVIA coaches, franchise partners, resellers and its Scientific Advisory Board, Medifast offers comprehensive wellness products and programs that focus on creating.
In the second quarter of 2021, OPTAVIA-branded products contributed 94.1% of consumable units sold, up from the preceding quarter’s 88.9% and the year-ago quarter’s 83%. Total active earning OPTAVIA Coaches jumped 62.2% to 59,200. The average revenue per active earning OPTAVIA coach increased 13.9% to $6,662, up from the year-ago quarter’s $5,851.
In fact, Medifast’s overall second-quarter performance can be attributed to exceptional growth at its independent OPTAVIA Coaches, which reached new highs, as well as efforts to improve the productivity of these Coaches. The company is using new technology, such as its app-based platforms, along with social media channels and field-led training platforms to boost the productivity of the OPTAVIA Coaches. Consumers’ increased inclination toward health, together with a solid OPTAVIA coach-based model, has been helping Medifast draw new clients. The company remains committed to making further investments for improving its infrastructure in order to aid growth.
Shares of the Zacks Rank #1 (Strong Buy) company have rallied 47.9% in a year, easily outperforming the industry’s rise of 9.9%. You can see the complete list of today’s Zacks #1 Rank stocks here.
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