Enhanced Water Products Market Size, Share, & Trends Analysis Report (2023 – 2030)

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Report Overview

The global enhanced water products market was valued at USD 39.4 billion in 2022 and is projected to expand at a CAGR of 6.7% from 2023 to 2030. Enhanced water products are categorized as functional beverages that are made from purified water and contain electrolytes and extracts of natural ingredients. Such products are gaining traction due to their refreshing taste, convenience, and health benefits. Enhanced water products are available in various categories, including vitamin water, protein water, and electrolyte water, among others.

The growing consumer focus on healthy lifestyles is a key factor driving the market. Consumers are increasingly opting for functional beverages that offer various health benefits, such as improved physical and mental health, weight management, and energy. Enhanced water products are gaining popularity among health-conscious consumers due to their low sugar content and natural ingredients. The demand for such beverages is further driven by the increasing working population, which is requiring such beverages as a source of energy and refreshment.

The rising demand for convenience and on-the-go consumption has been a major factor driving the market. Consumers are increasingly looking for products that are readily available and easily consumable. In response to this, the market has seen an influx of new products, such as ready-to-drink (RTD) beverages that are packaged in single-serve containers. The popularity of such products has been increasing due to their convenience, portability, and ease of consumption. Furthermore, the increasing demand for naturally derived products is further propelling the growth of the market. Companies are launching new products with natural ingredients and low sugar content to cater to the growing demand. For instance, in October 2021, Glaceau, a subsidiary of The Coca-Cola Company, launched a new low-sugar line of enhanced waters called Glaceau Smartwater+ with natural ingredients.

Furthermore, the increasing number of product launches by the key players to cater to the rising demand for enhanced water is expected to further support the growth of the market. For instance, in August 2021, PepsiCo launched a new line of enhanced waters called 7UP+ with natural flavors and zero sugar. These products are designed to meet the demand of health-conscious consumers. Additionally, the increasing focus of companies on marketing and promotional activities is further contributing to the growth of the market. Companies are launching campaigns to target the health-conscious consumers and create brand awareness.

Product Insights

The enhanced water segment is anticipated to grow at the fastest CAGR of 8.5% over the forecast period. Increasing consumer demand for healthy beverages and growing health consciousness among individuals are driving the growth of the enhanced water segment. According to an article published by Statista, in 2019, the global consumption of flavored/functional water was around 4.1 billion liters, representing a CAGR of 8.3% from 2015 to 2019. In addition, growing consumer preferences for natural ingredients such as vitamins and minerals, and the availability of enhanced water in various flavors is further driving the growth of the market.

The ready-to-drink segment is anticipated to grow at a CAGR of 7.7% during the forecast period. Rising demand for convenience beverages and increasing popularity of sports and energy drinks are some of the key factors driving the market revenue. According to an article published by the International Bottled Water Association, in 2020, the global consumption of bottled water was approximately 241 billion liters in 2019, representing an increase of 4.2% from 2018. Furthermore, the availability of a variety of ready-to-drink beverages such as flavored water, energy drinks, and sports drinks is further expected to fuel the growth of the segment.

Distribution Channel Insights

The supermarkets and hypermarkets segment captured the major share of over 40.7% in 2022. Supermarkets & hypermarkets are one of the most preferred distribution channels for enhanced water products due to their wide product range and availability. The presence of a wide variety of products enables customers to make efficient purchasing decisions. Moreover, supermarkets & hypermarkets provide promotional offers and discounts that further attract customers to purchase enhanced water products.

The online segment is anticipated to expand at the highest CAGR of 12.5% over the forecast period. The growth of the segment can be attributed to the rising penetration of internet and smartphones across the globe. Customers are increasingly opting for the convenience of online shopping for enhanced water products. This is mainly due to the ease of ordering with just a few clicks and also the availability of attractive discounts. Additionally, the launch of dedicated e-commerce websites for enhanced water products is further driving the growth of the segment.

