Online script mill swoops on Jenny Craig’s database

5 minute read

Eucalyptus has bought up the defunct weight-loss company’s ‘digital assets’ so current and former clients can expect a call.

Pilot and Juniper owner Eucalyptus has vacuumed up the digital remains of defunct weight-loss giant Jenny Craig in a move to increase its reach in the weight-loss drug space.

Eucalyptus founder Tim Doyle posted a statement on his LinkedIn page last night saying:

“We think there is an incredible opportunity to combine our world-leading weight-loss programs, delivered through Juniper and Pilot, with a brand that has helped hundreds of thousands of Australians lose weight over the last 30+ years.”

While it is unclear exactly what those digital assets are, it is a fair speculation to think that those “hundreds of thousands” of current and former Jenny Craig clients can expect some contact from Eucalyptus in the not-so-distant future.

TMR asked Mr Doyle :

  • what does the purchase of the company’s online capability mean and does it include the company’s database?
  • what was the price paid?
  • will Eucalyptus retain any part of the Jenny Craig brand name?
  • will it be rolled into Eucalyptus’ existing brands or become a new entity?

At the time of publication, Mr Doyle had not responded to our questions.

Jenny Craig was put in the hands of FTI Consulting on Tuesday 9 May, according to the company’s report released this week, with FTI officers appointed as voluntary administrators on 18 May.

Perhaps ironically, one of the reasons the directors of Jenny Craig listed for the business’ downfall was “strong competition and the entrance of new players, particularly online”.

Other factors which led to the decision to wind the company up, according to the directors, were continued trading losses; under-capitalisation; non-repayment of a $1.3 million loan by [US parent company] Craig Holdings; and the announcement of Craig Holdings’ bankruptcy on 8 May.

FTI Consulting also added the impact of supply chain timing and costs as a result of the covid pandemic, non-performing stores in both Australia and New Zealand, a fixed-cost base that could not be “flexed” without capital investment, and accelerated repayment of an intercompany loan from Craig Holdings.

According to FTI, 15 parties have shown an interest in buying Jenny Craig. None of the interested parties were unable “to get comfortable with taking on the whole or a substantial portion of the business”. It is also unclear at this time if the brand name “Jenny Craig” will be able to be used.

FTI reported that “intangible property” held by Jenny Craig and up for sale included customer databases and lists; employee coaching and training materials; recipes for food items to the extent they are owned; and the company’s website to the extent it is owned by/controlled by the company. It also includes “goodwill, the development of a patented food recharge bar and the value of the company’s website and domain name”.

“The estimated realisable value for these intangible assets is unknown and dependent on a potential willing buyer,” said the FTI Consulting report.

A meeting of creditors will be held at 11am next Wednesday 14 June.

Jenny Craig employs approximately 306 personnel in Australia, has 73 owned and managed stores and along with online sales, services approximately 7300 customers per week. It is a wholly-owned subsidiary of Craig Holdings, a US-based company which filed for Chapter 7 bankruptcy on 8 May.

Eucalyptus currently has 17 Australian-based vacancies listed on its website, including chief of staff, “people business” manager, clinical governance manager, community manager, and for an unspecified number of GPs.

In the “what you’ll get from us” section of the GP job description, rewards include competitive hourly rate, 10-20 hours of work per week with an option to increase, complete flexibility around schedule, work from home or from Eucalyptus’ “beautiful Sydney office”, support from a team of nurses and patient support specialists and “your fellow Euc GPs”, technology platforms designed to automate workflows such as letter templates and electronic patient notes, telehealth to provide “inclusive, empathetic and non-stigmatised care”, and options to be involved in “clinical project work, including quality improvement, clinical trials and media etc”.

Eucalyptus runs:

  • Pilot – a men’s healthcare portal including online consultations and script provision for weight loss, erectile dysfunction, hair loss, and premature ejaculation;
  • Kin – a women’s reproductive health portal offering contraception, prenatal vitamins, family planning, a pregnancy checklist, fertility advice, postpartum healthcare, and supplements;
  • Software – a skincare portal, offering individualised treatment programs, acne kits, acne supplements, pimple patches, anti-ageing treatments, and “ingredients you can’t get off the shelf”; and,
  • Juniper – a women’s health portal, the headline act of which is a weight-loss program including the prescription of weight-loss drugs such as Saxenda, health tracking, a “private community” and lifestyle coaching.

Eucalyptus’ homepage also includes photographs of sex toys, although where they appear in the company’s product line is not clear.

Are you a current or former Jenny Craig customer? Let us know what you think about Eucalyptus’ purchase of your details. Contact Cate Swannell at

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