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The water enhancer market size is forecast to increase by USD 1.69 billion, at a CAGR of 10.03% between 2023 and 2028. In today's health-conscious society, consumers are placing greater emphasis on wellness and self-care. One area of significant growth is the market for water enhancers. These products offer a more flavorful and refreshing alternative to plain water, making it easier for individuals to meet their daily hydration needs. The increasing demand for water enhancers has led to an expansion of distribution channels, with major retailers and online platforms now carrying a wide range of options. Brands are responding by introducing innovative flavors and functional ingredients to differentiate themselves in the market. This trend is expected to continue, as consumers seek out convenient and effective ways to support their health and wellness goals. The market report provides market size, historical data spanning from 2018 - 2022, and future projections, all presented in terms of value in USD billion for each of the mentioned segments.
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The global market for water enhancer products has experienced significant growth in recent years, driven by the increasing awareness of health and fitness standards worldwide. Non-alcoholic beverages, including flavored water enhancers, have gained popularity as alternatives to conventional beverages, such as carbonated soft drinks, which are associated with health risks. Digitalisation and social media platforms have played a crucial role in marketing and promoting these products. Functional ingredients, such as vitamins and nutrients, are commonly used in water enhancer products to provide additional health benefits. Flavored water enhancers often contain concentrated flavored liquids derived from organic fruit or natural sources. Energy drinks and sports drinks, which also contain functional ingredients, are sometimes categorized as water enhancers due to their similarities. Functional beverages, including water enhancers, are fortified with vitamins, minerals, and other nutrients to enhance their nutritional value. Vitamin sources and flavor enhancers are essential components of these products. The market for water enhancers is expected to continue growing as consumers seek healthier alternatives to conventional beverages. However, obesity and other health risks associated with excessive consumption of sweetened beverages remain concerns.
Increasing focus on health and wellness by consumers is notably driving market growth. The water enhancer market has witnessed significant growth due to increasing consumer preference for non-carbonated beverages and the desire to address nutritional gaps. These beverages offer a variety of flavor options, providing consumers with an alternative to traditional soft drinks. Water enhancers are fortified with essential vitamins, minerals, electrolytes, amino acids, and proteins, catering to the demands of health-conscious consumers. Lifestyle changes and the pursuit of healthy energy drinks have fueled the market's expansion. Herbal additives and natural, plant-based ingredients are increasingly popular, adding to the product differentiation. Concentrated flavor enhancers offer accessibility and convenience, allowing consumers to customize their beverages according to their taste preferences.
Further, the water enhancer market encompasses a wide range of products, including concentrated flavored liquids, tea, coffee, and organic fruit-flavored beverages. These beverages cater to diverse taste preferences and offer a nutritional profile that aligns with consumers' health goals. Despite the numerous benefits, it is essential to consider the taste, texture, and nutritional profile of water enhancers to ensure they meet individual preferences and requirements. Companies such as Britvic PLC and Benefit drops have capitalized on this trend, offering a wide range of flavors, including Lemon Lime, Raspberry Peach, and Strawberry, to cater to various consumer preferences. Thus, such factors are driving the growth of the market during the forecast period.
Introduction of new flavors and product ranges is the key trend in the market. The water enhancer market is experiencing a significant surge in demand for non-flavored beverages, as consumers seek healthier alternatives to traditional sugary drinks. In response, market participants are expanding their product lines to cater to this trend, offering a wide variety of flavored and fortified beverages. Amino acids, protein, and digestive health are key areas of focus, as consumers look to address nutritional gaps in their diets.
Additionally, flavors like lemon lime, raspberry peach, and strawberry continue to dominate the market, while new entrants like H2ROSE, which uses botanical extracts and natural, plant-based ingredients, offer unique taste, texture, and nutritional profiles. However, it is essential to consider potential health risks associated with the consumption of carbonated soft drinks and concentrated flavored liquids. Tea and coffee brands have also entered the market with their own water enhancer offerings, providing consumers with even more flavor options. Overall, the water enhancer market is expected to continue growing, driven by consumer preferences for convenience, taste, and health benefits. Thus, such trends will shape the growth of the market during the forecast period.
Concerns about quality of ingredients and packaging is the major challenge that affects the growth of the market. The water enhancer market encompasses a wide range of non-alcoholic, non-carbonated beverages designed to add flavor and enhance the taste of water. With an increasing focus on health and lifestyle changes, consumers seek out beverages that offer health benefits beyond simple hydration. Fortified beverages, such as those containing amino acids and protein, are gaining popularity for their role in supporting digestive health and providing energy. These beverages come in various forms, including powdered mixes and concentrated flavor enhancers. Brands like Robinsons and Britvic PLC offer a variety of flavor options, from citrus and berry blends to herbal infusions. Product differentiation is key in this market, with companies emphasizing the natural, plant-based, and botanical extracted ingredients in their offerings. However, concerns regarding the use of additives and low-quality ingredients persist. Some water enhancers contain propylene glycol as a preservative, which can lead to health risks when consumed in high quantities. The build-up of lactic acid can cause acidosis, potentially leading to kidney failure.
Moreover, the use of plastic in packaging has become a significant issue. Protests and campaigns against plastic in water bottles have negative implications for the market, as plastic emits harmful greenhouse gases as it decomposes. The increasing popularity of bottled water and soft drinks, particularly carbonated varieties, further exacerbates these environmental concerns. To address these challenges, companies are exploring alternative packaging solutions and focusing on the nutritional profile of their products. Natural, herbal, and organic fruit flavors are becoming more prevalent, as consumers seek out healthier, more sustainable options. The taste, texture, and nutritional profile of these beverages are crucial factors in their success. Hence, the above factors will impede the growth of the market during the forecast period
The market forecasting report includes the adoption lifecycle of the market, covering from the innovator’s stage to the laggard’s stage. It focuses on adoption rates in different regions based on penetration. Furthermore, the market forecast report also includes key purchase criteria and drivers of price sensitivity to help companies evaluate and develop their market growth analysis strategies.
