1. Consumer and Innovation
Trends in Bottled Water 2014
The latest trends in still, sparkling, flavored, and unflavored
water
Category series. Published April 2014
Consumer Insight

2. Contents
1. Executive Summary
2. The Market: Where the Opportunities Lie
• Market snapshot
• Innovation snapshot
• Consumer snapshot
• Opportunities
3. The Trends: Consumer and Innovation Insight
• Eco-Warriors
• Fresh Functionality
• Turning Water into Wine
• Deeper-Dive Nutraceuticals
• Blurred Lines
• A New Flavor Focus
• The Threat of Filtration
4. The Future: What's Next in Bottled Water?
5. Appendix
Click on the title to go directly to the relevant section
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3. Fresh Functionality
Packaging innovations are making bottled water fresh
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Insight On-trend innovation Case study Take-outs
Looking
ahead...
Consumer awareness of vitamin degradation will rise, pushing this type of innovation in to the mainstream.
Global: top three claims considered to indicate that a
product is "more" or "significantly more" nutritious, 2013
Developments in packaging have changed functionality
Packaging innovations have revitalized the idea that bottled
water can be fresh, with the functional portion of a beverage
being added right at the moment of consumption. This interaction
positions the beverage as a novel competitor to traditional
functional options, and gives the consumer the sense that the
drink is being made on the spot.
This innovation is functional, not just fun
Moving away from the fun aspect of adding flavor and vitamins to
water (as per Cedevita Go!), these innovations are being
advertised as maintaining the quality of the vitamins and
minerals for longer. Functional properties are preserved when
kept out of water, air, and light, which otherwise reduce product
effectiveness – something perhaps unknown to consumers.
Fresh
Natural
Added/high in
vitamins and
minerals
79%
70%
63%
"It's an air-tight cap that keeps
the 9 vitamins, 84 ionic minerals
+ 5 electrolytes stored fresh until
you need them."1
989 OnDemand
Source: Datamonitor Consumer Survey 2013; [1] Taken from Drink989.com/cap-delivery, accessed Jan 2014
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4. Turning Water into Wine
Bottled water is escaping traditional consumption occasions
Source: Datamonitor Consumer Survey 2013; Images: Shutterstock *Water-conscious consumers are defined as those who pay "high" or "very high" attention to
consuming plenty of water in the Datamonitor Consumer Survey 20134
Insight On-trend innovation Case study Take-outs
Looking
ahead...
As consumers search for new experiences, high end bottled water will be increasingly positioned in
restaurants from a taste, rather than refreshment, perspective.
Global: water-conscious consumers* were asked what
were the most appealing factors that would make them
pay more for their favorite alcoholic beverage type, 2013
Better taste
Unique taste
Pairs well with food
A special occasion
"Natural" ingredients
40%
35%
27%
21%
20%
Sister trends
being seen in
the wine-
ification of water
Assumed for
still unflavored
bottled water
These findings show that the trends
that have been identified in the super-
premium water sector are cost-
influencers for alcoholic beverages.
To capitalize on this, super-premium
bottled waters should focus on taste
and pairing opportunities.
Super-premium producers seek to differentiate themselves
through water wine-ification
As unflavored bottled water is increasingly seen as a fashion
accessory, discerning consumers in developed markets are
looking for new status symbols. The advent of water menus in
some restaurants has started to place water in the wine sphere.
With water being positioned as such, the brands in this arena can
be seen to be matching the interests of wine and spirits drinkers.
The rising interest in glacial water mirrors the desire to know a
beverage's provenance, as in wine.
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5. Deeper-Dive Nutraceuticals
Examples we like: "natural" and designed function-specific waters
Source: Datamonitor Product Launch Analytics; [1] Yourdailyfix.com, accessed Feb 2014; [2] Drinkbalance.com, images also taken from this site; Ichimore.com,
accessed Feb 20145
Insight On-trend innovation Case study Take-outs
Balance, US
Balance uses Australian flower essences and
unflavored spring water to deliver specific
claimed health benefits. The Relax variant is
"designed to help improve sleep patterns and
sleep cycles over time."2 Digest, Mind, Travel,
and Refresh versions are also available.
Advertising literature explores the benefits of
each of the included flower essences.
Ichi More Vitacare, China
Vitacare is a vitamin-enhanced fruit-flavored
water said to enhance immunity and give
simple access to healthy energy. The three
flavors offer comprehensive nutritional
supplements via vitamins, better metabolic
and gastrointestinal protection, and
comprehensive antioxidant protection,
respectively. The stark labeling and
advertising targets men specifically, hinting at
the future of this sector.
FIX Hair Skin Nails, US
FIX is a "youth activating" beverage promoted
as being "the first and only functional beverage
with patented, clinically proven functionality."1
Available in four mixed fruit flavors, the water
contains a patented compound that is said to
strengthen and thicken hair, increase skin
elasticity and smoothness (and reduce
wrinkles), and strengthen nails.
Natural
functionality
Beauty water
For men
Minerals for
muscles
Ustronianka Z Potasem, Poland
Available throughout Eastern Europe, this
unflavored sparkling water with potassium is
said to help to maintain muscles and blood
pressure and support the nervous system. It is
positioned as a beverage for active people,
which is reinforced through the use of a sports
cap.
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6. A New Flavor Focus
A changing consumer landscape is encouraging innovation
Source: Datamonitor Product Launch Analytics; Images: Shutterstock6
Insight On-trend innovation Case study Take-outs
Looking
ahead...
Increasingly unknown herbal and floral flavors will be introduced into Western markets as consumer comfort
with the concept grows and other cultures permeate society.
Global: top 25 non-fruit flavor launches, 2013
Migrating influence
The rising interest in herbal and floral flavors could reflect an
interest in Chinese medicine as Eastern consumers migrate to the
West, and alternative therapies become more widespread. The
resulting culinary experimentation is further broadening taste
horizons, opening consumers up to the possibility of new flavors.
This trend has been seen globally, indicating that the migration
factor is a strong influence as innovative flavor trends move over
from Asia.
The now-everyday herbal and fruit teas seen in the West have
eased the way for less-traditional ready-to-drink beverage
flavors.
Many of these flavors are well-known; it is only recently that
they have been introduced into the bottled water arena.
Sensory appeal can charge a premium
The novelty and sensory experience of herbal and floral
waters can claim a price premium as consumers seek purity
and healthiness, which is intrinsic to this trend.
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