Bottled water floods the market; large and small companies alike are rolling out new flavors...

There are two camps in the bottled water world: those who can't live without it, and those who think anyone who doesn't get their water for free from a faucet is crazy. Well, let's just ignore that second camp (crazy is such a relative term) and focus on the wonders of bottled water in all its

According to the International Bottled Water Association, domestic bottled water consumption has increased 7% to 10% annually for the last two decades. In 2004, the U.S. bottled water consumption level per capita was 23.8 gallons, up from 22.1 gallons the previous year.

So with hundreds of different bottled water products in this growing $35 billion global market, manufacturers are essentially using two methods to make their water stand out. The first involves additives--in the form of different flavorings, nutrients or both--to provide consumers with more choices beyond the standard mineral or spring water. The second, and most creative, involves packaging, with different sizes, shapes and colors clamoring for consumers' attention on store shelves. The "big three" players in bottled water--Coca Cola, Pepsi and Nestle Waters--have begun to offer new flavors to their customers. Coke's Dasani brand now comes in lemon and raspberry flavors, while Pepsi's Aquafina line has introduced Aquafina Sparkling in lemon-lime, original and berry flavors to go along with its FlavorSplash raspberry, wild berry and citrus blend flavors. Pepsi's Gatorade unit already offers its vitamin-charged Propel Fitness Water in eight different fruit flavors.

Nestle, with its 77 brands of bottled water sold worldwide (including S. Pelligrino, Ice Mountain and Poland Spring), has already added two flavors to its venerable Perrier line: lemon and lime. The company's Pure Life brand offers four fruit-flavored choices: lemon, orange, strawberry and raspberry.

On a smaller scale, U.S. Beverage Inc., has developed a concept that combines both flavoring and innovative packaging. The company's patented cap technology (which is available for licensing) involves a new way of adding flavors to bottled water. A small reservoir in the cap contains the flavoring, which is released with a twist and then shaken to combine with the water. Two flavors geared toward kids are currently available: Seriously Twisted Red and Seriously Twisted Blue Raspberry.

Another smaller company, Base Concept Inc., has introduced Base Energy Water, designed to "optimize muscle tone during exercise." The water contains minerals, plant extracts and fruit juice concentrates along with 25 mg. of potassium and seven grams of carbs. It is sold in half-liter bottles and is available in four flavors.

Also among the enriched, flavored bottled waters is the new grape-flavored product from Glaceau Vitaminwater of Whitestone, N.Y. Launched with hip-hop artist 50 Cent, Formula 50 provides 50% of the recommended daily allowance of vitamins and is available nationwide.

Unique, 'minimalist' look

Celebrity endorsements may help, but packaging is what really makes a bottled water stand out from the crowd, and there are several examples of creative developments being introduced into the marketplace. The most recent trend has been minimalist packaging with a proprietary look.

Evian has introduce Origine, a 2005 limited-edition bottle that the company describes as a "monolithic ice sculpture" reminiscent of the alpine mountain tops that are the source of the company's water. The 1-liter bottle is made of thick glass with irregular angles, so that light beams shine through it. Its minimalist graphic design puts the emphasis on the bottle's shape, and a red-tinted bottle cap tops off the eye-catching image.

Smaller companies also are getting into the creative packaging act. Trinity Springs Inc., of Boise, Idaho, is now shipping its Trinity Geothermal Bottled Water with a new see-through window label. The front of the new bottle features a triangular window to see through to the striking Sawtooth Mountains image on the back of the bottle. The Trinity Springs source is located in the foothills of the Sawtooths.

Among the upscale products, SEI Water Co. markets its bottled water in such stores as Neiman Marcus, and the company recently was a gold-award winner in the 2005 National Association of Container Distributors packaging awards (see article on p.66). SEI's package shows off the water with no label to detract from the product. Its flask shape is unique, and the smallest size has a slight curve for comfort when slipped into a pocket.

Co-branding on the label is another way to draw attention, but Euphoria Water adds to that concept by partnering with charitable organizations to help them raise money as well as public awareness. Charities earn between 1% and 4% from the sale of each bottle, with such charities as March of Dimes and Make-a-Wish among those taking part.

Packaging materials for bottled water are also evolving. BIOTA Brands of America Inc., of Ouray, Colo., sells its premium bottled spring water in the first commercially viable packaging material derived entirely from a renewable source: corn. The bottle, produced by NatureWorks PLA, is completely compostable and has been demonstrated to degrade within 75 to 80 days in a commercial composting situation. The compostable bottle, called out on the label, supports the brand's environmental image.

Not all bottled water needs to be in bottles. CLP Industries Ltd. has developed a new pouch to compete with blown polyester bottles. The low cost, low weight stand-up pouch for pure drinking water or mineral water is based on a flexible film laminate material.

Other water pouches have been commercialized. Guzzler Fruit Rapids, a naturally flavored spring water from American Beverage Corp., comes in a transparent standup pouch with an hourglass shape that makes it easy for kids to hold.

Custom labels

Another growing segment of the bottled water market is private labeling for customers who want their "own" brand of bottled water. This provides various companies and organizations with a unique and creative way to market and promote their businesses, ideas or political platforms at a reasonable price.

Leisure Time Spring Water, based in Kiamesha, N.Y., is one such company that produces this type of labeling for bottled water. The company is now using a new digital color label printer so that it can handle requests from small-quantity customers it had to turn down in the past--all at "a price they can swallow," says a company spokesperson.

And for those people at work or school who find themselves wondering which water bottle is theirs, Nature Products Inc., of Chino Valley, Ariz., has patented the answer. The company's Look 'N Sip water bottles come with peel-off letters on the back label that can be used to personalize individual bottles. The front labels also can be custom designed for companies and organizations looking for unique promotional materials for fundraisers or special events. Nature Products believes such labeling helps to preserve the environment by encouraging users to hang on to the bottles and reuse them.

With all these packaging innovations on the market, and with more to come, it's clear that bottled water producers are willing to go off the deep end to keep consumers from fleeing back to their faucets.

For more information The following companies helped with the research for this article:

CLP Industries Ltd. 877-888-1888; www.clp-packaging.com

International Bottled Water Association 703-683-5213; www.bottledwater.org

Leisure Time Spring Water 845-794-7040; www.leisuretimespringwater.com

Nature Products Inc. 928-636-4966; www.looknsip.com

NatureWorks LLC 800-66-INGEO; www.natureworksllc.com

U.S. Beverage Inc. 770-253-1156; www.freshbru.com