The Bottled Water Industry

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Markets Water is something that anyone around the world could get from the tap for free, but now it is all the rage for the beverage industry. Bottled water has become the industry's fastest growing segment, both in volume and profits. Due to the consumer's needs and wants for a healthier lifestyle, the beverage industry provides a necessary product to the consumers, which is bottled water. Water is essential and with the demand to participate in a healthy lifestyle, the water industry will be successfully profitable. The market size for this industry has been growing and will continue to grow in a rapid pace. Over the past ten years, bottled water has moved from being the preserve of a relatively small market into the U.S. mainstream, with sales of about $7.5 billion, and that's only for water in bottles of 1.5 liters or less (Durr). According to the International Bottle Water Association, Americans spend $5.6 billion in 2000 on bottled water. By 2005, Americans will consume 7.2 billion gallons of bottled water, up from about 5 billion gallons in 2000, the association reported. A factor that will continue to drive the bottled water market is foremost the desire to live a healthy lifestyle. Which leads to the concerns of contaminants found in the tap water. People will pay high prices for water, just to be ensured that it is safe to drink the water that they purchased. Drinking lots of water also prevents dehydration. According to the Bottled Water Web (www.bottledwaterweb.com), 75% of Americans are chronically dehydrated. Most people know the health benefits of drinking water, which will drive the consumer to hit the water bottles more. At the same time, packaging in a portable plastic bottles and greater ... ... middle of paper ... ...are looking for a beverage that combines rehydration with vitamins and minerals, and 75 percent said they would buy fortified water if available (Durr). According to Stephen Kay of the International Bottle Water Association in Alexandria, Va, People are demanding more from their foods and beverages, so, they're choosing water with added functions and attributes (Durr). With Americans focusing on fitness and a healthier lifestyle, companies are positioning these fortified water as something better than water. It's just like water but with better attributes, and provides more than what water does. Aquafina Essentials is touted as "enhanced water", and the label on Propel, a new product from Gatorade describes the clear beverage as "fitness water." While Propel is targeting towards athletes, Aquafina Essentials is targeting those who are very health conscious.

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