Type Insights

The flavored segment accounted for the largest revenue share of 54.8% in the year 2022. The increased demand for flavored water due to its refreshing taste is expected to drive the segment. The manufacturers are investing in product innovation to cater to the changing preferences of consumers. For instance, in February 2021, PepsiCo, Inc. launched a new product line, Bubly Plus, which has added vitamins and minerals to its existing range of flavored sparkling water. Additionally, the increasing prevalence of health consciousness among consumers is also expected to drive the segment.

The functional segment is anticipated to expand at the highest CAGR of 10.7% over the forecast period. The rising consumption of enhanced water due to its health benefits is expected to propel the segment. Enhanced water is enriched with various minerals, electrolytes, and vitamins that improve the overall health. For instance, the company, The Coca-Cola Company, has launched a product called AHA, which is a combination of sparkling water infused with real fruit flavors, containing minerals and electrolytes. This product caters to the health-conscious consumers and is expected to drive the segment in the forecasted period.

Regional Insights

Europe is expected to account for the largest market share in 2022, driven by the growing health consciousness among consumers in the region. In order to lead a healthier lifestyle, consumers in the region are opting for healthier options such as enhanced water. For instance, in April 2021, a German company, O2C launched a functional water product, O2C Refresh, made from natural spring water. The product is rich in electrolytes and is naturally sweetened with stevia.

Asia Pacific is expected to witness the fastest growth in the coming years. Increasing disposable income, coupled with the growing health consciousness among consumers, is expected to drive the growth of the market in the Asia Pacific. Increasing awareness regarding the health benefits of enhanced water among consumers is expected to drive the growth of the market. For instance, in April 2022, a Chinese company, Shaanxi Huayu launched a functional water product, Huayu Nourishing. The product is enriched with 14 amino acids, vitamins, and other minerals.

Financial Projections

In this part of the enhanced water products business plan we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your enhanced water products. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for an enhanced water products business comes from the sales of the product itself, as well as from advertising, sponsorships, and other partnerships. Here you will find a list with a description of each of them and other possible sources of profit such as fundraising, the sale of merchandise, and leasing the place for parties and corporate events.

Projecting Expenses
In this section, all the regular expenses related to keeping the enhanced water products business running will be described. The list of operating expenses includes the cost of production, packaging, storage, distribution, wages, advertising, and other associated costs. Additionally, you should consider possible expenses related to the research and development of new products and services.

Key companies & market share insights

Some of the key companies operating in the enhanced water market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In May 2022, Coca-Cola launched a range of enhanced water products, including Vitaminwater Zero and Glacéau Smartwater.

– In June 2022, PepsiCo launched a new line of enhanced waters in the U.S. called Aquafina Plus+.

– In August 2022, Nestlé launched a range of flavoured and unflavoured waters enriched with vitamins and minerals.

Some of the prominent players in the enhanced water market include:

– The Coca-Cola Company
– PepsiCo, Inc.
– Nestlé SA
– Danone SA
– Cott Corporation
– Groupe Danone
– Hint Inc.
– Talking Rain Beverage Co.
– VOSS of Norway
– Icelandic Glacial

Global Enhanced Water Market Segmentation

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global enhanced water products market based on product type, distribution channel, and region:

1. Product Type Outlook (Revenue, USD Million, 2017 – 2030)

– Flavored
– Fortified
– Unflavored
– Unfortified

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Others

3. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

Frequently Asked Questions

[Q]: What are the Key Drivers of the Enhanced Water Products Market?
[A]: The Enhanced Water Products Market is driven by factors such as consumer preference for healthier and convenient beverage options, increasing demand for low- and zero-calorie flavored water, and rising health and fitness awareness. Additionally, the market is driven by the presence of large and small-scale manufacturers as well as the development of innovative products.

[Q]: What is the Potential Growth of the Enhanced Water Products Market?
[A]: The global enhanced water products market is expected to grow at a CAGR of 8.3% from 2021 to 2028. Factors such as a growing health-conscious consumer base, increased demand for functional beverages, and the emergence of innovative products are expected to drive market growth.

[Q]: What are the Major Challenges Facing the Enhanced Water Products Market?
[A]: Major challenges for the enhanced water products market include the availability of substitutes, such as coconut water and energy drinks, as well as the high cost of raw materials.

