Bottled Water in Uruguay

2020 IMPACT

Installation of tap water filters across Uruguay harms both volume and current value sales amidst the pandemic

Bottled water is set to record both declining volume and current value sales in 2020 as a result of the pandemic, with volume sales dropping more notably than current value. Although consumers have been spending more time at home during 2020 and home consumption of water has increased, this has not been beneficial for bottled water as more and more Uruguayans have had tap water filters installed into their homes.

Financial instability leads to declining demand for higher-priced products such as mineral and spring bottled water

One of the many consequences of the outbreak of COVID-19 has been the economic instability seen across the globe. As a result, unemployment rates have been rising in Uruguay, leading even more consumers to have complicated financial situations than previously seen.

Innovation catering to changing taste preferences and growing health concerns present in flavoured bottled water

Although innovation in 2020 overall has been somewhat slow, some product developments have been visible within flavoured bottled water. New flavours have been released alongside low calorie and natural sweetened options in line with the growing health and wellness trend.

RECOVERY AND OPPORTUNITIES

A fast recovery for bottled water fuelled by the health and wellness and on-the-go trends

Bottled water is anticipated to start recovering rapidly from 2021 in correspondence with the recovery of the economy. Consumption is also set to increase due to the health and wellness trend which has been further encouraged by the outbreak of COVID-19.

Multi-packaging offerings and home delivery options expected over the forecast period

Although bottled water is expected to recover quickly, some of the consequences of the pandemic are set to linger at the beginning of the forecast period. For example, many consumers will continue to find themselves lacking a significant disposable income and will therefore seek for products that offer value for money.

Growing number of health-conscious consumers benefits flavoured bottled water

Flavoured bottled water is predicted to recover rapidly over the forecast period post pandemic. As the health and wellness trend continues to gather pace thanks to the health crisis, more and more consumers will turn to flavoured bottled water, especially those who do not particularly like the taste of regular water.