U.A.E. Packaged Drinking Water Market to Surpass $948.2 Million Revenue by 2030, says P&S Intelligence

NEW YORK, April 12, 2022 /PRNewswire/ -- From an estimated $625.4 million in 2021, the U.A.E. packaged drinking water market revenue will increase to $948.2 million by 2030, at a 4.7% CAGR. This will open up numerous growth opportunities for companies producing and supplying the product, including Agthia Group PJSC, Mai Dubai LLC, Danone S.A., Masafi Co LLC, Nestle Waters Factory H&O LLC, National Food Product Company, AL Ghadeer Drinking Water LLC, Awafi Mineral Water CO. LLC, and AL Furat Drinking Water LLC.

This is why many of them are launching this product in newer packaging and using innovative strategies to market them. For instance, Masafi Co LLC introduced SOURCE, a sustainable bottled drinking water brand, in the U.A.E. in October 2021. It is targeted at those who focus strongly on health, sustainability, wellbeing, and community. Similarly, Agthia Group PJSC launched a plant-based plastic bottle in the country in February 2020.

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Key Findings of U.A.E. Packaged Drinking Water Market Report

• The key factor that drives the demand for bulk packaged water is the convenience such packaging offers by allowing people to eliminate the usage of hundreds of smaller bottles each day.
• Moreover, the U.A.E. packaged drinking water market is driven by the public health benefits associated with it. Loose water is often contaminated, thereby causing diarrhea, dysentery, hepatitis, and typhoid.
• B2B is the larger distribution channel for this product in the country, primarily because water in bulk is usually purchased by entities that need to quench the thirst of a large number of people at once, such as corporate offices, hospitals, hotels, and educational institutions.
• This is consistent with the fact that the highest volume of bulk water in the U.A.E. is procured by workplaces. This is attributed to the rapid corporatization of the country's work culture, combined with its perpetually hot weather.
• As a result, COVID-19 impacted the U.A.E. packaged drinking water market negatively. The lockdowns imposed by the Emirati government to control the disease spread led to the closure of the corporate, educational, and hospitality sectors, thereby driving down the need for bulk potable water.
• Moreover, due to the shift in the buying behavior brought about by the pandemic, most B2B customers are expected to procure the product via the mobile apps and websites of manufacturers and distributors in the years to come.

Additionally, the massive increase in the awareness on health and hygiene during the pandemic may provide opportunities for bulk water suppliers and producers to target residential users as well. It is now well known that immunity plays a key role on how an infection affects someone, and immunity itself can be strengthened by an adequate intake of minerals and vitamins. Thus, the rise in people's concerns for their health could push up the demand for packaged fortified water in the residential sector of the U.A.E.

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Moreover, a key opportunity for U.A.E. packaged drinking water market players, as before the pandemic, would be its growing hospitality sector. The country is not only a major tourist hub, but also a rapidly emerging business destination for people around the world. This brings in hordes to the country each year, which has been helping its hospitality sector grow. Hence, with more people coming in and hotels being constructed, the demand for packaged drinking water will rise.

U.A.E. Packaged Drinking Water Market Segmentation Analysis

By Distribution Channel

• Business to Business (B2B)
• Business to Consumer (B2C)

By End Use

• Accommodation
• Complementary Services
• Education
• Healthcare
• Leisure
• Military & Civil Defence
• Pub, Club & Bar
• Restaurant
• Retail
• Travel
• Welfare & Services
• Workplace
• Catering

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