Innovations in flavor, packaging and design help Perrier ride bottled water boom

Sparkling waters are the fastest growing segment of the booming bottled water industry: and Perrier is seeing ‘tremendous growth’ - particularly in the unsweetened flavors segment - as consumers look for alternatives to carbonated soft drinks. 

Perrier is continuing to expand its unsweetened sparkling water flavor line – most recently with the launch of its strawberry and watermelon flavors – saying that these drinks are ones that will appeal to consumers across demographics looking for healthier options in what they drink.

Alternative to CSDs

Sparkling water represents the fastest growing segment of the bottled water industry: poised for growth of up to 91.8% by 2021, reaching approximately $4.5bn, according to Mintel.

Meanwhile, unsweetened sparkling bottled water sales are forecast to hit $1bn in the US this summer, according to Nielsen Scantrack Data.

Grant McKenzie, VP, General Manager of Nestle Waters International Brands, told BeverageDaily the reason for the popularity of such products is simple: consumers are looking for healthier choices when it comes to beverage choices.

“Flavored waters, particularly unsweetened sparkling options, deliver the satisfaction of a flavor-forward and effervescent beverage, but without the calories, sugar, caffeine and other additives,” he said.

“For consumers looking to curb their intake of soda, juices or other sugary beverages, these flavored waters, both sparkling and non-sparking, are a great alternative.”

Flavor expansion

In response to these trends, Perrier is focusing on expanding its flavors and investing in additional innovations such as different packaging formats and designs.

“The sparkling water category – specifically the unsweetened flavors segment – is seeing tremendous growth across consumer demographics,” said McKenzie.

“Earlier this year bottled water surpassed carbonated soft drinks to become the US’ top selling consumer beverage, driven by increased health-consciousness among consumers. The increased demand for flavored bottled water cuts across all types of consumers:  those who are long-time bottled water drinkers, as well as those who have traditionally chosen carbonated soft drinks.”

While appealing to both groups of consumers, flavored waters do offer a particular opportunity to tap into this growing group of consumers looking for soda alternatives, he said.

“Perrier is recognized as the originator of the sparkling water trend in the US and has long offered a range of popular citrus flavors. With the explosion in popularity of unsweetened sparkling flavored waters, Perrier has put a focus on expansion of its flavor line and product innovation.”

“As the brand expands its flavor offerings, a primary target is the growing number of consumers gravitating away from carbonated soft drinks and other sugary beverages.”

Growing consumption occasions

Sparkling flavors also appeal to consumers looking for different and creative ideas with the option to use them in mocktails or cocktails.  

Meanwhile, Perrier has introduced a new sleek can single serve format designed for grab-and-go consumption across target retail channels.

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The designs on packs are also a target for innovation.

“You’re seeing many brands experimenting with packaging that is equally attractive to consumers,” said McKenzie. “Perrier, for instance, has partnered with a range of artists over the past few years to design limited-edition packaging to increase excitement and appeal for consumers.”

Collaboration in Perrier’s ‘Inspired By Street Art’ collection have included packaging designs featuring the work of JonOne, Kobra and Sasu: with bold, colorful abstract and geometric designs.