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And I would assume you're having even better success with those that have left recently? Incorporated in under its predecessor Shape Up, Inc. Three, enhance our attribution techniques. So we didn't go out with a claim or anything, but we'll incorporate into our clinicals, I'm sure, in the future. We've been asked a lot about of our digital efforts recently, in part because of some of the recognition we've received from Google and others. Whom do I contact regarding stock certificates bearing restrictive legends? The midpoint of the implied guidance shows growth.
Kathleen Simone Overview
To top it all, the dietary food that you prepare at home lacks taste, yet you strive to have it in the aim of achieving effective weight loss. However, in reality, you can lose weight even by consuming tasty food, that too without going through all the preparation processes which are delivered at your doorstep from Nutrisystem.
However, later it completely moved its business strategy to online only. The company has earned so much of popularity and it is the market leader in weight loss programs. Nutrisystem has been helping millions of people in achieving their weight loss goals. In addition, it also helps those who want to keep control of their weight and health.
The portion-controlled diet program is very simple and easy to follow. Nutrisystem program has several plans as listed below. All plans comes with Turbo 13 kit which is the latest addition for Nutrisystem plans for women has three sub plans namely Basic, Core and Uniquely Yours.
In basic plan, foods are preselected for you. In Core plan, you can choose your own food and you also have free access to dietitians and counselors. As for South Beach, we saw continued strong growth in the second quarter and remain very excited about this brand. South Beach is targeted to a different demographic than Nutrisystem, and we have seen that the digital channels are helping us reach the customer target. Consequently, we are aggressively pursuing additional digital opportunities.
Plans to increase our [PC] are on track. Having introduced good, better, best plan options, we've continued to move customers to the premium option. We're increasing a la carte sales and just introduced the South Beach by the Pack. Finally, former South Beach customers are rejoining more than planned. As we employ tactics to improve , we are simultaneously laying the groundwork for Everything we are doing is about expanding reach to introduce ourselves to new people and motivate them to choose us while ensuring strong returns on our marketing spend.
We are focused on 4 key marketing initiatives to drive profitable growth: Nutrisystem is one of the strongest brands in weight-management and wellness. We've partnered with an external agency that has a long and successful history of working with top CPG brands to develop compelling brand stories, communicated via visual cues and simple messages to substantially grow customers, revenues and profits. Two, continue to develop integrated, multichannel creative campaigns that present a consistent brand story for Nutrisystem South Beach, yet are modified to appeal to discrete customer groups in different media formats, both digital and TV.
We've proven via Nutrisystem for Men and its creative that this can help us extend reach. We intend to develop creative for women and men, young parents and empty nesters and core prospects and new targets. Three, enhance our attribution techniques. We have a good track record of identifying how our target customers consume content and then profitably spending to introduce ourselves.
We intend to continue to move into new sources, digital and off-line, to introduce our brands to completely new people. As we move forward, it's likely that these new sources will be at the very top of the sales funnel, and we've long recognized that each person's journey between introduction and purchase is unique with multiple touch points along the way.
Today, we use a variety of data inputs, media agency attribution models and Google to formulate attribution assumptions to drive spend decisions.
As we expand further into new channels, in order to ensure that we are investing appropriately to yield new customers at an acceptable cost, we are onboarding an external commercial effectiveness firm to enhance our analysis. We are particularly interested in the ability to link off-line and online behaviors and to ascribe value to social influencers and earned media activities.
We're also one of the beta testers for enhanced Google , which aims to address the challenge to attribution posed by multi-device usage.
The new model should be implemented during the back half of , and we expect to be tweaking media mix during this period as we adjust and confirm the models to drive media decisions. Four, expand digital aggressively while preserving our discipline around expected returns on our marketing spend.
We have multiple efforts underway to achieve this goal. A, based on success in Q2 discussed earlier, we'll expand Facebook, programmatic, pre-roll video and third-party lead generation for both Nutrisystem and South Beach.
B, our optimization team is constantly focused on improving conversion, with the focus on the mobile experience. Because of their consistent wins in the past, conversion rates on mobile have risen over time. So if -- even as mobile traffic has increased, our conversion rates overall are stable. We'll expect the wins to continue. C, we will continue to enhance our apps. As a reminder, NuMi and the South Beach app exist to support customers on program, downloads, uses, sessions and revenue are all up in , and key engagement stats exceed app averages.
As we prepare for , we are building in-app e-commerce functionality, integrating the apps more seamlessly and adding features that enable communal content and additional sharing. D, because South Beach is as much lifestyle as weight-loss program and because it appeals to a demographic that is receptive to social influencers, we believe it is particularly appropriate for a broader, bigger social influencer initiative.
Our relationship with Jessie James Decker and our other work with social influencers have demonstrated the promise. So look for us to have a substantial push in this channel with South Beach in We'll also continue to work with our own customers, those who are living the Nutrisystem or South Beach healthy lifestyle and have lost weight as they share their stories and advocate for our brands on social. And we'll be evolving to introduce a new micro influencer program for each brand on Instagram.
This year is one of tremendous innovation on the product, brand, creative and digital fronts. We believe the Nutrisystem and South Beach programs are uniquely effective at helping people learn to live healthy and lose weight. And we aim to profitability introduce ourselves to as many people as possible, through as many ways as we can, and we look forward to Now I'll turn the call back to Dawn.
