Beverage Industry

Learn about Strategy, Operations, Sales, Distribution, Marketing and News surrounding the Beverage Industry and Energy Drink, Vitaminwater, High End Water, Sodas, etc.

Tuesday, February 20, 2007

Bottled Water

Here is an interesting statistic; According to Beverage Marketing Corp, Americans spent an estimated $11 billion last year on bottled water. That is over 8.3 billion gallons of bottled water.

For those of us doing business in the internationa arena, it is extremely important that we keep a close watch on the USA beverage industry, especially when dealing with our neighbors to the north and south Canada and Mexico.

The USA has long been recognized as a trend setter for our neighbors. We can bet on the water drinking trend to do the same in Mexico as it has in the USA. Mexico has a history of bottled water drinking due to the non potable water situation. The market is accustomed to 5 gallon jugs and will very easlily assimilate the smaller, trendy and convenient 500 mL and 1 lt bottles.

As one of the largest consumers of beverage in the World, Mexico is surely one to sell. And selling them is both easy and difficult, depending on who and where you are. Getting over the import/export, logistics and warehousing might seem difficult to the outsider but the truth is that Mexico does have all of the requried infrastructure to do business the right way.

This is apparent just by looking at the national and international operators already doing business there; Coca Cola, Home Depot, Mc Donald's, Red Bull, Monster, Rockstar, Cadburry Schwepps just to name a few. The supermarket chains account for the minority of retail sales with over 6,000 markets averaging 40,000 to 60,000 square feet. These supermarket operators use JIT, auto replenishment systems, centralized warehouse ad buying programs, as well as dedicated import warehouses in the USA used for interantional brands. Once the product is positioned in the markets and the required merchandising and other support is in place the sales will kick in. Hispanics are more likely to try a new brand and if your product is placed and being offered, chances are they will pick it up. If they like it and your product is everything you claim, you got yourself a customer.

Bottled water is taking up an important segment in their shelves. We have just seen the tip of the iceberg.

The Mexican wholesaler, retailer and consumer is continually on the look out for the next product.

About Liquid Brands Management, Inc.
Helping beverage companies create, produce, market and sell more beverages including New Age Beverages like Energy Drinks, Hydrating Drinks, Water, Teas and more. Liquid Brands Management achieves success with great products, a solid marketing plan and creative distribution and retailing techniques to capture more market share, faster.

Carlos Lopez is managing director for Liquid Brands Management.
Contact info
619-921-3124
email carlos@liquidbm.com

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