by Bottled water is purified and packed drinking water available in plastic or glass bottles. It is considered convenient to consume and is perceived as a healthy beverage compared to soft drinks by many consumers. The growing health consciousness among people coupled with increasing disposable incomes in developing economies has been driving the demand for bottled water globally. Bottled water lacks additives like colors, flavors, preservatives etc. that are present in other packaged beverages and is preferred by health conscious people.
The global Bottled Water Market is estimated to be valued at US$ 321.88 Bn in 2023 and is expected to exhibit a CAGR of 5.9% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends in the bottled water market is the increasing demand for functional bottled water infused with ingredients like vitamins, minerals and herbs. Companies are coming up with innovative bottled water products fortified with ingredients like electrolytes, antioxidants etc. to cater to the nutrition and health needs of consumers. Moreover, changing lifestyles and rising outdoor activities have also been boosting the convenience products market including bottled water. Growing environmental concerns related to plastic waste is pushing companies to use eco-friendly packaging materials like aluminum bottles and glass bottles. Recycling initiatives by market players and government regulations regarding plastic waste disposal are also shaping the bottled water market trends.
Porter’s Analysis
Threat of new entrants: The bottled water market requires large capital investments in production, packaging and distribution processes. Established brands also enjoy economies of scale and customer loyalty which make market entry difficult for new players.
Bargaining power of buyers: Large retailers such as supermarkets have substantial bargaining power over bottled water suppliers due to their bulk purchasing ability. However, buyer power is balanced by availability of numerous branded and private label products.
Bargaining power of suppliers: Majority of bottled water companies rely on common natural water resources and packaging materials whose global suppliers exert low bargaining power due to widespread availability.
Threat of new substitutes: Tap water remains the cheapest substitute, though bottled water is preferred for its purported purity and portable convenience. Carbonated drinks pose competition but not a significant threat.
Competitive rivalry: The global bottled water market is highly fragmented with top players accounting for less than 50% share. Fierce competition exists between numerous international and local brands on the basis of quality, taste, price and packaging.
Key Takeaways
The Global Bottled Water Market Size is expected to witness high growth, exhibiting CAGR of 5.9% over the forecast period, due to increasing health awareness and changing consumer preferences toward pure, convenience beverages.
Regional analysis: North America dominated the market in 2023, accounting for over 30% share. However, Asia Pacific is projected to witness the fastest CAGR of 7.2% during the forecast period owing to rising health consciousness in populous nations like China and India.
Key players: Key players operating in the bottled water market are Nestlé; PepsiCo; The Coca-Cola Company; DANONE; Primo Water Corporation; FIJI Water Company LLC; Gerolsteiner Brunnen GmbH & Co. KG; VOSS WATER; Nongfu Spring; National Beverage Corp.; Keurig Dr Pepper Inc. These top brands are focusing on introducing unique flavors and innovative packaging formats to cater to evolving consumer demands.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