I'm pleased with the progress we have made since February on Nutrisystem and the growth on South Beach. Looking to the remainder of , we expect modest growth throughout the third and fourth quarters and believe our efforts to date, coupled with second half investments in our innovation pipeline, brand and digital media expansion, will pave the way for meaningful growth in and beyond.
Our recent announcements around the DNA Body Blueprint and our branded vitamin pack lines demonstrate our focus on science-backed nutrition, to drive not only weight loss but overall health and wellness. In June, we were honored to be announced as the Greater Philadelphia EY Entrepreneur of the Year winner in consumer and retail products and are looking forward to attending the National Finals in November. We believe our future is bright. We'll continue to leverage our expertise in analytics and measurement to guide our decision-making around media investments and product innovation.
We have 2 powerhouse names with brand permission to do more at various touch points of the consumers' journey to optimal health. We believe our brand and product work, in concert with efficiently expanding on the digital front, will allow us to reach customers that have not historically had us in their consideration set. And we also believe that we will continue to grow lifetime value as we extend our relationships with existing customers. Our mission is to help people achieve their optimal weight and advance on their journey to optimal health.
It is the heart of what we do, and it is the sense of pride across our entire organization. We've helped millions on this quest and look forward to helping millions more. Now we'll open up the lines for questions. Congratulations on a nice recovery here and on the positive revenue guidance for the third quarter. Certainly, it seems like you guys have turned the corner. Wanted to ask about -- as we think about the guidance for Q3 and the rest of the year, certainly seems like the revenue guidance here was better than expected, getting back to positive growth.
And then you alluded to -- on the -- in the prepared remarks, a whole bunch of different sort of growth initiatives that you have for the back half of this year that don't sound like they're really going to drive any sort of revenue or profits in a big way until next year and beyond. But it sounds like there's a couple of things between marketing for the DNA Body Blueprint, I don't know if there's going to be any marketing for supplements that your testing as well and just thinking about things like the development of a platform for user-generated content and some of the extra production days that you're going to be doing in Q3 and Q4?
Can you kind of give us a sense of each of those buckets? Kind of how that will impact -- presumably negatively, how that will impact the results of this year? And what the opportunity could be for those things in and beyond? I'll start off, and then Mike can jump in. We're pleased that Q2 came in slightly better than we anticipated.
And remember, our prior guidance, we'd already built-in return to growth in the back half of the year. So as you've heard, we've been doing a ton of work around product innovation, brand messaging, digital expansion, attribution, and we're excited about where we're heading. And we're maintaining our guidance to allow for some level of variations as a result of the investment spend. So if you think about it, some of these things as we redeploy media, as we test different areas of media, as we test different creatives, we need to see.
Some things will work, something would -- may not. So as we think about building an app, as we get ready for , we've decided to keep the guidance flat, which made sense to us.
The only thing I would add is, when you look at the expense, we factored in a larger portion of the expense in Q3. So as you look at the EPS cadence in the third and fourth quarters, that's why you'll see the third be a little bit lower than what's implied in Q4. And then I was going to ask about the fourth quarter because it does look like -- just subtracting out the third quarter out of the full year guidance, it does look like you're looking for some type of margin inflection in the fourth quarter.
I was wondering -- I mean, that certainly makes sense if you're weighting most of these new marketing initiatives into the third quarter. Anything else we should be thinking of that kind of creates that dynamic in the fourth quarter? The primary driver is -- are the investments that we just talked about. However, in the fourth quarter, it's also benefiting from some reactivation revenues that we expect, albeit small, to come through the South Beach Diet.
And you get -- in the fourth quarter, you get a slightly higher percentage of reactivation revenues on less media spend because it's a lower seasonal spend for us in the fourth quarter. So you're getting that dynamic as well. Our next question comes from the line of Linda Bolton-Weiser from D. Linda Ann Bolton-Weiser, D. So I'm just trying to dissect kind of the comments that you made about your new creative or your tweaked creative that started airing, I guess, in June.
You said that you found that the new creative drove online searches but, otherwise, was equal to previous advertising on other metrics. So can you explain that a little bit more? So what are the other metrics that you might have hoped to see improving but you didn't?
And so I guess net-net, are we to come away thinking that the tweaked advertising is a little bit better but not a ton better? Can you just give a little more color on that, please? Sure, Linda, this is Keira. Yes, so they -- those ads were better driving online interests and a little less or about the same as driving phone calls. Obviously, the trend in the world is towards online rather than phone calls.
And we think that we have ways of increasing the other metrics, like phone calls, over time. And a lot of the work that we're doing now with the brand and the creative gives us pretty good belief that a new look and feel to Nutrisystem can perform better than the creative that we had last diet season. And then -- so are we to understand that the -- I guess, the spending -- the incremental spending is to test things or to try out things that will be used for diet season ?
Is that kind of the idea here? And when you're talking about onboarding all these different external parties and companies to come in and help you, I mean, is this sort of in addition to your cost structure?
Nutrisystem believes in its clients and is there to help them, every step of the way. Together with its growing online member community, Nutrisystem makes weight loss-and the goal of becoming healthy and fit-a reality for millions.
Special People in Northeast, Inc. It also offers adult services, autism services and children services.
The company was founded in and is headquartered in Philadelphia, PA. Kathleen Simone is affiliated with NutriSystem, Inc. Creating a news feed is your most valuable research tool. RelSci sends you actionable updates so you can keep tabs on the people and organizations you care about most.
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