Customer Landscape
Companies are implementing various strategies, such as strategic alliances, partnerships, mergers and acquisitions, geographical expansion, and product/service launches, to enhance their presence in the market.
The market research and growth report also includes detailed analyses of the competitive landscape of the market and information about key companies, including:
Qualitative and quantitative analysis of companies has been conducted to help clients understand the wider business environment as well as the strengths and weaknesses of key market players. Data is qualitatively analyzed to categorize companies as pure play, category-focused, industry-focused, and diversified; it is quantitatively analyzed to categorize companies as dominant, leading, strong, tentative, and weak.
The flavored water enhancer segment is estimated to witness significant growth during the forecast period. The market for water enhancers, also known as concentrated flavor enhancers, has witnessed significant growth due to the increasing preference for non-flavored beverages with added health benefits. Consumers seek variety in their hydration options, leading to the popularity of fortified beverages that contain essential amino acids, protein, and vitamins for digestive health and overall wellness. Lifestyle changes and the desire for healthy energy drinks have fueled this trend.
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The flavored water enhancer segment accounted for USD 1.11 billion in 2018. Water enhancers can be added to tea, coffee, and even organic fruit waters, providing a more enjoyable and flavorful hydration experience. Despite the numerous health benefits, it is essential to be aware of potential health risks associated with excessive consumption of sweetened or carbonated beverages, including those containing herbal or botanical extracts. Soft drinks, while popular, often lack the necessary nutrients and can contribute to poor health outcomes. Water enhancers offer a more balanced and healthier alternative, providing consumers with the taste and texture they desire while addressing their nutritional needs.
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North America is estimated to contribute 40% to the growth of the global market during the forecast period. Technavio’s analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period. The global beverage industry is witnessing a significant shift towards non-alcoholic beverages, with water enhancers gaining popularity due to their ability to offer enhanced flavors and nutritional benefits. These products cater to the increasing demand for beverages that align with global fitness standards and support active lifestyles. Digitalisation and social media platforms have played a pivotal role in the growth of the water enhancer market, enabling brands to reach consumers directly and promote their offerings. Vitamin sources, such as B vitamins and C, are commonly used in water enhancer products to cater to the nutritional needs of consumers.
Additionally, energy, workout, and fitness are key areas of focus for water enhancer manufacturers, with functional beverages, energy drinks, and sports drinks offering added benefits. Vitamins, minerals, and electrolytes are essential nutrients that are often added to these products to enhance performance. Flavored water enhancers, available in various flavors such as lemon lime and citrus ginger, cater to the taste preferences of consumers. Artificial colors, flavors, and sweeteners are commonly used in water enhancer products, but there is a growing trend towards natural and organic options. Brands are focusing on using natural sources for flavors and sweeteners to cater to the increasing demand for healthier options. The market for water enhancer products is expected to continue its growth trajectory, driven by changing consumer preferences and the increasing focus on health and wellness.
The market research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in "USD Billion " for the period 2024-2028, as well as historical data from 2018 - 2022 for the following segments.
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The market is experiencing significant growth due to the increasing awareness of health and wellness. Consumers are seeking out products that can improve the taste and quality of their water, leading to a rise in demand for water enhancers. These products offer various benefits such as added vitamins, minerals, and flavors, making them an attractive option for individuals with busy lifestyles. The industry is driven by factors such as increasing health consciousness, growing demand for functional beverages, and the availability of a wide range of flavors. Moreover, the convenience and portability of water enhancers make them a popular choice among consumers. The market is expected to continue its growth trajectory in the coming years, with key players focusing on innovation and product development to meet the evolving needs of consumers.
Market Scope |
|
Report Coverage |
Details |
Page number |
148 |
Base year |
2023 |
Historic period |
2018 - 2022 |
Forecast period |
2024-2028 |
Growth momentum & CAGR |
Accelerate at a CAGR of 10.03% |
Market Growth 2024-2028 |
USD 1.69 billion |
Market structure |
Fragmented |
YoY growth 2023-2024(%) |
8.88 |
Regional analysis |
North America, Europe, APAC, South America, and Middle East and Africa |
Performing market contribution |
North America at 40% |
Key countries |
US, UK, China, Canada, and Germany |
Competitive landscape |
Leading Companies, Market Positioning of Companies, Competitive Strategies, and Industry Risks |
Key companies profiled |
AriZona Beverages USA LLC, Beyond Water, H2WOW, Dyla Brands, GNC Holdings LLC, Heartland Food Products Group LLC, Keurig Dr Pepper Inc., Nestle SA, Netrition Inc., PepsiCo Inc., Primo Water Corp., RASNA PVT. LTD., Refresco Group BV, sKoya, Sunkist Growers Inc., Target Corp., The Coca Cola Co., The Jel Sert Co., The Kraft Heinz Co., and Wisdom Natural Brands |
Market dynamics |
Parent market analysis, Market growth inducers and obstacles, Fast-growing and slow-growing segment analysis, COVID-19 impact and recovery analysis and future consumer dynamics, Market condition analysis for forecast period |
Customization purview |
If our report has not included the data that you are looking for, you can reach out to our analysts and get segments customized. |
1 Executive Summary
2 Market Landscape
3 Market Sizing
4 Historic Market Size
5 Five Forces Analysis
6 Market Segmentation by Type
7 Customer Landscape
8 Geographic Landscape
9 Drivers, Challenges, and Opportunity/Restraints
10 Competitive Landscape
11 Competitive Analysis
12 Appendix
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