The Success of 321 Water: An Innovative Filtered Water Bottle Company
The bottled water industry is one of the most successful and fastest-growing industries in the world. In 2019, the global bottled water market was valued at USD 321 billion and is expected to grow at a CAGR of 6.3% from 2020 to 2027 (Grand View Research). The United States is the largest market for bottled water, followed by China and Mexico.
The success of the bottled water industry can be attributed to a number of factors, such as the health benefits of drinking water, the convenience of bottled water, and the marketing strategies of bottled water companies.
One company that has been successful in the bottled water industry is 321 Water. 321 Water is a US-based company that manufactures and sells filtered water bottles. The company was founded in 2015 by college friends Austin Burcham and Andrew Parker.
The idea for 321 Water came about when Burcham and Parker realized that they were spending a lot of money on bottled water and not getting the full benefits of drinking water because they were not drinking enough water per day. They also realized that there was no easy way to filter tap water on the go.
To solve these problems, they developed 321 Water, a bottle with a built-in filter. The filters used by 321 Water are certified by NSF International to remove 99.99% of bacteria and 98.5% of chlorine from tap water (321 Water).
The development of 321 Water was rationalized with a simple fact: people are more likely to drink more water if it is easy for them to do so. The goal of 321 Water is to make it easy for people to drink more water so that they can live healthier lives.
2. The market for bottled water:
2.1 Market structure:
The bottled water industry is a oligopolistic market structure with a few large players and many small players. The three largest players in the US market are Nestle Waters, PepsiCo, and Coca-Cola (Beverage Marketing Corporation). Together, these three companies account for 68% of the US market share (Beverage Marketing Corporation).
In addition to these three large players, there are many small players in the US market, such as 321 Water. These small companies typically have less than 1% market share (Beverage Marketing Corporation).
2. 2 Industry participants:
Nestle Waters is the largest player in the US market with a 35% market share (Beverage Marketing Corporation). Nestle Waters is a subsidiary of Nestle SA, which is a Swiss food and beverage company. Nestle Waters brands include Arrowhead, Deer Park, Pure Life, and San Pellegrino (Nestle Waters).
PepsiCo is the second largest player in the US market with a 16% market share (Beverage Marketing Corporation). PepsiCo is an American food and beverage company that owns brands such as Aquafina, Dasani, LIFEWTR, Propel, and SoBe Lifewater (PepsiCo).
Coca-Cola is the third largest player in the US market with a 17% market share (Beverage Marketing Corporation). Coca-Cola is an American multinational beverage corporation that owns brands such as Dasani, Smartwater, Topo Chico, and ZICO (The Coca-Cola Company).
2. 3 Trends in the industry:
There are a number of trends affecting the bottled water industry, such as health consciousness, sustainability, and the popularity of flavored waters.
The health consciousness trend is driven by the increasing awareness of the importance of drinking water for overall health. This trend has resulted in an increase in the consumption of bottled water, as well as the development of new types of bottled water, such as functional waters and sparkling waters.
The sustainability trend is driven by the increasing awareness of the environmental impact of plastic bottles. This trend has resulted in the development of recyclable and biodegradable bottles, as well as increased recycling rates.
The popularity of flavored waters is driven by the consumer preference for products that are both healthy and tasty. This trend has resulted in an increase in the production of flavored waters, as well as the development of new flavors.
3. 321 Water as a product:
3.1 Product development:
321 Water was developed to solve the problem of how to make it easy for people to drink more water. The solution was to create a bottle with a built-in filter. The filters used by 321 Water are certified by NSF International to remove 99.99% of bacteria and 98.5% of chlorine from tap water (321 Water).
3. 2 Innovation:
321 Water is an innovative product because it is the first filtered water bottle on the market. The company has been awarded 11 patents for its technology (321 Water). In addition, 321 Water has won numerous awards for its product, including the American Business Award for Best New Product (321 Water).
3. 3 Marketing strategy:
321 Water’s marketing strategy is based on the belief that people are more likely to drink more water if it is easy for them to do so. To make it easy for people to drink more water, 321 Water uses a direct-to-consumer business model and sells its products online and through select retailers. The company also offers a subscription service that delivers bottles to customers’ doorsteps on a regular basis.
In addition to its online and retail sales channels, 321 Water also has a strong presence on social media. The company uses social media to educate people about the benefits of drinking water and to promote its products. As of May 2019, 321 Water had over 50,000 followers on Instagram (321 Water).
4. Business direction:
4.1 Expansion plans: 320 Water plans to expand its business by increasing its sales force, opening new retail locations, and expanding its international presence. The company plans to hire 100 new salespeople in 2019 and open 50 new retail locations (321 Water). In addition, 321 Water plans to expand into new international markets, such as Canada and Europe (321 Water). 4.2 International markets:
The international markets for bottled water are growing at a faster rate than the US market. In 2018, the global market for bottled water was valued at USD 321 billion and is expected to grow at a CAGR of 6.3% from 2020 to 2027 (Grand View Research). The fastest-growing markets for bottled water are Asia-Pacific and Latin America.
321 Water plans to capitalize on the growth of the international market by expanding its presence in these regions. The company has already established a sales office in Canada and is in the process of opening sales offices in Europe and Asia (321 Water).
321 Water is a successful company that has developed an innovative product, created a strong marketing strategy, and is expanding its business. The company’s success is due to its focus on making it easy for people to drink more water. By making it easy for people to drink more water, 321 Water is helping to improve the health of its customers.
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