Before too long, in the pre-liberalization era, the bottled water market in India was a miniscule market catering to only the upper strata of society, travelers and conference meetings in five star hotels. Even today in comparison to the global scenario, the Indian market is a very small one. For example, the per capita consumption of mineral water in India is a mere 0.5-liter compared to 111 liter in Europe and 45-liter in USA.
But over the last ten years, it has witnessed tremendous growth. The change is very much evident. Once a product found mainly at railways stations, mineral water today occupies a place on the shelf in most superstores, grocers and even paanwalas. From a mere 60 towns in the year 1997, it is predicted that mineral water is today available in more than 1000 towns and cities across India. With a compounded annual growth rate of close to 30% over the last decade, the mineral water market has witnessed a large growth in terms of volumes.
The market is highly competitive with the entry of MNC's like Pepsico and Coke. There are a lot of brands available in the market, each with its own proclaimed differentiation. .
Over the course of this report, we analyze the mineral water market in India with respect to structure, segmentation across age and income groups, price and income elasticity, brand awareness etc. .
The Market Analysis.
Indian consumers newfound affluence has increased the demand for bottled water significantly. The water supplied by the civic authorities in India is often contaminated and unfit for drinking. The increasing awareness about health issues coupled with the fact that the average Indian consumer now has more money to spend has resulted in the bottled water consumption steadily increasing and becoming the most dynamic sector of the food and beverage industry. .
However, as of today, consumers mainly drink bottle water as an alternative to water only outside their homes.
