Premium Bottled Water Market SIZE AND SHARE ANALYSIS - GROWTH TRENDS AND FORECASTS (2025-2032)

Premium Bottled Water Market Size - Analysis

Premium Bottled Water Market Trends

There is a growing perception that bottled water is purer and contains fewer contaminants than tap water which comes through aging pipelines. Furthermore, people want to avoid potential long-term health risks and opt for water that has undergone rigorous purification processes.

The COVID pandemic has further emphasized the need for clean drinking water and boosted hygiene-related spending. Avoiding public water fountains and points during the crisis drove more people to trusted bottled water options. Some prefer them as a safeguard for their families with concerns around virus transmission through shared water infrastructure. With greater awareness about strengthening immunity through diet and hydration habits, premium variants satisfying purity and quality requirements are gaining traction. This will drive growth of the premium bottled water market.

Market Driver - Increasing Disposable Income in Developing Regions Boosting Premium Bottled Water Sales

Domestic markets in developing economies are becoming more lucrative. So, leading companies in the global premium bottled water market have amplified their focus on marketing and distribution within priority growth territories. Aggressive in-country investments and manufacturing expansion allow suitable product localization to cater local tastes. Local production also helps optimize costs to offer premium variants at competitive price-points relatable to the regional spending ability. Partnerships with modern retail chains ensure extensive penetration into lower-tier cities and towns witnessing substantial income gains.

Market Challenge - High Costs Limiting Accessibility for Certain Demographics

However, by not being affordable for mass consumption, the total potential market size may be capped compared to other beverage categories. The industry will need to consider strategies such as targeted pricing or package formats to expand its demographic base and tap into wider demand pools.

The premium bottled water market possesses an opportunity to expand its reach and enhance customer convenience through increasing penetration of e-commerce sales channels. As more consumers conduct groceries and other purchases online, e-commerce platforms offer an accessible new avenue for premium bottled water brands to meet customer needs. Especially for time-pressed demographics, the ease and safety of digital purchasing can help drive trials and repeat sales.

Key winning strategies adopted by key players of Premium Bottled Water Market

Strategic Marketing & Brand Positioning: Evian spends over $100 million per year on global marketing, positioning itself as a hydration solution for an active lifestyle and sponsoring events like fashion shows and marathons.

International Expansion: Fiji started export to U.S. in 1996 and grew sales to over $250 million by 2015. Its tropical branding resonated with Americans. Evian expanded to over 170 countries, also utilizing sponsorship of global athletic events to raise brand awareness internationally.

Segmental Analysis of Premium Bottled Water Market

Insights, By Product Type: Consumer Preference for Pure Natural Sources Drives Still Premium Bottled Water Segment

Still premium bottled water is often marketed as having been sourced from protected springs and natural aquifers, directly resonating with the clean label trend. Additionally, the absence of added sugars, preservatives or other artificial ingredients makes still premium bottled water an attractive proposition for those monitoring their dietary lifestyles.

Insights, By Distribution Channel: Superior Convenience and Product Visibility Spurs Supermarkets and Hypermarkets Dominance

Gradually, their private labels have emerged as strong alternatives, further boosting store loyalty programs for repeated shoppers. Efficient supply chain logistics also help these retailers sustain competitive prices.

Insights, By Packaging Material: Perceptions of Premium Quality and Elegance Boost Glass Bottles Prominence

Furthermore, glass bottles enhance the perceived value with their elegant appearance with labels and designs prominently on display. They also feel more durable and long-lasting for repeated usage. Many premium water brands cultivate an aura of quality and refinement through their association with glass bottles. This has kept the segment attractive over time despite higher costs involved versus other packaging materials.

Additional Insights of Premium Bottled Water Market

• Consumer Preference for Glass Packaging: Over 62.5% of consumers prefer premium bottled water in glass containers due to perceived purity and environmental benefits.
• Growth in Online Sales: Online retail channels have witnessed a 15.8% annual growth rate, reflecting changing consumer shopping habits and the convenience of e-commerce.
• Europe led the premium bottled water market with a 35% revenue share in 2023, driven by high tourism and demand for premium water at hospitality venues.
• Asia Pacific is expected to witness the fastest growth in the global premium bottled water market due to urbanization in China, India, and Japan and rising health awareness in these regions.

Competitive overview of Premium Bottled Water Market

The major players operating in the premium bottled water market include Bling H20, Roiwater, Beverly Hills Drink Company, NEVAS GmbH, Lofoten Arctic Water AS, VEEN, Uisge Source, Berg Water, BLVD Water, Alpine Glacier Water Inc., Minus 181 GmbH, Perrier (Nestlé Waters), Evian (Danone Group), Fiji Water, San Pellegrino (Nestlé Waters), Voss Water, Mountain Valley Spring Company, and Icelandic Glacial.

Recent Developments in Premium Bottled Water Market

Premium Bottled Water Market Segmentation

• By Product Type
  • Still Premium Bottled Water
    • Natural Spring Water
    • Artesian Water
  • Sparkling Premium Bottled Water
    • Carbonated Mineral Water
    • Flavored Sparkling Water
  • Flavored Premium Bottled Water
    • Fruit-Infused Water
    • Herb-Infused Water
• By Distribution Channel
  • Supermarkets and Hypermarkets
  • Convenience Stores
  • Online Retailers
  • Specialty Stores
• By Packaging Material
  • Glass Bottles
    • Clear Glass
    • Frosted Glass
  • Plastic Bottles
    • PET Bottles
    • Recycled Plastic
  • Others
    • Metal Cans
    • Tetrapaks