866-997-4948(US-Canada Toll Free)

Bottled Water - UK - March 2015

Published By :

Mintel

Published Date : Mar 2015

Category :

Bottled Water

No. of Pages : 103 Pages

That the concept of water filling stations resonates with almost four in 10 bottled water users indicates that opportunities are ripe for brands to explore this scheme. As well as helping to position companies as forward thinking and socially responsible, such a move would be in tune with the younger generation’s increasingly on-the-go lifestyles, helping to heighten engagement.
Table of Content

Introduction

Definitions
Natural mineral water
Spring water
Table water
Abbreviations

Executive Summary

The market
Figure 1: Forecast of UK value sales of bottled water, 2009-19
Market factors
The sugar debate should benefit the bottled water category
Second consecutive year of warm summer weather boosts usage
Increasing consumer confidence should benefit bottled water
Figure 2: Trends in how respondents would describe their financial situation: Agreement with the statement ‘Healthy – I have money left at the end of the month for a few luxuries or to add to my savings’, February 2009-December 2014
Companies, brands and innovation
Brands drive bottled water sales growth in 2014
Figure 3: Leading brands’ shares in the UK bottled water off-trade market, by value, 2014*
NPD activity reaches a five-year high in 2014
Hike in total adspend in 2014
The consumer
Unflavoured still water continues to dominate usage
Figure 4: Frequency of drinking bottled water, by sub-category, December 2014
Bottled water is most commonly drunk at home
Figure 5: Occasions for usage of bottled water, by sub-category, December 2014
Antioxidants, energy-boosting ingredients and protein attract interest
Figure 6: Usage of and interest in buying different types of bottled water products, December 2014
Strong associations between drinking water and skin health
Figure 7: Attitudes towards bottled water, December 2014
A third of flavoured/sparkling water users want flavoured water to be calorie-free
Figure 8: Attitudes towards flavoured and sparkling water, December 2014
What we think

Issues and Insights

Scope to make flavoured water more appealing to adults
The facts
The implications
Water filling stations can tap into consumers’ on-the-go lifestyles
The facts
The implications
Electrolytes, energy-boosting ingredients, protein and botanicals provide added value opportunities
The facts
The implications

Trend Application

Trend: Sense of the Intense
Trend: Help Me Help Myself
Trend: Factory Fear

Market Drivers

Key points
The sugar debate should benefit the bottled water category
Second consecutive year of warm summer weather boosts usage
Figure 9: Mean temperature, rainfall and sunshine hours over summer (June, July and August), UK, 2009-14
Danone partners with TfL for free bottled water giveaway
Ageing population presents a challenge
Figure 10: Trends in the age structure of the UK population, 2009-14 and 2014-19
Increasing consumer confidence should benefit bottled water
Figure 11: Trends in how respondents would describe their financial situation: Agreement with the statement ‘Healthy – I have money left at the end of the month for a few luxuries or to add to my savings’, February 2009-December 2014

Strengths and Weaknesses

Strengths
Weaknesses

Who’s Innovating?

Key points
NPD activity reaches a five-year high in 2014
Figure 12: Share of NPD in the UK bottled water market as a percentage of all launches in the non-alcoholic drinks market, 2009-14
Brands up their game in 2014
Figure 13: Share of NPD in the UK bottled water market, branded vs own-label, 2010-14
Nestlé and Danone are at the top by NPD
Figure 14: Share of NPD in the UK bottled water market, top 10 companies in 2014, 2010-14
Danone ventures into the flavoured sparkling water segment in 2015
Coca-Cola re-enters the UK bottled water market with Glacéau smartwater
Energy waters enter the mainstream
Environmentally friendly launches reached a five-year high in 2014
Figure 15: Top 10 claims in new launches in the UK bottled water market, 2010-14

Market Size and Forecast

Key points
A second consecutive year of 7% annual growth in value sales
Figure 16: UK value and volume sales of bottled water, 2009-19
The future
Figure 17: Forecast of UK volume sales of bottled water, 2009-19
Figure 18: Forecast of UK value sales of bottled water, 2009-19
Factors used in the forecast

Segment Performance

Key points
Still unflavoured is the off-trade market’s growth engine
Figure 19: UK value and volume off-trade sales of bottled water, by segment, 2012-14
Strongest growth in 2014 seen in flavoured still water
Share held by flavoured sparkling water falls
Off-trade sales overtake on-trade in 2014
Figure 20: UK volume and value sales of bottled water, off-trade and on-trade, 2009-14

