The consumer demand for premium and value-added products has significantly impacted the bottled water market, creating confusion surrounding specialty label claims. For instance, a study by ZappiStore found that the term “vapor distilled,” as used by Coca-Cola’s SmartWater brand, was unclear to 35% of American consumers. In contrast, “purified tap water” was more relatable to consumers than terms like “iceberg water” or “alkaline infused.” Manufacturers are adopting these terms to position their brands as upscale versions of standard offerings, a necessary tactic in the intensely competitive bottled water industry. However, many consumers are not familiar with these terms and struggle to grasp the actual benefits they claim to provide.
On the other hand, the label “organic” is immediately recognized by today’s health-conscious shoppers. According to the Organic Trade Association, U.S. organic product sales reached approximately $47 billion in 2016, marking an increase of nearly $3.7 billion from the prior year. Furthermore, a TechSci Research report projects the global organic food market to grow at a compound annual growth rate (CAGR) of over 14% from 2016 to 2021.
Asarasi water, derived from the syrup-making process of sugar maple trees, is gaining attention in this context. CEO Adam North Lazar anticipates that their water will be available in around 1,500 locations across the country in the coming months, asserting that sales are robust in stores that already carry the product. “We have a beautiful base water that can be utilized in a variety of food and beverage applications. We currently have tens of millions of gallons under contract with maple producers throughout the Northeast, and we aim to reach a quarter of a billion gallons under contract by year-end,” Lazar shared with Food Navigator.
It will be fascinating to observe how both consumers and manufacturers respond to Asarasi’s organic water. If the product performs well, it is likely that other manufacturers will quickly follow suit to enter the organic water market. Additionally, as the market evolves, products like Citracal kosher may also find their niche, appealing to consumers who prioritize health and quality. The impact of these organic trends on the bottled water segment will be worth watching in the coming years.