Weight Watchers, an iconic brand that has been around for 62 years and had reached a peak of $1.5 billion in sales in 2018, recently filed for bankruptcy due to escalating debt, citing competitive pressure as the reason for its failure.
Oh…where do I begin?
If I had more time on my hands, I could dig back into my archives to find an article I wrote predicting their demise back in 2018, when Weight Watchers underwent a major rebranding, changing the company name to “WW” and shifting their message from dieting and weight loss to “wellness.” They also took a major departure from the company’s core methodology of losing weight by counting calories to using telemedicine and weight-loss drugs. I distinctly remember my prediction that this was a BAD move.
Do I contradict myself? Perhaps…
I have also taught for years that if you are in exactly the same business you were in 3, 5 or 10 years ago as you are right now, you’re in DECLINE and likely to become extinct. This is particularly true for MSPs, but it’s also true for all businesses. Competition forces innovation and a “blue ocean” approach to value creation.
However, change for the sake of change, especially for the purpose of chasing a popular fad, attracting (more) low-value customers or because the new marketing team (who does NOT understand the customer) feels the brand is dated, old or in need of modernization, is every bit as dangerous as standing still, doing nothing. Think Bud Light. The siren song of the popular trend can be a very slippery slope down, distracting you from the CORE reasons your most loyal customers buy and see value (and how you make money).
It’s my assessment that a lot of ideas we think most people support are overly hyped B.S., fueled by news organizations and clickbait advertisers who make it appear as though certain beliefs, concepts and ideas are taking hold, when they’re really nothing more than propaganda pushed by a fringe minority, given fuel as many watch, click or engage because they can’t look away (like spectators at a car wreck), not because they are in support of it.
In business, you must fully understand that you are not going to win and profit by attempting to appease everyone. You have to have a solid grasp of who your ideal, “sweet spot” customer is and NEVER, EVER WAIVER from giving them what they want, despite the masses standing beside and among them, clamoring for something different, cheaper, less than or opposite of what you believe, at your core, is the right solution to the problem you are solving.
Every day I’m tempted by shiny new opportunities to make money, and I must be very intentional about reminding myself what business I’m really in, and not to flail about chasing every possible dollar, particularly if that dollar is short-lived.
My customers have HONEST ambition. They read books and attend seminars. They INVEST in coaching and mentors because they’re serious about success. If I start changing what I do to appeal to the majority of MSPs who’s primary motivation is merely to be self employed so they don’t have to answer to a boss, I’d be making a HUGE mistake. Yes, there are far more of them than the ones who are genuinely driven and will put in the time, money and effort to grow, but my brand and my company needs to appeal to one or the other. You cannot serve two masters. I choose the minority who are the ambitious ones.
Before they lost their way, Weight Watchers used to stand for something too. It was the most reliable program for shedding pounds, period. Jean Nidetch, the founder, described herself as an“overweight housewife obsessed with cookies.” She understood her customers because SHE was one of them. She knew that weight loss needed a system, a program that could be followed, to make it easy for the average person to use. She knew that program also needed emotional support and accountability to work, not just the program. And she was spot-on.
That’s why you need to be very careful about departing from your core customers and the thing you’re KNOWN for that actually delivers what your BEST customers want, not the cheap skates and looky-loos. A trusted brand is steady and never changes when it comes to its core principles. Tactics may change, but values don’t.
Some questions to ponder: What does YOUR brand stand for? Who are YOUR core customers? And what does your company DELIVER that your BEST customers pay and stay for? Then consider what you are doing today that might be causing you to drift from that brand promise. Proceed with caution…
If you’ve stayed true to your core and built a business that delivers real results, it’s time to be recognized. The MSPs who lead with clarity and purpose deserve the spotlight. Apply now for the 2025 MSP Titans of the Industry Awards.
