Bottled Water Fizzles

August 18, 2009

Is your bottled water habit a bit, well, flat? You aren't alone. Budget-conscious consumers are weaning themselves off the bottle because of the recession. It's hard to think of another bit of recession fall-out so beneficial to our planet because we know what this means to our environment: Greenification.

Nestle, the country's largest seller of bottled water, has reported that profits for the first half of 2009 dropped 2.7 percent. This is the first decline in the company's numbers in six years and analysts have pinpointed the source as water.

Market researchers say it's an obvious place to cut. For thousands of years, people have drank water and they've done it without bottles involved. They've put their heads down to streams, locked lips on backyard hoses, and enjoyed pouring glasses straight from the kitchen tap. The bottling of water is an extremely recent phenomenon that has been dangerous for both people and the environment.

The danger for people is that bottled water doesn't contain fluoride, inserted for growing children's teeth. The danger for the environment came on the other end as 86% of plastic water bottles went in the trash, instead of into recycling efforts. They stuffed landfills to overflowing with lightning speed.

"I thought we'd never be able to impact sales of bottled water, and all of a sudden it's really gained momentum," said Wenonah Hauter, executive director of advocacy group Food & Water Watch. "I think we're making real progress."

You remember the glory days of bottled H20, right? Sales of bottled water gushed 59 percent to $5.1 billion between 2003 to 2008, making it one of the fastest growing beverages. About 70 percent of consumers currently say they drink bottled water.

But the recession stemmed the tide. Nestle sells a variety of brands, such as Poland Spring, Deer Park, S. Pellegrino and Perrier. It was the only sector in Nestle's food and beverage group to post a decline in global sales during the first half of the year, down 2.9 percent because of weakness in the United States and Western Europe. Coca Cola is also seeing a softening, again in the bottled water sector of its business.

According to Jeff Cioletti, editor in chief of trade publication Beverage World, per capita consumption dropped from 29 gallons to 28.5. Cioletti said he doesn't believe the well will spring forth again anytime soon.

"There were sort of a lot of headwinds," he said.

That's right. Not just the economic downturn, but a campaign by environmentalists to get consumers to turn on the tap.

Government offices are now campaigning to cut off the bottled water and return to the tap. And some grocers are determined to at least stop selling imported bottled water after considering the carbon footprint that goes into producing, transporting and selling it.

According to Food & Water Watch, more than 17 million barrels of oil -- enough to fuel 1 million cars for a year-- are needed to produce the plastic water bottles sold in the United States annually.

So here's an idea whose time has come: since everyone's cutting back at home, this is the perfect time to kick your business' bottled water habit. Buy a distiller. Water: on tap to help you Greenify.


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