June 18, 2024
U.S. Bottled Water Market

U.S. Bottled Water Market is Expected to Grow Rapidly Owing to Increasing Health Consciousness

The U.S. bottled water market is one of the largest markets globally owing to its growing consumption rates. Bottled water is considered healthier than sodas and consumed at home as well as outside dining owing to its convenience. The bottled water industry in the U.S. is witnessing growing demand as consumers look for healthier alternatives with added minerals. Per capita bottled water consumption in the U.S. continues to rise, supported by various product innovations.

The U.S. Bottled Water Market is estimated to be valued at US$ 30029.56 Bn in 2024 and is expected to exhibit a CAGR of 10 % over the forecast period 2024 To 2031.

Key Takeaways

Key players operating in the U.S bottled water market are Amgen, Gilead Sciences, Biogen, Pfizer, Novartis, Roche, Johnson & Johnson, Sanofi, Merck & Co., AbbVie, GlaxoSmithKline, AstraZeneca, Eli Lilly, Novo Nordisk, Bayer, Bristol-Myers Squibb, Teva Pharmaceutical, Takeda Pharmaceutical, Boehringer Ingelheim, Astellas Pharma.

The key opportunities in the U.S. Bottled Water Market Size include rising consumer preference for purified water and the growing adoption of advanced water bottling technologies. Technological advancements such as incorporation of advanced filtration techniques and development of Eco-friendly packaging solutions are anticipated to boost the bottled water market growth.

Market drivers

The major drivers for the growth of the U.S bottled water market include growing health awareness among consumers, rising disposable incomes, desire for convenience and increasing outdoor activities. As consumers focus more on health and wellness, the demand for bottled water is growing significantly over sugary sodas and juices. Moreover, the ease of portability and accessibility of bottled water is another key factor fueling the market expansion. With busy lifestyles, consumers find bottled water as a convenient and accessible hydration source.

Challenges in U.S. Bottled Water Market

The U.S. Bottled Water Market Size industry is facing numerous challenges currently which could hamper its future growth potential. High packaging costs due to rising plastic and petrochemical prices are major concerns. Plastic bottles account for a significant portion of total production costs. Strong regulations around plastic waste management and recycling are also challenging players to adopt sustainable packaging solutions. Increased health awareness about consumption of bottled water is leading some consumers to switch to alternate beverage options. Younger consumers in particular are more sensitive about environmental impact and opt for reusable water bottles instead. Intense competition from private label brands offering lower prices is squeezing profit margins of established brands. Maintaining brand loyalty and premium pricing is a challenge in such a dynamic competitive landscape.

SWOT Analysis

Strength: Growing health consciousness among consumers is driving higher demand for purified and mineral water. Strong distribution network and brand positioning of leading players.
Weakness: Dependence on plastic bottles raises sustainability issues. Regulations around plastic waste can impact costs.
Opportunity: Scope to introduce innovative packaging materials and recycled plastic bottles. Growing outdoor recreation activities provide new growth avenues.
Threats: Strict laws and bans around single-use plastics in some regions pose compliance challenges. Alternative beverages like flavored water grabbing market share.

The U.S. bottled water market is currently concentrated in the western and eastern regions led by states like California, Texas and New York in terms of production and sales value. These states account for over 40% share of the domestic market currently due to high population, hot climates favoring water consumption and presence of major bottlers. The South-Eastern region spanning states like Florida and Georgia is emerging as the fastest growing market for bottled water. Rising incomes, health awareness and outdoor recreation activities are fueling double digit growth rates in these states.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it