Zenith Global 2014 Bottled Water Packaging Innovation Report

zenithinternational 2014 Bottled Water Packaging Innovation AAreview reviewofofrecent recentkey keytrends trendsand and new newproduct productdevelopment development

October 2014

Research Note In undertaking its research for this report, Zenith has utilised its internal data library and global databases, alongside other third party sources and interviews with the industry. Throughout its on-going research, Zenith also depends upon the goodwill and co-operation of operators active in the marketplace, and, as such, seeks to achieve a high level of accuracy.

Liability This document contains information and may contain conclusions and recommendations. Every effort has been made to ensure that the information is accurate and that the opinions expressed are sound. However, Zenith International Ltd cannot be made liable for any errors or omissions or for any losses or consequential losses resulting from decisions based on the information.

Important notice on distribution This report should not be quoted, referred to or transmitted to another party, in whole or in part, with out the prior written consent of Zenith International Ltd. Should you desire to release a copy of this report to another party for information purposes, we request you and the requesting party to indemnify Zenith International from any liability related to the report distribution. Such readers however will not be considered “users� of this report.

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Contents

For enquiries regarding this report, please contact: Zenith International Ltd 7 Kingsmead Square Bath BA1 2AB United Kingdom T +44 (0) 1225 327900 F +44 (0) 1225 327901 www.zenithinternational.com

Section

Page

1. Introduction and scope

4

2. Category overview

7

  

Common packaging types Pre and post production innovation Commentary – trends in packaging innovation

3. Key innovation drivers     

17

Key drivers summary Cost reduction Environmental impact Brand differentiation New product development and innovation

4. Product profiles

24

4.1 Product profiles: PET

25

4.2 Product profiles: Caps and Closures

53

4.3 Product profiles: Glass

61

4.4 Product profiles: Cans and Aluminium

70

4.5 Product profiles: Cartons

77

4.6 Product profiles: Bags and Pouches

80

4.7 Product profiles: Secondary packaging

91

4.8 Product profiles: Children's Bottled Water

95

zenithinternational 1. Introduction and scope

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1. Introduction and scope Bottled water packaging innovation

Overview The aim of this report is to assess developments in bottled water packaging, identifying and summarising trends and new innovations in order to understand what opportunities exist for new product development.

Scope of work A global market overview of trends and developments, featuring product profiles to benchmark against leading and innovative bottled water packaging products worldwide, tracking recent innovation within bottled water packaging as well as investigating the future outlook of the market.

Innovation can take many forms and for the purposes of this report includes:     

Bottled water packaging materials Advances in bottle and cap design and manufacture Secondary packaging Award-winning packaging designs Alternative, complex or niche packaging solutions to support a specific market or brand identity

Much of the innovation in bottled water packaging is driven by lightweighting and positive improvements in the environmental impact of bottled water consumption, including post-consumer collection and recycling. The report contains a brief market commentary with content also covering key drivers for bottled water packaging innovations.

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1. Introduction and scope Bottled water packaging innovation Definition of bottled water For the purpose of this report, the definition of bottled water is water packaged and sold for the retail and HoReCa channels. Large format bottles, such as those used for water coolers are not specifically included, although innovations of significant note may be mentioned.

Bottled waters with additives such as fruit flavourings, vitamin supplements or tea flavours may be included. Carbonated soft drinks are not included.

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zenithinternational 4. Product profiles

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PET Light-weighting

PET Engineering Swerve Neck www.petengineering.com

Overview: PET Engineering’s Swerve Neck bottle neck design was awarded ‘Best Light-Weighting Solution’ at the Global Beverage Sustainability Awards in April 2013.

Innovations: Swerve Neck creates an inner ring between the neck finish and the area under the support ledge that leads to important advantages:  Due to the way cooling of the material is affected during manufacture it reduces waste material under the support ledge and allows more material to be used in the body of the bottle.  Enables a reduction of material thickness in the neck without compromising the vertical top load capabilities of the bottle.  Allows savings of up to 20% in the neck.  Can be used with all their existing bottle designs.

In use: Sanpellegrino Levissima. The 500ml bottle uses 22% less PET than the previous bottle design.

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PET Environmental

The Coca-Cola Company PlantBottle www.cocacola.com/plantbottle

Overview: An environmentally responsible PET bottle manufactured using up to 30% plant-based ingredients.

Innovations: PlantBottle packaging is made from up to 30% plant-based material derived from sugar cane, or sugar cane processing waste, to replace some of the nonrenewable petroleum or fossil-based resources used in conventional PET plastic.

By 2020, The Coca-Cola Company (TCCC) intends to use 1st generation PlantBottle packaging for all of its plastic bottles. To date it has produced over 20 billion PlantBottles and distributed them in more than 20 countries.

In use: TCCC bottled water brand, Dasani, uses PlantBottle for all of its bottle sizes.

More TCCC water brands are likely to start using PlantBottle as part of its global strategy.

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PET Stackable

Sidel Stack & Pack www.sidel.com

Overview: A stackable, mid-size bottle design in sizes from 250ml to 1.0l. Designed in 2012, the bottle incorporates a larger recess in the base for the neck of the bottle below to sit in.

Innovations: Stackable bottles have previously been available in larger formats, but this is the first time they have been available in mid-size formats. By using a special manufacturing process to create the unique bottle shape, bottles can be stacked for palletisation without needing interlayers of cardboard or other materials.

Once the bottle is filled and capped, a stretch sleeve is wrapped around to form a pack of six bottles. The compact dimensions stability of the design enables ten layers instead of six to fit on a standard pallet. This is an increase of 40%, leading to reduced handling and shipping charges.

In use: NestlĂŠ Waters North America brand Arrowhead Water currently uses this bottle design.

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Glass Accessory

Hassia Waters LIZ water, Germany www.hassia.com

Overview: A multiple design award-winning bottle, selected for its innovation, creativity, appearance and functionality. Developed with 3-Michelin Star Chef, Juan Amador, the bottle has a unique silver spout to top off the carafe design, enabling a clear pouring function and presentation in the restaurant channel.

Innovations: LIZ won multiple design awards in 2010:  Red Dot design award for ‘Best Packaging Design’  1st place at the Water Innovation Awards in the ‘Best New Packaging or Manufacturing Innovation’ category  Honoured by the iF product design awards in the ‘Packaging Design’ category In use: Used in the LIZ range of Hassia Waters since 2010, available in both still and sparkling variants, in 350ml and 750ml formats.

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Children's Bottled Water Infant water

Danone Mi Primera Font Vella, Spain www.fontvella.es/ Overview: Mi Primera Font Vella is a new launch from Danone’s Font Vella, designed specifically for infants from the age of 6 months. The product is a winner in the 2013 Spanish packaging, Líderpack Awards, and in the Beverage category of the 2013-2014 WorldStar awards.

Innovations: The plastic bottle in 250ml format is easy for infants’ hands to hold, in addition to being light weight and sturdy. The bottle features a sterilisable mouthpiece ideal for developing infants to use, in addition to featuring a cap to protect both the nozzle and to protect from spillage.

In use: Available for sale in Spain in retail channels, in 250ml format and 6 x 250ml multipack.

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