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Fashion Statement
By JENNIFER ZEGLER
Bottled water is the newest must-have accessory
The newest status symbol
on the streets is not a designer purse, state-of-the-art gadget or luxury
vehicle; it’s bottled water. Thirst quenchers and trendsetters alike
are clutching bottles of water as the ultimate accessory.
“Water has moved from a commodity to a fashion item,” says Patrick Racz, chief
operating officer of Icelandic Glacial, London. “It’s a status
thing. When I go to New York or Los Angeles, you see people walking around
holding a bottle of water. They’ll go to a meeting and put it in
front of them with the label outward; it’s really turning into a
fashion statement.”
Top bottled waters (Individual brands) | ||||
BRAND | DOLLAR SALES |
% CHANGE VS. PRIOR YEAR | MARKET SHARE | % CHANGE VS. PRIOR YEAR |
AQUAFINA | $472,807,000 | 20.5 | 14.3 | -0.4 |
PRIVATE LABEL | $459,662,300 | 24.8 | 13.9 | 0.1 |
DASANI | $393,605,200 | 25.6 | 11.9 | 0.1 |
POLAND SPRING | $227,367,100 | 26.6 | 6.9 | 0.1 |
PROPEL | $193,928,100 | 21.3 | 5.9 | -0.1 |
ARROWHEAD | $159,511,200 | 20.2 | 4.8 | -0.2 |
DANNON | $156,874,600 | 6.9 | 4.8 | -0.8 |
DEER PARK | $121,857,600 | 27.5 | 3.7 | 0.1 |
GLACEAU VITAMINWATER | $116,411,100 | 169.4 | 3.5 | 1.9 |
OZARKA | $86,882,110 | 21.7 | 2.6 | -0.1 |
CATEGORY TOTAL | $3,295,215,000 | 24.1 | 100.0 | 0.0 |
Source: Information Resources Inc., Total food, drug and mass merchandise (excluding Wal-Mart) for the 52 weeks ending July 16, 2006. |
Designer appeal
The plethora of choices of waters has created niches,
including premium waters. Whether it is the water’s origin, from
Hawaii to Iceland; packaging, plastic orbs to glass squares; or purpose,
benefiting charity or one’s health, the premium water category is
expanding the boundaries of bottled water.
Since France’s Evian made its debut, a
water’s origin has been an indication of its status. Destination
brands Iceland Spring and Fiji Water both recently introduced new sizes for
added portability. Icelandic Glacial also is part of the growing
super-premium water category. To further differentiate itself, the
Icelandic Glacial bottle is square with molded mountain peaks at the top
and the label offers various landscape views.
“If you rotate the bottle, each of the four
sides has a different Icelandic landscape on it,” Racz explains.
“When the bottles are lined up on the shelf, it gives a landscape
effect that has a one in 1,480,000 chance that the same six bottles will be
lined up in a row.”
Ogo Oxygen Water by Verve Brands LLC, Memphis, Tenn.,
launched its oxygenated water in a blue-tinted rotund plastic bottle. And
Utah’s Park City IceWater brand is sold in a flexible package with a
silicone easy-turn cap.
A new differentiation among bottled waters is having a
purpose that can vary from charity contributions to health benefits.
Starbucks sells Ethos Water, which donates $0.05 from every bottle to
global humanitarian water projects. For the more self-centered, products
such as Aquamantra and H2Om promise mood benefits, and Jana Skinny Water,
is fortified with an appetite suppressant.
A model flavor
Though the flavored water category still incorporates
premium water with benefits, it too, is growing due to consumers’
desire for variety. With many companies offering fruit flavors, essence
evocations and menthol mentions, flavored water enthusiasts have many
options.
This year has featured much activity, with major
players including Nestlé Pure Life and Coca-Cola’s Dasani
adding fruity flavors. Tampico, known for its juices, launched tropically
inspired flavored waters in gallon-sized packages. Tom First, co-founder of
Nantucket Nectars, and Ed Slade, former president and chief executive
officer of Fiji Water, teamed up to release O Ultra Premium Waters.
