Bottled water is a remarkable category, Hemphill said, that segments a variety of ways. Of most interest to c-stores is the single-serve clear plastic bottle of still water, which is about 70% of the total bottled water category on volume and is the biggest growth driver.
“It started to slow because it’s so big, and pricing is going up there, too, which could be impacting the growth of the category,” he adds. “But we continue to see healthy performance there because it’s a very well-positioned product.”
Sparkling water, which showed double-digit growth for several years, has hit a wall, Hemphill said. “That (slowdown) is maybe the biggest surprise in bottled water,” he said.