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Bottled Water Production in the UK - Industry Market Research Report

United Kingdom bottled water production market: £618 million industry by 2019

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2014-01-30 09:30:03 - Bottled Water Production in the UK - Industry Market Research Report - a new market research report on

After more than a decade of strong growth stemming from rising health awareness, societal trends and supportive economic conditions, growth in the United Kingdom bottled water production market has dried up during the past five years.

Unfavourable climatic conditions, a mounting community backlash against the environmental impact of bottled water and the most savage recession witnessed in the United Kingdom for half a century took a toll on industry revenue and profitability. Own-label products have also increased their share of bottled water sales as cash strapped consumers traded down. Revenue contracted during the four years between 2006-07 and 2009-10 before returning to weak growth from 2010-11 onwards.

During 2013-14, weak growth of 1.6% is expected as more wetter and colder than average



weather and soft consumer conditions dampen demand for beverages. During the five years through 2013-14, industry revenue is expected to grow by a compound annual rate of 0.4% per annum to total £548.9 million. The industry is expected to fare better during the next five years as the economy slowly recovers from the recession.

However, a return to the favourable days of the early 2000s is unlikely, with opposition to bottled water on environmental grounds expected to intensify and consumer spending to remain constrained for some time. Climatic conditions will continue to have a major influence on industry performance. Per capita consumption of bottled water in the United Kingdom is still low by international standards. There is still opportunity for growth but this will need to be driven by savvy marketing, an ongoing emphasis on health and convenience and further innovation in products and packaging. Industry revenue is forecast to grow at a compound annual rate of 2.4% over next five years, to total £618.2 million in 2018-19.

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