The current star in the category, Glaceau’s
Vitaminwater announced a recent deal with India’s Tata Group. In a
conference call, Glaceau Founder and Chief Executive Officer J. Darius
Bikoff said he believes the deal will help expand distribution and take
Vitaminwater and Smartwater to the level of Snapple and Gatorade. Bikoff
also announced that the Whitestone, N.Y.-based
company will begin offering 12-ounce bottles of Vitaminwater at Safeway and
CVS stores for the school-age crowd. The company also settled its dispute
with PepsiCo’s SoBe Life Water over similar-looking bottles.
Additionally, it is rumored that Coca-Cola is
developing a competing product under the Odwalla trademark.
Also aiming for the health conscious, the Kellogg Co.
will roll out Special K20 Protein Waters this fall. Available in Lemon
Twist, Strawberry Kiwi and Tropical Blend flavors, each bottle has 5 grams
of protein and 50 calories. The unique appeal of protein is one
Kellogg’s looked into specifically, explains Roxanne Bernstein,
senior brand manager of wellness innovation for the Battle Creek, Mich.,
company.
“K20 is the first broadly available brand of
protein water,” Bernstein says. “Many waters on the market
today are enhanced with vitamins or minerals; however, none of them draw on
the benefits of protein, and we know from our research that many consumers
are looking to add more protein to their diets. The new K20 protein waters
offer a delicious, refreshing way to get more
protein.”
For something slightly different, companies have
created blends with benefits such as energy enhancing formulas and soothing
mint. Hydrive Energy recently hit the market as the first energy drink made
from spring water. Hydrive features caffeine, vitamins and electrolytes and
is available in uniquely flavored Dragonfruit, Acai Berry and Casaba Lime
varieties. Creating its own niche, Soma Beverage Co., San Francisco, added
to its “mintwater” line with a Spearmint variety.
“The cooling sensation that you can only get
from real mint is only available in Metromint,” says Scott Lowe,
president of Soma Beverage Co. “We’re truly a functional
beverage in the flavored water category because we have the added health
benefits of mint.”
The more traditional flavored sparkling waters also
are getting a boost. Pepsi-Cola offered new Berry Burst and Citrus Twist
flavors of carbonated Aquafina. Clearly Canadian recently reformulated its
Original Sparkling Waters in both regular and zero-calorie fruit flavors.
And Cadbury is test marketing 7UP Breeze, a sparkling water beverage. The
product is available in Watermelon, Lemon-Lime, Raspberry and Black Cherry
and is likely to be launched nationwide early next year.
Kiddy couture
Hoping to move children away from high-sugar drinks, many companies have created kid-friendly waters.
In addition to favorites such as Fruit Craze by Atlanta’s Meridian
Beverages, smaller sized, vitamin- fortified waters are popping up in lunch
boxes across the nation.
San Francisco’s Wateroos packaged water in the
child-friendly box container and recently added Berry and Grape flavors.
Nestlé Waters’ Ice Mountain aimed for kid appeal with the
launch of its Aquapod, a rounded single-serve bottle molded for a
child’s hands.
One classic way to appeal to kids is to use their
favorite characters. Marvel Superheroes, including Spiderman, Batman and
Superman in addition to Scooby-Doo and Bratz, made their debut on bottles
of purified water from Kids Only LLC, Westborough, Mass. Canada’s
Cott Corp. has licensed Disney and Pixar’s “Finding Nemo”
and “The Incredibles” for use on kid-portion, resealable
bottles of water. The sea-dwelling Nemo is available in purified drinking
water while the superhero family “The Incredibles” is available
in four flavors with added vitamins.
“Moms are looking for better-for-you beverages
to address the child obesity epidemic,” says Steve LeVeau, director
of marketing and category management for Cott Corp. “We wanted kids
to drink plain water, but with our flavored waters, it gets kids
interested. Partnering with Disney for ‘The Incredibles’ adds
power and fun for kids.”
Flavor has the same appeal for adults as it does for
kids. Both Coca-Cola’s Minute Maid brand and Altria Group’s
Capri Sun launched flavored water products in flexible packaging. Newcomers
Wild Waters, Hingham, Mass., and Crayola Color Coolers, from Advanced H20
LLC, Bellevue, Wash., use eye-catching hues to entice thirsty kids.
As in fashion there are fads and trends, but the vast
growth of the bottled category is proving to be
more than just one season’s style.