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Reusable Water Bottle Growth Strategy Example

Reusable Water Bottle Growth Strategy Example

Projections of Growth in Reusable Water Bottle Market

While it is generally reported that the future of the reusable water bottle market is one of consistent growth, there is reason to think these projections may be a bit too rosy. Let’s inspect this growth strategy example more closely.

Some organizations, like Skyquest and Grand View Research, have argued that the reusable water bottle market was valued at around 9 billion dollars in 2021 and is projected to grow over the next 10 years or so at around a 3-4% compound annual growth rate. These forecasts have been picked up and reported by other news outlets, and this has created a surprisingly consistent media narrative around the growing health of the reusable water bottle market. 

If we consider the primary argument that Skyquest and Grand View Research (GVR) give for their conclusions, I think it proves wanting, which undermines the conclusion they reach, namely their rosy projections of growth in the reusable water bottle market.

Growth Strategy Example:
Reasons Given to Suspect Growth

The primary argument put forth by both organizations is, in short, environmental. Skyquest and GVR argue that reusable water bottles are a solid growth strategy example. They assert environmentalist consumer concerns about plastic pollution and climate change will continue to increase over the coming years, which will in turn, reliably increase the desire of consumers for reusable water bottles instead of single-use water bottles.  

Yet, this conclusion seems doubtful. For the sake of the argument, let us grant there will be increased environmentalist concerns about plastic pollution and climate change. Similarly, let us also grant Skyquest and GVR the assumption that consumers will rationally seek to avoid climate catastrophe. Still, this does not mean we should think consumers will increasingly desire to replace their single-use water bottles with reusable ones. 

After all, there are multiple ways to combat plastic pollution and climate change. Some are more or less effective ways of avoiding climate catastrophe or plastic pollution. And, it is actually not self-evident that water bottle usage is the most important factor in all this.  

Reusable Water Bottle Growth Strategy Example

Growth Strategy Example:
Plastic Usage Small in Single-Use Plastic Water Bottles Alone

After all, as FoodPrint has relevantly noted, the plastic in: 

“water bottles, soda bottles, and more, — makes up 10.2 percent of global plastic production.” 

 Single-use water bottles, therefore, make up less than 10% of plastic use. Which means that it is not so obvious that rational consumers would recognize changing towards reusable bottles rather than single-use bottles as a vital way to avoid plastic pollution. 

So, where does the rest of plastic use come from? Here’s some data from Plastic Soup.

Reusable Water Bottle Growth Strategy Example
  • 44% – Packaging (This includes the 10.2% for bottles)
  • 18% – Construction
  • 8% – Automotive
  • 7% – Electrical & Electronic
  • 7% – Household, Leisure & Sports
  • 4% – Agriculture
  • 12% – Other

Perhaps this isn’t a home-run growth strategy example after all.

Growth Strategy Example:
Reasons to Not Suspect Growth

One obvious thing an individual can do to not contribute to plastic pollution is using reusable bottles, not single-use ones. I’m not objecting to that. I’m merely noting individual solutions are not, by definition, the best answer to global or collective problems. There are wiser ways to reduce plastic production than by focusing on individual water bottles.

If we are entering an era of increasing climate concern, it is not clear that rational consumers seeking to avoid climate catastrophe will behave in the way that Skyquest and Grandview Research assume they will. And if we have reason to seriously doubt an assumption critical to the primary argument both organizations make, we have reason to doubt their conclusion: projections of rosy growth in the reusable water bottle market. 

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