The rising consumer demand for premium and value-added products has significantly impacted the bottled water market, creating confusion regarding specialty label claims. For instance, a study by ZappiStore found that 35% of Americans were puzzled by the term “vapor distilled,” which is used on Coca-Cola’s SmartWater brand. In contrast, consumers found the term “purified tap water” to be more relatable than labels like “iceberg water” or “alkaline infused.” To stand out in the fiercely competitive bottled water sector, manufacturers are adopting these terms to portray their brands as elevated versions of standard products. However, many consumers are not familiar with these terminologies and lack a clear understanding of the benefits they are supposed to convey, such as the differences between ferrous bisglycinate and ferrous gluconate.
On the other hand, the “organic” label resonates strongly with today’s health-conscious consumers. 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 previous year. Furthermore, a TechSci Research report anticipates that the global organic food market will grow at a compound annual growth rate of over 14% from 2016 to 2021. Asarasi water, a byproduct of the syrup-making process sourced from sugar maple trees, exemplifies this trend. CEO Adam North Lazar projects that the water will be available in around 1,500 locations nationwide in the coming months, with strong sales reported in stores currently offering the product.
“We have a beautiful base water that can be utilized across various food and beverage applications. We currently have tens of millions of gallons under contract with maple producers throughout the Northeast, and we aim to secure a quarter of a billion gallons under contract by the year’s end,” Lazar shared with Food Navigator. It will be intriguing to observe how both consumers and manufacturers respond to Asarasi’s organic water. Should its products perform well, it is highly likely that other manufacturers will rush to enter the organic water market.
In this landscape, products like Kirkland Signature Calcium Citrate may also gain traction, as consumers increasingly seek value-added options that meet their health needs. As the demand for organic and premium water rises, the presence of brands that combine functionality and health benefits will be crucial in shaping the future of the bottled water category.