Premium Bottled Water Market Growth & Trends

The global premium bottled water market size is expected to reach USD 28.85 billion by 2028, registering a CAGR of 6.6% over the forecast period, according to a new report by Grand View Research, Inc. The growing concerns about high sugar content and sweeteners in carbonated drinks have played a prime role in driving the product demand over the last few years. With the rising awareness regarding the importance of leading a healthy lifestyle, people are switching from regular water to premium bottled water. Due to the presence of a variety of minerals, including sodium, magnesium, and calcium, consumers opt for premium bottled water over regular bottled water.

The mineral water segment held the largest revenue share in 2020 and is expected to maintain its dominance over the forecast period. Mineral water is in high demand globally, thereby prompting several manufacturers to extend their operations internationally. For instance, Tata Consumer Products Ltd. (TCPL), a renowned Indian FMCG brand, launched its premium natural mineral water brand Himalaya water in the U.K. in August 2021, which is available in supermarkets and hypermarkets. The supermarkets & hypermarkets distribution channel segment accounted for the majority of the global revenue share in 2020.

The increasing product availability at Walgreens, Walmart, Target Brands, Inc., Costco, and The Boots Company PLC among others has immensely helped these products to be in the demand for now and during the forecast years. The Europe region led the global market accounting for the maximum revenue share in 2020. Premium bottled water is popular in European countries, including Germany, France, and Spain, due to health various benefits, such as digestive assistance and prevention of dehydration. Moreover, Europe is a popular tourist destination and most of the tourists prefer packaged premium bottled water due to its attractive packaging and high mineral contents.

Premium Bottled Water Market Report Highlights

  • The sparkling water segment is projected to register the fastest growth during the forecast period owing to the high product demand on account of numerous health benefits, such as improving digestion, aiding weight loss, and keeping the body more hydrated than normal water
  • The online distribution channel segment is expected to register the fastest CAGR during the forecast period owing to the easy availability of products on a single platform
  • Asia Pacific is projected to be the fastest-growing CAGR regional market over the forecast period owing to the rising demand for healthy foods & beverages, coupled with the increasing adoption of active lifestyles by consumers across the country
  • Companies focus on manufacturing luxury bottled water derived from exquisite resources. Product innovation and launches are the key strategies deployed by the majority of market players to stay abreast of the competition