Bottled Water - Luxembourg

The Bottled Water market in Luxembourg has been experiencing significant growth in recent years.

Customer preferences: One of the main reasons for the growing demand for bottled water in Luxembourg is the increasing health consciousness among consumers. With the rising awareness about the importance of staying hydrated and maintaining a healthy lifestyle, more and more people are opting for bottled water as a convenient and safe option. Additionally, the convenience factor plays a crucial role in the popularity of bottled water, as it can be easily carried and consumed on-the-go.

Trends in the market: One of the key trends in the bottled water market in Luxembourg is the shift towards premium and flavored water. Consumers are willing to pay a premium for high-quality and innovative products that offer unique flavors and added health benefits. This trend is driven by the desire for variety and enhanced taste experiences. Another trend in the market is the increasing demand for environmentally friendly packaging options. Consumers are becoming more conscious of the environmental impact of plastic bottles and are opting for products that are packaged in sustainable materials.

Local special circumstances: Luxembourg's small size and high population density contribute to the growth of the bottled water market. The compact nature of the country makes it easier for manufacturers and distributors to reach a large number of consumers. Additionally, the high standard of living in Luxembourg allows consumers to afford premium bottled water products, further driving the market growth. Moreover, the country's tourism industry also plays a significant role in boosting the demand for bottled water, as tourists often prefer to purchase bottled water instead of tap water when traveling.

Underlying macroeconomic factors: Luxembourg's strong economy and high disposable income levels are key factors driving the growth of the bottled water market. The country has a thriving financial sector and a high GDP per capita, which enables consumers to spend more on premium products like bottled water. Furthermore, the country's favorable business environment and strategic location make it an attractive market for international bottled water brands to expand their presence. The government's focus on promoting healthy lifestyles and sustainability also contributes to the growth of the bottled water market in Luxembourg.

Data coverage:

The data encompasses B2C enterprises. The at-home market covers retail sales via super- and hypermarkets, eCommerce, convenience stores, or similar sales channels. The out-of-home data encompasses all sales to hotels, restaurants, catering, cafés, bars, and similar hospitality service establishments. Combined numbers encompass both the at-home market and the out-of-home market. Both the at-home and the out-of-home market are valued at retail selling prices including all sales and consumption taxes.

Modeling approach:

Market sizes are determined through a Top-Down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending (e.g. consumer spending on Non-Alcoholic Drinks, consumer spending at Hotels, Restaurants etc.), and price level index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Non-Alcoholic Drinks market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.