Market Share

Key points
Brands drive bottled water sales growth in 2014
Figure 21: Leading brands’ sales and shares in the UK bottled water off-trade market, by value and volume, 2012-14
Category leader Volvic is top-performing brand in 2014
Buxton leapfrogs Highland Spring into third place
Britvic suffers sales decline as it rationalises bottled water portfolio
Figure 22: Leading manufacturers’ sales and shares in the UK bottled water off-trade market, by value and volume, 2012-14
Activity in flavoured waters fuels growth for manufacturers
Britvic
Background
Product range
Recent activity and innovation
Brand communication and promotion
Coca-Cola
Background
Product range
Recent activity and innovation
Brand communication and promotion
Danone Waters
Background
Product range
Recent activity and innovation
Brand communication and promotion
Highland Spring Group
Background
Product range
Recent activity and innovation
Brand communication and promotion
Nestlé Waters
Product range
Recent activity and innovation
Brand communication and promotion

Brand Communication and Promotion

Key points
Hike in total adspend in 2014
Figure 23: Main monitored media advertising spend on bottled water, 2010-14
Danone remains biggest spender on ad space in 2014
Figure 24: Above-the-line advertising spend on bottled water, by top 10 advertisers in 2014, 2010-14
Evian uses social and digital media to help Londoners beat the January blues
Newly launched Glacéau smartwater tops adspend in 2014
Figure 25: Above-the-line advertising spend on bottled water, by top 10 brands in 2014, 2010-14
Sport remains a major focus for bottled water brands
Nestlé doubles adspend
Highland Spring plays on provenance in first above-the-line campaign for sparkling

Brand Research

What you need to know
Brand map
Figure 26: Attitudes towards and usage of selected brands, December 2014
Key brand metrics
Figure 27: Key metrics for selected brands, December 2014
Brand attitudes: Glacéau vitaminwater has a particularly innovative brand image
Figure 28: Attitudes, by brand, December 2014
Brand personality: Buxton lacks upbeat traits compared to other brands
Figure 29: Brand personality – macro image, December 2014
San Pellegrino has stylish and sophisticated brand associations
Figure 30: Brand personality – micro image, December 2014
Brand analysis
Volvic enjoys an all-round strong image
Figure 31: User profile of Volvic, December 2014
San Pellegrino enjoys a more sophisticated and stylish image due to sparkling proposition
Figure 32: User profile of San Pellegrino, December 2014
Evian has very similar brand image to Volvic
Figure 33: User profile of Evian, December 2014
Buxton lacks upbeat associations but is seen as offering good value
Figure 34: User profile of Buxton, December 2014
Glacéau vitaminwater has a strong point of difference, but has niche appeal
Figure 35: User profile of Glacéau vitaminwater, December 2014

The Consumer – Usage of Bottled Water

Key points
Unflavoured still water continues to dominate usage
Figure 36: Frequency of drinking bottled water, by sub-category, December 2014
Figure 37: Usage of different types of bottled water at least once a week in the last three months, by age, December 2014
Families are valuable to the market
Usage of sparkling water shows an upmarket skew
Figure 38: Usage of different types of bottled water at least once a week in the last three months, by socio-economic group, December 2014

The Consumer – Usage Occasions

Key points
Bottled water is most commonly drunk at home
Figure 39: Occasions for usage of bottled water, by sub-category, December 2014
The portable nature of bottled water
Unflavoured, still water is most popular for exercise
Sparkling water is the top choice for eating/dining out
Most usage occurs during the afternoon
Figure 40: Times of day at which bottled water is drunk, December 2014

The Consumer – Interest in Different Types of Bottled Water Products

Key points
Antioxidants, energy-boosting ingredients and protein attract interest
Figure 41: Usage of and interest in buying different types of bottled water products, December 2014
Energy waters provide exciting growth opportunities
Functional sports benefits provide NPD opportunities
57% of 25-34s who buy bottled water are interested in bottled water with natural sweeteners
Botanicals can lend an element of sophistication
Scope for more unusual flavour NPD
Bottled water brands can do more to appeal to children

The Consumer – Attitudes towards Bottled Water

Key points
Strong associations between drinking water and skin health
Figure 42: Attitudes towards bottled water, December 2014
The need to drink water when consuming alcohol is widely accepted
Notable interest in water filling stations
Storage is an issue

The Consumer – Attitudes towards Flavoured and Sparkling Water

Key points
A third of flavoured/sparkling water users want flavoured water to be calorie-free
Figure 43: Attitudes towards flavoured and sparkling water, December 2014
Sparkling water benefits from favourable comparisons to CSDs
Room for brands to move into flavoured sparkling water
22% prefer to flavour drinks themselves

Appendix – Market Size and Forecast

Figure 44: Best- and worst-case forecasts for the total bottled water market, by volume, 2014-19
Figure 45: Best- and worst-case forecasts for the total bottled water market, by value, 2014-19

Make an enquiry before buying this Report

Please fill the enquiry form below.

  • Full Name *
  • Your Email *
  • Job Title *
  • Company *
  • Phone No. * (Pls. Affix Country Code)
  • Message
  • Security Code *