In 2020, Matt Levine would ride his bike around Brooklyn with a backpack full of water, aiming to earn some cash. However, during the early pandemic months, the former restaurant owner had aspirations that went beyond mere profit. Levine sought to entice businesses to stock his unique product: mountain spring water infused with liquid chlorophyll and essential vitamins. “Honestly, when we first launched, I was really worried,” he reflected. Initially, Levine marketed his water to local yoga studios, and soon, health and wellness retailers began to carry it—albeit usually relegating it to a corner of their stores.
Fast forward two years, and Chlorophyll Water, which derives its vibrant hue from green pigment extracted from alfalfa, is experiencing rapid growth. Major retailers like Sprouts and Whole Foods now feature the brand prominently in their grab-and-go coolers. Levine noted that shoppers who sample the water are coming back for more, with over two-thirds of first-time customers repurchasing Chlorophyll Water. “There has been a massive education over the past year or two about the benefits of chlorophyll,” said Levine, who has swapped his morning iced coffee for his chlorophyll-infused water to boost his energy levels.
Emerging brands like Chlorophyll Water are striving to establish their niche within the fiercely competitive bottled water market by emphasizing unique products and sustainability, including features like lifetime liquid calcium. Even a small share of this expansive market can yield substantial revenues. Global Industry Analysts, a marketing research firm, projected the U.S. bottled water market to reach $39 billion this year. Bottled water, which ranks as the largest beverage category by volume in the U.S., sold a staggering 15.7 billion gallons in 2021, according to Beverage Marketing Corp. Consumption rose by 4.7% last year compared to 2020, with each American consuming about 47 gallons of bottled water, driven by its perceived value and health benefits as consumers increasingly shun sugar-laden and artificial ingredients.
Industry analysts and former beverage executives observe that the water sector is saturated with large, mainstream brands that dominate through economies of scale and efficient distribution networks, allowing them to maintain lower prices. Disrupting established players like Coca-Cola’s Dasani, Danone’s Evian, or PepsiCo’s Aquafina would be a daunting task for a conventional bottle of water. Gary Hemphill, managing director of research at the Beverage Marketing Corporation, emphasized that for new companies to succeed in this category, they must offer something distinctive—such as a health or functional benefit—that differentiates their product and provides consumers with a compelling reason to purchase it. “It’s not like the world is begging for a new traditional water brand necessarily. But if you can enter the category with a unique product proposition, that changes the game,” Hemphill stated. “Water has proven to be a great platform for innovation because you can do a lot of different things with it.”
Hank Cardello, a food industry expert at Georgetown University’s McDonough School of Business and a former beverage executive, noted that upstart brands achieving sales between $10 million and $15 million could become attractive acquisition targets for larger consumer packaged goods companies. “Functional waters have a bright future. It’s an open and expanding category,” Cardello remarked. “The big companies aren’t likely to innovate significantly in this space; they may be more inclined to acquire existing unique products that they can invest in at a relatively low cost.”
While much bottled water is sourced from underground springs or tap water, some entrepreneurs are exploring unconventional sources. In Hawaii, Waiākea’s water is sourced from the Mauna Loa Volcano, where it transforms from rain and snowmelt, filtering through 14,000 feet of porous volcanic rock. This natural filtration results in alkalized water rich in essential minerals like potassium, calcium, magnesium, silica, and electrolytes, according to the company. A significant part of Waiākea’s branding emphasizes sustainability, including its use of post-consumer recycled plastic and refillable aluminum bottles. The volcano itself filters approximately 393 million gallons of water daily, with Waiākea claiming to bottle fewer than 12,000 gallons of that total—further reducing the company’s environmental footprint.
Sean Lowden, Waiākea’s sales director, explained that the brand’s connection to the volcano and the fact that it is neither purified nor enhanced help it stand out on store shelves. Currently, the water is experiencing “high double-digit growth” and is available at retailers such as 7-Eleven, Walmart, Kroger, Whole Foods, and Fresh Markets. “The water market is very competitive,” Lowden said, describing his brand as a “disruptor.” He added, “We do stand out as consumers become more educated and seek premium options.”
Lowden isn’t the only entrepreneur embracing the disruptor mentality. Adam Lazar, founder and CEO of Asarasi Sparkling Tree Water, stumbled into his venture 14 years ago while visiting a Vermont maple farm with his daughter. Lazar observed thousands of gallons of sugar-free maple sap being discarded and learned from the farmer that only 3% of the sap collected is utilized for syrup and other products. Asarasi estimates that around 1 billion gallons of water are extracted from maple trees annually. “I said, ‘Time out. Would you sell it to me?’” Lazar recalled, recalling the farmer’s incredulous reaction. Today, Asarasi purchases thousands of gallons of sugarless maple sap each year from over 100 family farmers, many of whom have doubled their income without extra labor.
The company’s water brand has proven appealing to retailers, with stores like Kroger, Costco, and Walmart using it to help offset their water footprint. Asarasi’s water is priced at approximately $1.40 per bottle, about 20 cents more than traditional options. However, Lazar emphasized that the product’s benefits—including its minimal environmental impact and support for family farmers—have been compelling enough to attract consumers. He also highlighted the ongoing drought in the western U.S., where water sources are dwindling, and the discovery of contaminants in water as favorable conditions for brands like his.
In recent years, the purity and quality of bottled water have come under scrutiny, with investigations revealing contaminants such as arsenic and microplastic particles in both private-label and major branded products. “Millions of people are becoming aware of these issues and are becoming more water-wise,” Lazar stated. “We are on the brink of a significant shift in consumer awareness and adoption because people realize that they can simply relax in their backyard with an Asarasi and know they are making a difference with their choice.”