Global Alternative Waters Market - 2023-2030

Global Alternative Waters Market - 2023-2030

Market Overview

Alternative Waters Market was valued at USD YY million in 2022. It is forecasted to reach USD YY million by 2030, growing at a CAGR of 6.34% during the forecast period (2023-2030).

Alternative waters are also known as infused water which is drink made from plant source. Alternative water is being prepared from several fruits and trees imparting many health benefits to the consumers. The sources of plant-based water have recently increased as the food & beverage industries as the companies are introducing the extraction of liquid concentrate from fruits and have supplied them in the form of juices but the improved R&D has led to the development of alternative waters that is gradually replacing plain water in many parts of the world. Increased awareness and health consciousness among consumers, use of natural food and plant sources, investment in innovation and attractive packaging have boosted the market growth.

Market DynamicsIncrease in awareness about the health benefits of alternative water is driving the growth of the market

The increase in health consciousness among the consumers has shifted the trend towards the healthy and nutritious diet such as water alternatives to maintain the health owing to its health benefits. These drinks are produced from plants and the most popular are coconut water, birch water, aloe water, or maple waters. The health benefits of water alternatives include weight loss, it flush out toxins from body, improves muscle endurance & flexibility, increase metabolism and concentration along with healthier skin complexion. These benefits attract the consumers and thus, increases the demand for water alternatives which adds to the growth of the market.

Furthermore, the food & beverage industries have been investing in the development of healthy and nutritious products that have a longer shelf life. The plant-based diet can reduce water consumption by up to 50%. In addition, coconut water is portrayed as a good sports drink for athletes based on its electrolyte count, potassium, magnesium and more. Similarly, aloe vera water is rich in vitamin B and helps with digestion and skin. In addition, birch water is a source of electrolytes, antioxidants and saponins and has been used as a diuretic. Thus, owing to the awareness about the benefits of water alternatives the demand is increasing which is driving the growth of the market.

Market Segmentation: Coconut water segment accounted for the highest share in global alternative waters market

Coconut water has become a trendy beverage coconut water is loaded with several important nutrients, including minerals along with being naturally sweet and hydrating. In addition, it is the liquid found in the center of a young, green coconut which helps nourish the fruit. Coconut water contains 94% water and very little fat thus, considered as a natural alternative to sports drinks such as Gatorade and along with this it has more potassium than the average sports drink, it tends to have less sodium, the main electrolyte lost in sweat. Potassium helps keep fluid and electrolyte levels balanced, especially during exercise and one cup of coconut water contains about 600mg of potassium. Furthermore, the health benefit of coconut water such as it reduces the blood pressure, and controls diabetes is expected to drive the segment growth. Thus, benefits of coconut water attract the consumers and increase its demand worldwide which adds to the growth of the market.

Geographical Penetration: APAC is the dominating region during the forecast period

In 2021, Asia-Pacific segment dominated the market, accounting for YY% of global sales due to the rising health awareness and increased consumption of alternative water. In addition, the increasing ageing population demands healthier products such as alternative waters to maintain health. For instance, according to WHO, China has one of the fastest growing ageing populations in the world, and the population of people over 60 years old in China is projected to reach 28% by 2040, due to longer life expectancy and declining fertility rates. Thus, owing to the increased geriatric population the consumption of health-based beverages has increased. For instance, In Japan, the consumption of healthy beverages increased as it is closely linked to a balanced diet and is indispensable for staying fit and agile. This greater awareness of healthy living has resulted in increasing demand for beverages with optimal nutritional and functional profiles such as alternative waters. For instance, in 2020, Oviva, a leading brand has launched maple based alternative water. These factors have propelled the growth of the market.

Competitive Landscape

There are several established participants in the industry and local manufacturers; hence, the market is fragmented. Some major key players are Coca Cola Company, Pepsico, Oviva, All Market Caliwater, ARTY, Sibberi Tree water, Happy Tree maple water, Harmless Harvest, Drink Simple, Steaz, WTRMLN among others. Some of the major key players invested in expanding their business along with the startups. In addition, manufacturers are also incorporating strategies such as product launches, acquisitions, joint ventures and others to increase the revenue.

For instance,
• In May 2022, a food tech startup Novolutions behind premium handcrafted mocktail brand ‘Hippie’ has expanded its focus to plant-based protein with its new brand Just Dig In.

COVID-19 ImpactPositive impact on the global alternative waters market

The COVID-19 pandemic has adversely affected the economies of various countries due to lockdowns, business close, and travel bans. Food & beverage and agriculture are among the main industries suffered from intense disruptions such as restrictions on the supply chain and the shutdown of warehouse plants. In addition, the shutdowns of the companies, farms, and production & supply facilities in various countries have disrupted the whole supply chain of alternative waters market. Due to lockdown, the procurement of raw materials became difficult due to the ban in imports and exports from certain countries. The pandemic initially caused loss in sales and revenue of the plant based alternative waters as the manufacturing units had to shut down and there was shortage to manpower.

However, the products with cleaner labels, natural botanical ingredients were trending with a focus on both mental & physical health and consumers were focusing on stress relief, immunity & energy boost, mood elevation during work hours and during lock down. These factors increased the demand for alternative waters and thus, grown the market. Furthermore, post lockdown the companies came up with immunity boosting drinks, stress relieving shots/juices, and healthy drinks such as alternative waters which increased the sales of the companies thereby, adding to the growth of the market.

The global alternative waters market report would provide an access to approximately 61 market data tables, 48 figures and 170 pages.