Why sell a sparkling water dispenser?
Can investors be assured that sparkling water is the right horse to back?
Sparkling water is surging – and all available research can prove it. An astonishingly consistent influx of market analyses paint a very optimistic picture of the present and future opportunities implied.
Even in the midst of pandemic shockwaves, the average projection for compound annual growth rate (CAGR) has stood at a resolute 10 to 12.6% across Europe, Asia, the Middle East, Africa and North America.
But all windows of opportunity are temporary, and some close quicker than they open. Even with an upswing underway and poised to continue for a few years, no distributor wants to arrive late to the party and behind the curve.
Younger people lean towards sparkling water consumption
Nothing dooms a company to obsolescence quicker than failing to secure a future demographic. Today’s trendsetters are tomorrow’s dominant consumers, and sparkling water makes up the most popular beverages among millennials and generation z.
Newness is a short-lived state, and distributors must take advantage of it while they can. The concept of novelty on the market has perhaps the most limited shelf life of all. Once it fizzles out, end users will come to expect regular access to a product as a matter of course. This expectation is a matter of when, not if.
For distributors, the writing is on the wall: your competitors are selling sparkling water and getting rich off it. It’s time to take the lead with a product that provides carbonation quicker and to a higher standard.
What’s so special about sparkling water anyway?
We have already covered why people are switching to sparkling water for the health benefits, but growth on this scale only comes from a multitude of factors.
Distributors who are still undecided about entry into the market may be wondering what the fuss is all about. After all, how different are these brands and why must you choose discerningly?
The truth is: sparkling water has every bit as much variability as still water, flavoured or unflavoured. A distributor or facilities manager should not be willing to provide mediocre sparkling water any more than they would provide lukewarm unfiltered tap water for daily hydration.
How do consumers choose?
Brand loyalty to particular sparkling water beverages runs deep, especially in the USA. This is not just a result of the usual drivers of such loyalty (namely first exposure and habit) but runs off additional causes.
Consumers tend to determine their choice of sparkling water by:
- Flavour options and taste profiles. Even blind taste tests of unflavoured sparkling water can determine differences between brands.
- Lack of processed chemicals and infusion of healthy minerals. This is closely tied to the personal health angle. Awareness over ingredients amongst consumers has been on the rise for years and is not going anywhere.
- Company sustainability – especially on plastic waste. Consumers love enjoying their products guilt-free, and supporting ethical companies with their wallets.
- Quality of carbonation. This is the foundation that the aforementioned flavour options and taste profiles are built upon. Carbonation comes in all forms, affecting both taste potency and the length of time water can be carbonated before flattening again.
- Versatility – some waters pair better with coffee or food than others. Sparkling water is even seeing increased use in baking. Pancake Day 2022 came with a flurry of stories hailing its usefulness as an ingredient.
Such a wealth of motives driving new consumer habits is great news for distributors, as there are numerous angles they can now take to drive up sales. A discerning customer on the hunt for the best option needs a premium product.
Click here to see which of Borg & Overström’s dispensers come fitted with top-of-the-line Deep Sparkle® technology.