Bottled water companies can be considered as some of the biggest players in the competitive beverage industry. This is because many consumers today prefer healthier drinks like water instead of soda. Because of this shift in preference among the general population, a beverage giant has decided to become more involved in the bottled water market. In a Forbes.com report regarding the update, the Trefis Team highlighted the following market figures:
The bottled water market consists of still water (including flavored), sparkling water (including flavored) and bulk still water. Still or non-carbonated water forms the largest segment of this market accounting for over 80% of the overall $11.4 billion sales in fiscal 2013 (ending August). Sparkling/mineral and bulk still water, each of which constituted ~10% of the sales during this period, represent the top and bottom segments of the bottled water market respectively. While bulk or jug still water is sold in large bottles holding 1 to 2.5 gallons and is relatively cheaper, sparkling water is considered premium and sold at a higher price per gallon compared to both still and bulk water. This is why sparkling bottled water has heftier margins compared to the other segments.
With more room for growth in the sparkling water sector, and an expected continuous increase in demand for still water products, it is not surprising that big companies are interested in entering the bottled water market. Moreover, cases of ongoing drought in various parts of the country like California present a potential that entrepreneurs cannot ignore. To effectively address these needs, business-minded individuals can start beverage companies using reverse osmosis water treatment systems.
Because of the continuing water shortage in drought-hit areas, startup and local companies are better positioned to tap seawater and transform it into potable water fit for human consumption. These enterprises can use quality brackish water reverse osmosis machines created by trusted manufacturers, such as AXEON Water Technologies. Doing so means that they wouldn’t have to rely on the water supply of other states to satisfy the demands of their respective localities.
Reverse osmosis has proven to be a superior method of purifying and treating water from various sources as the method breaks down particles of molecular size. This characteristic ensures that instances of contamination are virtually impossible. The process can thoroughly remove dissolved salts, minerals and other forms of impurities from seawater to create drinkable water. Moreover, reverse osmosis has been observed to be more efficient at removing volatile chemicals than distillation.
The potential for success in the bottled water industry is vast. Thus, entrepreneurs should take advantage of technologies like reverse osmosis to outmaneuver their peers and competitors.
(Source: Coca-Cola Eyes Growth In The Sparkling Bottled Water Market, Forbes.com, January 14, 2014)