Global Flavored Water Market By Type (Sugary, and Sugarless), By Application (Retail Stores, Supermarkets), By Region, and Key Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends and Forecast 2020-2029

Report Overview

Global Flavored Water markets were valued at US$ 14.628 billion in 2021. They are expected to grow at a CAGR, of 10% from 2023-2032. Flavored water can be defined as non-alcoholic, bottled water rich in minerals and flavor. Flavored water is available in three forms: sparkling, still, and available water with natural flavors. Sparkling flavored water uses carbonation to add minerals. Functional flavor water includes additional ingredients such as protein and vitamins. Flavored water contains additional elements that help to improve the body’s immune system, balance its pH, and revive it. Flavored water offers a clear, crisp flavor that enhances the customer’s experience.

Global Flavored Water Market Analysis

Product Analysis

The sparkling products segment had the highest revenue share at 70% in 2021. This segment is projected to continue growing at a steady CAGR of 10.2% between 2023-2032. The segment growth is expected to be driven by the increased demand for fizzy and flavored bubbly. Sparkling variants are more popular because of their health benefits, fizz, taste, and appeal. Nestle PureLife is one of many brands that offer zero-calorie, zero-sweetened flavored foods in different fruit flavors.

To meet the evolving needs of health-conscious consumers, market leaders are constantly launching new products. National Beverage Corp. introduced Hi-Biscus, a new flavor. It’s the LaCroix brand. The sparkling water does not contain any sweeteners, carbohydrates, or sodium. It has a distinctive flavor reminiscent of the hibiscus blossom. The launch of such products is expected to increase segment growth in the forecast period. The fastest expected CAGR is in the still product category over the forecast period. It is expected that the still water segment will grow because of the wide variety of products that contain minerals, vitamins, antioxidants, and even caffeine.

Consumers are increasingly shifting towards still beverages due to their perceived negative effects on tooth decay and bone mineral density. Increased availability of still varieties infused with different fruits, including watermelon and blueberry, pomegranate, and blackberry is increasing the popularity of these products. Just Goods Inc. released JUST Infused waters with lemon, tangerine, or apple cinnamon flavors.

Distribution Channel Analysis

A high revenue share was held by supermarkets & hypermarkets in 2021. It will grow steadily at a steady CAGR between 2023 and 2032. Due to their shopping experience, a large number of consumers prefer to buy bottled water from supermarkets and hypermarkets. Customers are increasingly interested in services like click & collect and home delivery at many supermarkets. Walmart, Carrefour Woolworths, and Edeka are just a few of the top supermarket chains in the world.

Convenience shops are another prominent channel of distribution. This channel has been a major distributor for the market, with product sales increasing significantly due to the increase in convenience stores. Online distribution channels are expected to grow at a faster rate of 11.1% during the forecast period. This channel has seen rapid growth due to its ability to offer competitive pricing and easy home delivery. The internet’s high penetration across the globe will likely increase product sales via online platforms in the years ahead.

The current pandemic has profoundly changed consumer shopping habits. Online shopping is becoming more popular as customers prefer to shop online for their daily necessities, including coffee and water. Online platforms have been a key distribution channel for customers, retailers, distributors, and manufacturers since the pandemic.

Key Market Segments

By Product

• Still

• Sparkling

By Distribution Channel

• Online

• Convenience Stores

• Supermarkets & Hypermarket

• Other Distribution Channel

Market Dynamics

The global market is experiencing a boom in sales of healthy, flavored, and functional drinks. Consumers are becoming more interested in innovative drinks that include fruits, herbs, and other healthy components. Due to rising health concerns, the market saw rapid growth in the COVID-19 epidemic. This increased demand for flavored water products that are rich in vitamins and minerals has boosted the demand, particularly among middle-income consumers.

Consumption of flavored water is increasing in developed countries, especially among millennials or Gen Z. Market growth is being boosted by the rising popularity of low-calorie, zero sugar, and low-carb soft drinks. Due to their refreshing taste, citrus and berry flavors are increasingly popular. Because of their health benefits, and refreshing taste, natural flavors are gaining popularity.

Producers have begun to launch beverages that improve mental and physical health. Consumer preference has shifted away from sugary carbonated soft drinks to healthier options over the past few decades. Global market growth has been made possible by new flavors, innovative packaging, and the incorporation of functional ingredients. Modern consumers are attracted to drinks that contain vitamins and minerals. To appeal to the environmentally conscious consumer, many brands offer their drinks in aluminum containers. Consumers are increasingly looking for beverages that are sustainably sourced. This trend is creating new growth opportunities for market players.

Regional Analysis

North America was the region with the highest revenue share, at over 39% in 2021. It will grow further at a steady rate of CAGR between 2023 and 2032 because of rising product consumption. A number of popular brands like bubbly and Nestle Pure Life, Schweppes, Perriers, LaCroix, and Talking Rain offer a variety of products. This has led to increased product adoption in this region.

Europe has a large share of the global market. Health-conscious consumers will find it more appealing to drink naturally flavored or carbonated waters with high levels of minerals. Many of the flavors are made from natural fruit extracts. Many countries like France, Spain, Germany, and Italy have strong sales of the product. The Asia Pacific is expected to be the fastest-growing regional market from 2023-2032. The market outlook in the Asia Pacific is positive due to increasing consumer preference for the product and the expansion of fast-service and full-service restaurants. Growing consumer awareness about the many benefits of a healthy lifestyle has driven the demand for healthier foods and beverages. This will in turn support regional market growth.

Globally, consumers have changed their food- and beverage consumption habits due to an increase in disposable income. Consuming healthier foods and beverages is more popular than consuming sugary drinks with adverse health effects. There are many bars and restaurants that have started to serve the product. This has created a positive outlook on the future of flavored water.

Key Regions and Countries covered in thе rероrt:

• North America

  • US

  • Canada

  • Mexico

• Europe

  • Germany

  • UK

  • France

  • Italy

  • Russia

  • Spain

  • Rest of Europe

• APAC

  • China

  • Japan

  • South Korea

  • India

  • Rest of Asia-Pacific

• South America

  • Brazil

  • Argentina

  • Rest of South America

• MEA

  • GCC

  • South Africa

  • Israel

  • Rest of MEA

Market Share & Key Players Analysis:

To strengthen their market share, key players have employed various expansion strategies like mergers & acquisitions or new product launches. PepsiCo Inc. introduced five new caffeinated sparkling glasses of water in February 2021 under its Bubly label. The company’s line of caffeinated drinks has been expanded with the additions of mango passion fruit and blood orange grapefruit, as well as triple berry, citrus cherry, and blueberry pomegranate flavors.

Маrkеt Кеу Рlауеrѕ:

• The Coca-Cola Company

• Talking Rain

• Nestlé

• PepsiCo Inc.

• Hint Inc.

• Sanpellegrino S.P.A.

• National Beverage Corp.

• Spindrift

• Other Key Players

For the Flavored Water Market research study, the following years have been considered to estimate the market size: