According to a new report published by Allied Market Research, titled, “Water Cooler Market by Product Type, by Application and Distribution Channel: Global Opportunity Analysis and Industry Forecast, 2021–2027,” the global water cooler market size was valued at $836.5 million in 2019, and is projected to reach $992.4 million by 2027, registering a CAGR of 3.8% from 2021 to 2027. The bottleless water cooler segment was the highest contributor to the market, and is estimated to grow at a CAGR of 4.6% during the forecast period. Also the bottleless water cooler held a leading position in the global market in 2019, and is expected to maintain its dominance in the future.
The business expansion and rapid widespread of water cooler stores in local and regional market is fuelling the market growth. Furthermore, these offline stores play a significant role to maintaining the foothold of the brand in market. These offline stores include distribution channels such as direct distribution, supermarket/hypermarket and specialty stores. Moreover, the water cooler industry is expanding their product line by introducing novel design, advanced technologies and new features. This modification in technology, design and features include touch-less operating, RO, UV and portability. These advancements are adding value to the water cooler model, which attracts more customer.
Furthermore, the demand for the water coolers is increasing in the food service and hospitality sector. This is because the water coolers serve for the need of hot and cold drinkable water of the customers. Consequently, these factors lead to the global water cooler market growth.
According to the global water cooler market analysis, it is segmented into product type, application, distribution channel and region. The product type includes bottled water cooler, bottleless water cooler and top load water cooler. On the basis of application, the market is classified as commercial and residential. Based on the distribution channel, it is divided into direct distribution, supermarket/hypermarket, specialty stores and e-commerce. Region-wise, it is analyzed across North America (the U.S., Mexico, and Canada), Europe (Germany, France, UK, Italy, Spain and Rest of Europe), Asia-Pacific (Japan, China, Australia, India, South Korea, South East Asia and Rest of Asia-Pacific), and LAMEA (Latin America, the Middle East and Africa).
According to the global water cooler market forecast, on the basis of product type, the bottleless water cooler segment was the highest contributor the growth of water cooler companies. Also, it was valued at $453.7 million in 2019 and is projected to reach $573.8 million by 2027, registering a CAGR of 4.6% from 2021 to 2027. The growth attributes to low maintenance and increase in awareness about health and hygiene.
On the basis of application, the commercial segment was estimated to reach $677.6 million by 2027, at a CAGR of 3.0%. This growth attributes to increase in the number of school, offices, restaurants and hospitals. Whereas, the residential water cooler segment is the fastest growing segment application-wise. With the growth is registered with a 5.7% CAGR. The increase in urbanization and increase standard of living contributes to the increase in the demand for water coolers.
Based on distribution channel, the supermarket/hypermarket segment is estimated to reach $292.3 million by 2027, at a CAGR of 3.2%. As the supermarket/hypermarket provides a large variety of water coolers in the stores. This allows customer to choose right product of good brands.
Region-wise, North America has gained considerable traction in this market and is expected to grow at the highest CAGR of $3.1% during the forecast period. This growth attributes to the presence of numerous water cooler brands in this region. The presence of numerous brands leads to the competition of brands on a large scale. Through this competitive environment, the customer enjoys the products with latest features at a reasonable price.
Key Findings Of The Study
- Key findings of the study
- The market size was valued at $836.5 million in 2019, and is estimated to reach $992.4 million by 2027, growing at a CAGR of 3.8% during the forecast period.
- By product type, the bottleless water cooler segment is estimated to witness the fastest growth, registering a CAGR of 4.6% during the forecast period.
- In 2019, depending on application, the commercial segment was valued at $608.0 million, accounting for CAGR of 3.0% of the global water cooler market share.
- In 2019, the U.S. was the most prominent market in North America, and is projected to reach $248.5 million by 2027, growing at a CAGR of 2.8% during the forecast period.
Key players in the market have relied on strategies such as product launch and business expansion to expand their stance in the global market and to stay relevant to maintain the global water cooler market trends. The key players in the global water cooler companies profiled in the report are AB Electrolux, Avalon Water Coolers, Blue Star Limited, Brio Water Technology, Clover Co., Ltd., Farberware Cookware, Kenmore, Oasis International, Primo Water Corporation and Voltas Ltd.