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Sep 7, 2020 3:23 PM ET

Sparkling Bottled Water Market to Grow at a CAGR of 6.2% During the Forecast Period 2020-2025

iCrowd Newswire - Sep 7, 2020

Sparkling Bottled Water Market size is valued at $ 1,472m by 2019, and is anticipated to grow at a CAGR of 6.2% during the forecast period 2020-2025. The Sparkling Bottled Water Market growth rate is attributed to the growing incidences of obesity among children and associated health issues owing to the increased consumption of soft drinks and fast foods. With the rising contamination levels of drinking water have propelled the consumer base to switch to bottled water, which is clean, bacteria-free, safe, and purified. Besides being a healthier substitute for soft drinks, sparkling bottled water also provide better digestion and immunity, weight reduction. From the introduction to number of product innovations and new flavors and the emergence of e-commerce channels, social media, etc. is anticipated to bolster the Sparkling Bottled Water Market during the forecast period 2020-2025.

Product Type – Segment Analysis

Unflavored segment held the largest share in the market owing to its natural and highly preferable amongst health-conscious consumers over flavored segment as consumers are opting for unflavored sparkling water for hydration as well as functional water. Also, with the rising popularity of the on-going busy lifestyle, unflavored sparkling water has become a convenient option for many people as it can be used as a substitute for alcohol or carbonated beverages in social surroundings. Furthermore, flavored segment is anticipated to witness a segmental growth in the forecast period 2020-2025 as it is naturally carbonated, and hence contains a variety of minerals, including sodium, magnesium, and calcium, that influences its flavor.

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Distribution Channel- Segment Analysis

Based on distribution channel, hypermarkets/supermarkets segment held the major share of the market in terms of revenue and is set to grow with a CAGR of 5.1%. The reason is set to be attributed to facts as these stores are incorporated with numerous alternatives and varieties of sparkling water from various brands. Sparkling Bottled Water sales of hypermarkets/supermarkets is believed to rise effectively as consumers prefer these retail channels for shopping owing to the in-store promotions by retailers and price comparisons is anticipated to further expand the consumption rate over the projection period of 2020-2025. Furthermore, there is an increase in the number of hypermarkets and supermarkets, especially in developing economies, which has augmented the penetration of modern grocery retail chains, further contributing to the sales of sparkling water in the up-coming years.

By Geography – Segment Analysis

North America dominated the Sparkling Bottled Water Market with a share of 38% in 2019. The application of Sparkling Bottled Water has grown rapidly over the last few years owing to the growing awareness among consumers, strong economy, increasing living standards, large number of lounges, bars, and cafes and introduction to number of product innovations and new flavors which continues to expand its market. Europe and Asia-Pacific regions are offering various product innovations with rising disposable income and rapid industrialization coupled with a hot and arid climate are to cater the Sparkling Bottled Water Market in the forecast period of 2020-2025.

Drivers – Sparkling Bottled Water Market

Increasing health-conscious population

With the increasing demand for sparkling bottled water amongst the health-conscious consumer base and the growing trend of consumers as a healthy alternative. Furthermore, the introduction of new flavours of sparkling bottled water is a microcosm of a much larger trend in the soft drink industry which can be considered as a Sparkling Bottled Water key driver of the market during the forecast period.

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Challenges – Sparkling Bottled Water Market

High initial capital and maintenance cost

The major challenge for the market is the high initial capital investment and the requirement for high-quality treatment and compliance of these Sparkling Bottled Water in a vast and heterogeneous market. The stringent rules and regulations regarding the processing and preservation prior to distribution and sales is the major problem for some of the regions in Asia-Pacific.

Sparkling Bottled Water Industry Outlook

Product launches, mergers and acquisitions, joint ventures and geographical expansions are key strategies adopted by players in the Sparkling Bottled Water Market. In 2019, Sparkling Bottled Water Market share is fragmented by the top ten players present in the market. Sparkling Bottled Water Market top 10 companies are Nestlé, A.G. Barr, PepsiCo, Coca-Cola, Crystal Geyser, Danone, Vintage, Tempo Beverages, Dr. Pepper Snapple, Sparkling Ice and others.

Acquisitions/Product Launches

In November 7,2019 Coca-Cola announced the launch of a sparkling water brand AHA in the early 2020’s as soft drinks consumption in the U.S. is declining with consumers turning towards a healthier alternative.

In February 25, 2020 PepsiCo launched a caffeinated water, extension for its sparkling water brand Bubly, signaling its eminent entry into the U.S. caffeinated water category.

Key Takeaways

North America dominated the Sparkling Bottled Water Market with a share of 38% in the year 2019.

The factors such as increase in trends of premium & functional water, rapid urbanization, the rise in disposable income, growth in retail channels across the globe, and rise in investments by market players are amongst the major factor projected to impel growth of Sparkling Bottled Water Market.

Health hazards that are associated with the sugar-rich beverages, increasing number of number of obesity cases in children coupled with health-conscious consumers looking for healthier alternatives are the key factors owing to the growth in the segment during forecast period 2020-2025.

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B. Bottled Water Testing Equipment Market

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