The U.S. bottled water market is estimated to be valued at US$ 26067.32 Mn in 2023 and is expected to exhibit a CAGR of 8.4% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview: The U.S. bottled water market consists of purified water packaged in plastic or glass bottles for direct consumption. Bottled water is marketed as a healthy alternative to sugar-filled carbonated beverages and tap water. It is seen as a convenient way to stay hydrated on-the-go. Bottled water finds wide usage among toddlers, athletes, and outdoor enthusiasts. Market Dynamics: Bottled water demand in the U.S. is primarily driven by increasing health consciousness among consumers. The growing prevalence of lifestyle diseases and obesity has fueled the shift towards low-calorie beverage options. Bottled water contains no calories, sugars, colors, or preservatives. Moreover, rising disposable incomes have increased the affordability of premium bottled water products fortified with essential minerals. Another major driver is the varying quality of tap water across different regions of the country. Reports of tap water contamination and the presence of potentially harmful elements and chemicals have boosted consumer confidence in bottled water. However, the excessive plastic waste generated by disposable water bottles is a significant concern. Strict environmental regulations and initiatives to promote reusable bottles could restrain market growth. SWOT Analysis Strength: The U.S. bottled water market size has strong brand recognition with dominant brands like Nestle Waters and PepsiCo. Bottled water has high demand among health-conscious consumers as a safer and healthier option compared to sodas or juices. Bottled water companies invest heavily in various packaging formats like PET bottles, glass bottles, and aluminum cans to provide convenience to customers. Weakness: Bottled water production requires high capital investment in setting up water extraction and bottling plants. It also has high packaging and distribution costs. The packaging waste generated poses environmental issues if not recycled properly. Some municipalities have proposed plastic bans which can hamper future growth. Opportunity: There is significant potential to expand sales in rural areas not covered by municipal water systems. Growth of organized retail and e-commerce provides new sales channels. Increased health awareness is driving demand for purified and flavored water variants with additives. Demographic and lifestyle shifts are supporting more outdoor activities and on-the-go consumption occasions. Threats: Strict regulations and additional taxation by municipalities can impact profit margins. Growing environmental concerns around plastic waste may drive consumers towards reusable bottles and public water stations. Alternative beverages like juices and sports drinks offer competition in the growing ready-to-drink category. Natural calamities can disrupt water sources and operations. Key Takeaways The global U.S. bottled water market is expected to witness high growth, exhibiting CAGR of 8.4% over the forecast period, due to increasing health consciousness among consumers. Consumers prefer bottled water as a more convenient and safer option compared to tap water or other beverages. Regional analysis shows that Western states like California account for the largest share currently due to scarcity of portable water. Southern states are witnessing faster growth with hot weather driving larger volumes. Northeastern states also have significant demand fueled by higher per capita incomes in major cities. Key players operating in the U.S. bottled water market are Nestle Waters, PepsiCo, Inc., The Coca-Cola Company, Groupe Danone, Suntory Beverage & Food Ltd, Mountain Valley Spring Company, LLC, and CG Roxane, LLC. These companies have dominant market share owing to their established brand names and diverse packaging offerings. They also invest heavily in promotions and distribution expansion to boost sales volumes. Get more insights on this topic: https://www.trendingwebwire.com/u-s-bottled-water-market-size-and-outlook-2023-2030/
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