[Q]: Who are the Major Players in the Enhanced Water Products Market?
[A]: Major players in the Enhanced Water Products Market include PepsiCo Inc., The Coca-Cola Company, Nestlé S.A., Danone, Suntory Beverage & Food Ltd., and Cott Corporation, among others.

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Enhanced Water Products Market Size, Share, & Trends Analysis Report (2023 – 2030)

Report Overview

The global enhanced water products market was valued at USD 39.4 billion in 2022 and is projected to expand at a CAGR of 6.7% from 2023 to 2030. Enhanced water products are categorized as functional beverages that are made from purified water and contain electrolytes and extracts of natural ingredients. Such products are gaining traction due to their refreshing taste, convenience, and health benefits. Enhanced water products are available in various categories, including vitamin water, protein water, and electrolyte water, among others.

The growing consumer focus on healthy lifestyles is a key factor driving the market. Consumers are increasingly opting for functional beverages that offer various health benefits, such as improved physical and mental health, weight management, and energy. Enhanced water products are gaining popularity among health-conscious consumers due to their low sugar content and natural ingredients. The demand for such beverages is further driven by the increasing working population, which is requiring such beverages as a source of energy and refreshment.

The rising demand for convenience and on-the-go consumption has been a major factor driving the market. Consumers are increasingly looking for products that are readily available and easily consumable. In response to this, the market has seen an influx of new products, such as ready-to-drink (RTD) beverages that are packaged in single-serve containers. The popularity of such products has been increasing due to their convenience, portability, and ease of consumption. Furthermore, the increasing demand for naturally derived products is further propelling the growth of the market. Companies are launching new products with natural ingredients and low sugar content to cater to the growing demand. For instance, in October 2021, Glaceau, a subsidiary of The Coca-Cola Company, launched a new low-sugar line of enhanced waters called Glaceau Smartwater+ with natural ingredients.

Furthermore, the increasing number of product launches by the key players to cater to the rising demand for enhanced water is expected to further support the growth of the market. For instance, in August 2021, PepsiCo launched a new line of enhanced waters called 7UP+ with natural flavors and zero sugar. These products are designed to meet the demand of health-conscious consumers. Additionally, the increasing focus of companies on marketing and promotional activities is further contributing to the growth of the market. Companies are launching campaigns to target the health-conscious consumers and create brand awareness.

Product Insights

The enhanced water segment is anticipated to grow at the fastest CAGR of 8.5% over the forecast period. Increasing consumer demand for healthy beverages and growing health consciousness among individuals are driving the growth of the enhanced water segment. According to an article published by Statista, in 2019, the global consumption of flavored/functional water was around 4.1 billion liters, representing a CAGR of 8.3% from 2015 to 2019. In addition, growing consumer preferences for natural ingredients such as vitamins and minerals, and the availability of enhanced water in various flavors is further driving the growth of the market.

The ready-to-drink segment is anticipated to grow at a CAGR of 7.7% during the forecast period. Rising demand for convenience beverages and increasing popularity of sports and energy drinks are some of the key factors driving the market revenue. According to an article published by the International Bottled Water Association, in 2020, the global consumption of bottled water was approximately 241 billion liters in 2019, representing an increase of 4.2% from 2018. Furthermore, the availability of a variety of ready-to-drink beverages such as flavored water, energy drinks, and sports drinks is further expected to fuel the growth of the segment.

Distribution Channel Insights

The supermarkets and hypermarkets segment captured the major share of over 40.7% in 2022. Supermarkets & hypermarkets are one of the most preferred distribution channels for enhanced water products due to their wide product range and availability. The presence of a wide variety of products enables customers to make efficient purchasing decisions. Moreover, supermarkets & hypermarkets provide promotional offers and discounts that further attract customers to purchase enhanced water products.

The online segment is anticipated to expand at the highest CAGR of 12.5% over the forecast period. The growth of the segment can be attributed to the rising penetration of internet and smartphones across the globe. Customers are increasingly opting for the convenience of online shopping for enhanced water products. This is mainly due to the ease of ordering with just a few clicks and also the availability of attractive discounts. Additionally, the launch of dedicated e-commerce websites for enhanced water products is further driving the growth of the segment.

