Reasons Why You Should Invest in The Bottled Water Business Industry in Kenya
Are you an aspiring entrepreneur or want to venture into venture into a different line of business from your current industry? Are you wondering which business might be suitable for you? Ever thought of venturing in bottled water business? If this interests you, then you are at the right place. Water industry has potential for good returns if planned and implemented well. With careful research and planning, you can set up yourself foe success. In this article we will discuss some reasons why you should invest in the bottled water business industry in Kenya.
Reasons why you should invest in the bottled water business industry in Kenya
The water bottling industry in Kenya has gained popularity since the early 2000s, driven by a number of factors. Below are some factors that have led to growth and success of bottled water industry in Kenya.
Low entry barriers:
Starting a bottled water business in Kenya can be rather simple and has few obstacles. This may be attractive to businesspeople trying to break into the market and may promote healthy competition and innovation in the industry.
Concerns over safety of tap water:
The popularity of water bottling in Kenya is closely tied to concerns over the safety of tap water, particularly in urban areas. Kenya’s rapid urbanization has led to an increase in water pollution, and many people are worried about the contaminants that could be present in tap water. Some of the most common contaminants include bacteria, viruses, and heavy metals like lead.
In response to these concerns, many consumers are opting for bottled water as a safer alternative. Bottled water is typically treated to remove contaminants and impurities, making it a reliable source of clean drinking water. In addition, many bottled water brands in Kenya adhere to strict quality control standards to ensure that their products meet or exceed national and international health and safety regulations.
In past years, there have been several high-profile cases of water contamination in Kenya, which have further fueled demand for bottled water. For example, between 2014-2016, cholera outbreaks were reported in several counties linked to contaminated water from local rivers. The incident highlighted the risks associated with consuming untreated water, and many people turned to bottled water as a safer alternative.
Favourable regulatory environment:
Kenya’s government has implemented rules to guarantee the continued safety and high quality of bottled water. These rules are designed to guarantee that companies conduct themselves in an ethical and sustainable manner. This reassures customers and might increase their faith in brands. Businesses in the area can function more effectively by establishing a supportive regulatory environment.
The convenience and portability of bottled water have made it a popular choice for people on the go, particularly when traveling or away from home. Bottled water is easy to carry around, and it provides a quick and convenient source of hydration. This is particularly evident in many parts of Kenya, where many convenience stores, supermarkets, and petrol stations stock up on bottled water to meet the high demand. The country’s hot and humid climate makes staying hydrated essential, and many people prefer the convenience of bottled water over tap water when on the move.
In addition, the tourism industry in Kenya has played a significant role in driving the demand for bottled water. Tourists visiting the country often prefer to drink bottled water, which they perceive as safer and more reliable than tap water. As a result, many hotels and restaurants in Kenya stock up on bottled water to cater to the needs of their guests.
Middle class growth and expansion:
Kenya’s expanding middle class is what’s fueling the demand for bottled water. Kenyans are more willing to pay for convenience, quality, and safety when it comes to their drinking water as more of them become wealthy and have discretionary means. As a result, people are turning away from drinking water straight from traditional sources like pipes, wells, and boreholes and instead turning to bottled water as a status symbol and quality indicator.
A sign of prestige–
The consumption of bottled water has evolved over the years from being a symbol of status to becoming a widely available commodity. Around 20 years ago, drinking bottled mineral water while travelling was considered a status symbol, with people associating it with affluence and luxury. This was mainly due to increased exposure to western culture and higher education levels that created a desire for more luxurious lifestyles.
In some cases especially with choice of brand this is still the case. Despite the growing trend of bottled water being considered a basic necessity, some consumers still associate certain brands with prestige and status. Prominent bottled water brands that have been around for a long time are often perceived as premium products, and consumers who wish to maintain a sense of class and sophistication prefer to purchase these brands.
Consumers who prefer flavor-
The preference for flavored or plain-flavored bottled water often indicates a different lifestyle among consumers than those who prefer pure water. In many cases, consumers who prefer flavored water are more health-conscious and looking for ways to add some variety and excitement to their hydration routine.
In some instances, people who live in areas with poor quality tap water that tastes strange or salty may opt for bottled water to ensure their drinking water is clean and refreshing. These individuals may be willing to pay a premium for high-quality bottled water with a unique flavor profile.
Furthermore, the preference for flavored bottled water may be influenced by cultural factors. In many countries, flavored bottled water is a popular choice, with consumers seeking out unique and exotic flavors that reflect their cultural preferences.
On the other hand, some consumers prefer plain, unflavored bottled water, either for its simplicity or because they find flavored water too sweet or artificial. These individuals may prioritize purity and prefer their water to be free from additives or artificial flavors.
Easy access to raw materials:
It is crucial for the production of bottled water that raw materials like plastic bottles, labels, and packaging materials be readily available. Kenya makes for an excellent location for enterprises in the area because of its expanding manufacturing sector, which can supply these materials.
Technology and innovation:
The bottled water industry in Kenya is vibrant and forward-thinking, with businesses putting money into cutting-edge research and development to raise the caliber and security of their goods. As a result, firms have the chance to spend money on R&D in order to stay competitive.
Kenya’s economically growth advantage:
Kenya’s expanding economy and stable political climate make it a desirable location for business. In addition, the government has put regulations in place to promote foreign investment in a number of industries, notably the water sector.
Kenya’s great export potential:
Kenya has the potential to grow into a significant exporter of bottled water to other nations in the region and beyond because to its strategic location and ample water resources. Kenya is a vital site for firms looking to grow their operations in Africa, particularly the east and central African areas, as it is situated in East Africa and acts as a gateway to other markets in the area. For enterprises in the sector, this may open up new business prospects and increase income.
Increasing investment in infrastructure by the government of Kenya:
The Kenyan government is investing more in infrastructure projects, such as water treatment facilities and distribution systems, which can assist increase the effectiveness and dependability of the water supply. This can help businesses by giving them a more reliable and affordable water supply.
Machinery and equipment needed for a successful bottled water business
As was previously stated, if you want to participate in this lucrative business, you need high-quality water purifying equipment, such as reverse osmosis water purifiers. Using a RO system to purify your own water is less expensive than buying purified water. It is also more efficient because you can purify any volume of water whenever it’s convenient for you. If they don’t come up, depending on a filtered water supply could cost you business. On the other hand, the margins are substantially smaller because you have to cover the supplier markup and transportation expenses.
Vending machines for water and related machinery
Where to buy high quality bottled water business machines
Buying high quality machines for your bottled water business is one of the key ingredients to success. As discussed above, you will need reverse osmosis water purifiers and water station vending machines with several taps. If you need these machines, get in touch with us today.
Saset is a leading manufacturer of top-quality reverse osmosis machines in Kenya. Our machines come with 13 months warranty and we also offer free installation and commissioning. We also manufacture the best water station vending machines in the market.
You can also visit our offices/production facility in Kimbo Ruiru at the Toll bus stop next to Rubis Petrol Station. The google map below can also help locate us.