PRODUCTION & COSTS / market structure
Mineral water
Aquafina
PRODUCTION & COSTS
Explicit costs:
- Sunk cost:
Land Lease
Building Construction
Machinery
Specialized Equipment
Fix cost
● Utilities: Costs for electricity, water, and gas.
● Insurance: Insurance premiums for property, liability, and
other risks
● Licensing fees: Fees for obtaining necessary licenses and
permits from relevant authorities.
● Environmental impact assessments: Costs associated
with conducting environmental impact assessments..
Variable cost
● Water source: The cost of accessing a reliable and high-
quality water source can be a significant factor.
● Distribution network: The cost of building and maintaining
a distribution network to reach customers.
● Marketing and advertising: Costs for promoting the brand
and product.
● Labor Costs
● material:PET resin, labels, caps and water
○ Vietnam imports large quantities of bottled water from
other countries, with major suppliers including Thailand,
Malaysia and China
● Distribution
● Maintenance and repairs: Costs for maintaining and
repairing equipment and facilities.
Market Structure : oligopoly
The market is highly competitive, with several local and
international players vying for market [Link] players in the
Bottled Water market are The Coca-Cola Company, PepsiCo,
Nestle Waters, Tata Consumer Group, Nongfu Spring, Danone,
Fiji Water, Bisleri International, CR Beverages, Tingyi/ Master
Kong, Dasani, Aquafina, Poland Spring, etc
The largest suppliers of bottled water are Pepsi's Aquafina, with a
40% market share, and Nestle's La Vie brand, with a 30% market
share. Suntory Beverage & Food currently holds a 30% market share
in the RTD tea market in Vietnam and is looking to expand further
In 2022,Vietnam's bottled water sales revenue reached USD 544
million, up 6.2% YoY(Year-over-Year), with a CAGR(Compound
Annual Growth Rate) of more than 10% to 11.18% from 2018-
2022, the size of Vietnam's bottled water market has grown
steadily in recent years
The COVID-19 pandemic has also led to an increase in demand
for bottled water as consumers become more health conscious
Due to the impact of the epidemic, overseas sales revenue of
bottled water for Vietnamese companies has been declining since
2020, with decreases of 24.8% and 3.4% in 2020 and 2021,
respectively, and overseas sales began to recover in 2022 with a
year-on-year growth of 2.5%
On average, each Vietnamese person consumes 23 liters of soft
drinks/year, lower than the world average consumption of 40
liters/year
Report Title Bottled Water Market
Market Size USD 296.1 Billion
in 2022
Market Size USD 566.9 Billion
by 2032