Type Insights

The flavored segment accounted for the largest revenue share of 54.8% in the year 2022. The increased demand for flavored water due to its refreshing taste is expected to drive the segment. The manufacturers are investing in product innovation to cater to the changing preferences of consumers. For instance, in February 2021, PepsiCo, Inc. launched a new product line, Bubly Plus, which has added vitamins and minerals to its existing range of flavored sparkling water. Additionally, the increasing prevalence of health consciousness among consumers is also expected to drive the segment.

The functional segment is anticipated to expand at the highest CAGR of 10.7% over the forecast period. The rising consumption of enhanced water due to its health benefits is expected to propel the segment. Enhanced water is enriched with various minerals, electrolytes, and vitamins that improve the overall health. For instance, the company, The Coca-Cola Company, has launched a product called AHA, which is a combination of sparkling water infused with real fruit flavors, containing minerals and electrolytes. This product caters to the health-conscious consumers and is expected to drive the segment in the forecasted period.

Regional Insights

Europe is expected to account for the largest market share in 2022, driven by the growing health consciousness among consumers in the region. In order to lead a healthier lifestyle, consumers in the region are opting for healthier options such as enhanced water. For instance, in April 2021, a German company, O2C launched a functional water product, O2C Refresh, made from natural spring water. The product is rich in electrolytes and is naturally sweetened with stevia.

Asia Pacific is expected to witness the fastest growth in the coming years. Increasing disposable income, coupled with the growing health consciousness among consumers, is expected to drive the growth of the market in the Asia Pacific. Increasing awareness regarding the health benefits of enhanced water among consumers is expected to drive the growth of the market. For instance, in April 2022, a Chinese company, Shaanxi Huayu launched a functional water product, Huayu Nourishing. The product is enriched with 14 amino acids, vitamins, and other minerals.

Financial Projections

In this part of the enhanced water products business plan we will provide a detailed breakdown of all income and expense categories of the business. These forecasts include cash flow projections and capital requirements for your enhanced water products. Usually, these projections are drafted for a 5-year period.

Revenue Assumptions
The main source of revenues for an enhanced water products business comes from the sales of the product itself, as well as from advertising, sponsorships, and other partnerships. Here you will find a list with a description of each of them and other possible sources of profit such as fundraising, the sale of merchandise, and leasing the place for parties and corporate events.

Projecting Expenses
In this section, all the regular expenses related to keeping the enhanced water products business running will be described. The list of operating expenses includes the cost of production, packaging, storage, distribution, wages, advertising, and other associated costs. Additionally, you should consider possible expenses related to the research and development of new products and services.

Key companies & market share insights

Some of the key companies operating in the enhanced water market are increasingly focusing on product launches and expansion of the distribution channel to gain prominent visibility among consumers. Some of the initiatives are:

– In May 2022, Coca-Cola launched a range of enhanced water products, including Vitaminwater Zero and Glacéau Smartwater.

– In June 2022, PepsiCo launched a new line of enhanced waters in the U.S. called Aquafina Plus+.

– In August 2022, Nestlé launched a range of flavoured and unflavoured waters enriched with vitamins and minerals.

Some of the prominent players in the enhanced water market include:

– The Coca-Cola Company
– PepsiCo, Inc.
– Nestlé SA
– Danone SA
– Cott Corporation
– Groupe Danone
– Hint Inc.
– Talking Rain Beverage Co.
– VOSS of Norway
– Icelandic Glacial

Global Enhanced Water Market Segmentation

This report forecasts growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2017 to 2030. For this study, Grand View Research has segmented the global enhanced water products market based on product type, distribution channel, and region:

1. Product Type Outlook (Revenue, USD Million, 2017 – 2030)

– Flavored
– Fortified
– Unflavored
– Unfortified

2. Distribution Channel Outlook (Revenue, USD Million, 2017 – 2030)

– Supermarkets & Hypermarkets
– Online
– Others

3. Regional Outlook (Revenue, USD Million, 2017 – 2030)

– North America
– Europe
– Asia Pacific
– Central & South America
– Middle East & Africa

Frequently Asked Questions

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