What is the potential for future development of the drinking water market?

In recent years, drinking water has become the first category of beverages as the health needs of consumers have increased. According to incomplete statistics, the sales of drinking water in 2017 have already exceeded 150 billion yuan. They compete with each other, and local brands everywhere drink. The water filling factory was built in a concentrated way. The amount was surprisingly large. The dairy industry was generally there before 2008. However, many water companies' main selling drinking water is still 1 yuan water, 2 yuan water and 8-10 yuan bottled water, many companies do The hard work, the profit is very thin.

Successful water companies rely on the scale to gain profits. Unsuccessful water companies calculate their debts. Looking at a pile of equipment, they are worried. At present, most of the water companies are struggling to live, with annual revenues of 10 million. Most of the water enterprises in the Fengmao water chestnuts, most of them are in the millions of miles, very hard.

But on the other side, it is Yibao. Farmers, 100-year-old mountain and other big brands have seen rapid growth. For example, in 2016, China Resources Cestbon realized revenue of 9.347 billion yuan, total profit of 606 million yuan, and total tax payment of 1.040 billion yuan. Bao's main source of income is from Yibao Packaging Water. According to Nielsen, the share of Yibao's packaging water market in 2016 was 2% higher than that of 2016, ranking second in the market, and its share increase ranked first in the packaging water industry. During the year, Cestbon achieved a leap from less than 1 billion to 10 billion.

Ten years after the great development of the drinking water market has passed, and in the next ten years, there is no chance of great development for drinking water. The author thinks that the next decade is still an era of great development in the drinking water market, and the The driving force for the rapid development of the drinking water market is market segmentation.

The dairy industry is precisely the market segmentation after the melamine incident in 2008. For example, children's growth milk, middle-aged and elderly high-calcium milk, and high-end milk made the entire dairy industry develop rapidly. From the industry's total revenue of 143.1 billion yuan in 2008 to 2016 The industry's total revenue for the year was 350.4 billion yuan, which has more than doubled in 9 years. There are world-class companies in the industry, and there are also many regional dairy companies scattered around. The annual income of almost every dairy company is More than 100 million yuan.

Which aspects of the market segmentation of the drinking water market will be opportunities? The author thinks there are two aspects:

First, high-end drinking water

High-end drinking water with a price over 5 yuan has always been the focus of major brands. Domestic high-end drinking water is basically monopolized by foreign brands. At present, the share of domestic high-end water brands is relatively small, only accounting for 10% to 15%. According to Nielsen's data, the growth rate of high-end water in the Chinese market is currently as high as 46% to 50%. According to conservative estimates, in the next few years, the high-end water market in China will have a capacity of no less than 10 billion yuan, which is a seductive cake.

Coca-Cola launched Valser high-end bottled water at Tmall, holding up the 'Switzerland imported' label. It is understood that Valser's water comes from surface water that has been melted by the snow and ice in the Alps. In addition, Hundred Hills has also launched the 'Blairquhan Originally' brand. The high-end water, Nongfu Spring and Reignwood Group are all staring at the high-end drinking water market.

Therefore, the author believes that the high-end drinking water market will enter an era of crowds and dominance. With consumers' frequent contact with high-end drinking water, this potential consumer demand will be induced, and domestic high-end water consumer groups have slowly formed. , The high-end drinking water market will have blowouts, driving the overall development of the drinking water market.

Second, specific groups of people drinking water

Drinking water for certain groups of people is the focus of the drinking water market segmentation. According to different people, the introduction of different packaged drinking water is the goal of the water company's strength. Currently there is a special packaging for drinking water for pregnant women, children and other people. There will also be baby water, milk powder, water, tea water, ladies' water, and so on. Different types of water will meet the needs of different groups of people. Nongfu Spring has introduced special drinking water for infants and young children, and has led the fine drinking water market. Minute.

Babies and infants are treasures in their homes. Consumers are reluctant to eat and drink themselves and they have to be eaten and eaten by children. Therefore, even though the price of water for infants and young children is several times that of ordinary drinking water, there is still a huge market. Since 2015, infant water has grown at a very rapid rate. Significantly, far exceeding the growth rate of ordinary drinking water, many water companies are also entering this market. Such brands as Tiandi Digest, Hanshui Selenium Valley, etc. all have introduced their own infants and young children, and special water for pregnant women. Therefore, the author believes that the national comprehensive release After the second child is born, the birth peak in China will promote the market development of pregnant women's water and baby water, so we must pay more attention to it.

In summary, high-end drinking water and drinking water for certain people are the focus of the subdivision of the drinking water market, which will inevitably promote the development of drinking water in the coming years, and will rapidly exceed the market size of 200 billion yuan for the drinking water market.

Therefore, the drinking water market is the hottest beverage market now and henceforth. Whether a water company can get a share of this market depends on whether water companies can seize the huge business opportunities in the future and do a good job in their own strategic planning. The author also hopes that our water companies will produce more quality products. We will firmly grasp the Blue Ocean in the drinking water market segment and stay away from the 1-2 yuan red water area, and become the backbone of the development of the industry.

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