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Global U.S. Bottled Water Market Y-o-Y Growth Projections, By Region – 2022-2032

U.S. Bottled Water Market in the United States is anticipated to reach a market valuation of almost US$ 22.5 billion by the end of 2024, up from an expected value of nearly US$ 17 billion in 2017. The U.S. bottled water market is anticipated to grow at a CAGR of 4.0% from 2016 to 2024. Over 2016, it is predicted that the U.S. bottled water market would offer an absolute monetary opportunity of more than US$ 6 Bn in 2024.

If the water is correctly packaged, there is an increase in demand for clean and hygienic bottled water in the United States due to growing concerns surrounding a variety of health issues, including those related to neurological illnesses, gastrointestinal diseases, and reproductive issues.

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Opportunities in the U.S. bottled water market

Environment-friendly packaging of bottled water

As stated above, there are increasing concerns regarding environmental degradation due to the packaging of bottled water. Hence, there is an increased emphasis on the development of recyclable and ecofriendly packaging materials for bottled water.

This is expected to open up opportunities for various players operating in the U.S. bottled water market, making it a lucrative business for key players operating in this space in the long run. For example, in July 2015, Nestlé launched its new bottled water brand called ‘Natural Spring Water’. The water packaged under this brand comes in 100% recycled plastic (rPET) bottles, excluding the label and cap.

Analyst Viewpoint

High price of PET segment is adversely affecting the U.S. bottled water market

PET segment is widely used due to its relatively low cost and can be recycled. PET is reliable and environmental friendly because 100% recycling is possible. This will open newer avenues of growth for the bottled water market in the U.S. However, the market expansion of the U.S. bottled water market is somewhat walled by the high pricing structure of the PET segment. Moreover, the use of PC polycarbonates bottles is diminishing greatly due to its adverse environmental impact.

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Restraints restricting the growth of the U.S. bottled water market

The companies producing bottled water are facing increasing criticism for their manufacturing processes from environmentalists, as a large amount of energy is needed for water extraction, water processing and bottling. Another dimension to this aspect is the environmental pollution caused due to improper disposal of plastic bottles – this factor is expected to hinder the growth of the U.S. bottled water market in the future.

For example, in February 2016, sale of plastic water bottles was banned in the U.S. city of San Francisco to check environmental pollution. Moreover, increasing number of norms and regulations related to the packaging of bottled water is expected to have a negative impact on the growth of the U.S. bottled water market.

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