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High-end Water Into The “red Sea” Foreign Water Companies Break In In Full Fury And Local Water Companies Retreat And Stand On The Defensive
Feb 11, 2018

High-end water into the “red sea”: foreign water companies break in in full fury and local water companies retreat and stand on the defensive

Brand began to pay much more attention to high-end water market, water source, after the "enclosure movement" high-end "track" of water is becoming more crowded, and channels for the mounting.

In early October this year, Coca-Cola,paid $220 million from the region cooperation Arca canned company bought the Continental Mexico bubble water brand Topo Chico, to broaden the bubble water business in the United States.Danone at the end of November, it is announced that the investment in Hawaii Kona Deep company, the company developed a new high-end category of drinking water, focusing on Deep sea water rich in Deep sea electrolyte.

Coca-Cola incoming high-end water market is beginning to map

In fact, the two food and beverage giant, not high-end market new into the bureau in the water, the first comb financial reporter found that the current high-end rich water layout of matrix or the purpose of the enterprise is more significant.Euromonitor international, points out that currently the world's three major bottled water companies are nestle, Coca Cola and danone.The high-end water market in China is "share the world" by nestle and danone.

Shanghai food and beverage dealers Xia Jianfeng vividly expression to the first finance and economics press, evian is danone high-end signboard of water in the Chinese market, leading no gas mineral water market, water and nestle's Paris is occupied with gas mineral water category, bubble water now is popular,and Paris have a great relationship with it.

According to data from euro monitor international, in 2015, global sales of 562 million litres of water in Paris France's President, maintain its leading position in the bubble water in the global brand, the growth rate of 6.6%.In addition, the market insiders estimated 2016 Paris water revenue has exceeded $1 billion.According to incomplete statistics, market participants evian occupied nearly 25% of China's high-end water market.In comparison, the coke strength in the field of water is much less.

The first financial journalist combed the Coca-Cola China's official website show 15 business sectors, aquatic products accounted for very little.Because of this, on August 28 this year, chairman of cofco Zhao Shuanglian visited America Coca-Cola headquarters in Atlanta, Coca-Cola had been expected for the Chinese market to strengthen product development and innovation, especially to water category.

It is known that cofco Coca-Cola is one of the two big producers in China, another for the Pacific.In recent years, cofco, China's food and complex business plate is clear group baton one by one, only drinks business travel light.Coca-Cola's big item to be the only pillar in grain food performance.

Health spending habits, however, also make the carbonated drinks cola class's fall from grace "has become an indisputable fact, but Coca-Cola performance contribution is mainly depends on its sugary sodas.

The trend of the consumer market and choice as well as the senior cofco "pressure", which have made Coca-Cola had to increase the layout of aquatic products in China.In late April this year, Coca-Cola, Switzerland imports bubble water brand Valser Tmall quietly launch, according to the different specifications, the product price is between $10 and $64.

"Haven't heard this brand marketing activities, may be the main market is in electric business platform."Guangdong Xia Jianfeng for the first financial journalist said, "by 2018, however, the major high-end brand water there will be a big battle for market.Even now some big brands of high-end water is still on the stage of scout."

In fact, as early as 2002, Coca-Cola at a cost of $2.64 billion for the Swiss high-end brand of water.In April, but until finally low-key introduced into China, after the coke in the domestic market, products related to water only low-end ice dew and pure yue, as well as the relatively small soda springs of grace.

To achieve the consumers for the second half

In the battlefield of high-end water before have the same old giants like nestle, Pepsi "screens" already, rear and local water companies such as nongfu spring, ganten gave chase.Water source for against the ceiling, competition also continues, these existing brand manufacturers, for consumers to reach for the second half.

Prominent feature is that both cafes, high-end restaurants, five-star hotels, convenience stores, personal care stores even night consumption, consumers can have more and more high-end water to choose from.

Handsome is a Shanghai KTV chain brand consultant, he told the first financial journalist: "brand high-end water are becoming more common in the evening, including water, Fiji, Paris evian brands all have sales promotion in the evening.Can the price of a bottle of namesake fizzy in 50 yuan, profits remain at around 10%, not only can supplement the consumers demand for no alcohol demand."

Xia Jianfeng also added to the first finance and economics press, water companies often go on into the night, high-end hotels, the channel will be to product replacement or pay for part of the approach.Nestle water business international brand director Phillip Chilton when in a telephone interview with reporters, also revealed that the brand party every year will have some funds for their distributors channel subsidies, to support the diversity of channels.

The reporter understands from nestle's official website, at present its premium water brand in addition to the rapid growth of Paris, also including SAN, PuNa, etc.According to Phillip Chilton, in Paris, its the channels of water, food and beverage hotels, large business super, convenience stores, electricity is the main channel, Paris water and high-end restaurants and cocktail bar channel as a set of Paris water brand image and brand awareness of important strategy.At present, accounts for the retail channel is larger, the second is the catering channel.

Paris in order to separate the water with high-end products, such as SAN, PuNa collisions on the channel, Phillip Chilton explained to the first financial journalist, Paris is positioned for all natural and healthy drinks water, alternative to coke and synthetic carbonated drinks, etc.Company has been innovative new flavors give consumers more choices, including next year will also be new grapefruit flavour, etc.And SAN is positioned as the water table, the SAN bubbles than Paris water less, more exquisite, and bubbles for SAN, it is best to catering or wine.

In addition, Phillip Chilton special emphasis to the reporter, this year's Paris water on electrical business is growing so rapidly, especially in cross-border electricity this emerging channels, makes growth significantly.Attaches great importance to the city water distribution in Paris, in addition to the first-tier cities, also began gradually to second line more rapid city sinking, and economic development.The reporter understands from the Beijing university data, on November 24, "black five" on the same day, the body of water sold together in Paris, the equivalent of two height of mount Everest.