No.3663
Water Delivery Service Market in Japan: Key Research Findings 2024
Water Delivery Market for FY2024 Projected to Grow by 1.2% from Previous Fiscal Year
Yano Research Institute (the President, Takashi Mizukoshi) has conducted a survey on the domestic water delivery service market and its peripheral market, and found out the trends by segment, the trends of market players, and future perspective.
Market Overview
The water delivery market was estimated to be worth 177,000 million yen for FY2023, which is 101. 1% of the previous year's value (based on retail price). Although the number of customers did not increase, heatwaves during the summer increased the number of water bottles sold per customer, resulting in a slight rise in the total number of water bottles sold.
While the market for water delivery continues to be significant, rising cost for logistics have prompted major water delivery companies to transition to pour-over water dispensers, shifting strategic focus toward customer retention rather than customer acquisition.
Noteworthy Topics
Strategic Shift to Pour-Over Water Dispensers
Sales of pour-over water dispensers in FY2023 showed double-digit growth both in accumulative shipment volume and in shipment value. Against the backdrop of the expansion of the pour-over water dispenser segment—stemming from the ease of installation that requires no technician—water delivery businesses are increasingly shifting to pour-over water dispensers.
The market got a tailwind in FY2023 with manufacturers releasing new dispensers to expand the range of product offerings, while distribution agencies actively acquire nedw customers.
Future Outlook
The water delivery business market is projected to reach 179,200 million yen in FY2024, which is equivalent to 101.2% of the preceding fiscal year. However, given the current strategy of companies not focusing on new customer acquisition, market growth is projected to decelerate.
In the meantime, pour-over water dispenser segment is expected to remain robust. By focusing on retention strategies, water delivery businesses strive to enhance customer loyalty and maximize the lifetime value of each customer.
Research Outline
2.Research Object： Mineral water delivery services, enterprises providing Point-of-Use (POU) water dispensers or pour-over water dispensers
3.Research Methogology： Face-to-face interviews by our expert researchers (including online interviews), survey via telephone, and literature research
In this research, water delivery services refer to businesses that rent water dispensers to homes and offices and deliver large bottles of mineral water for use with those dispensers. The market size for water delivery service is calculated based on retail value (end-user sales price). This category excludes water delivery without dispenser rental and water dispenser rental without water delivery—such as POU water dispenser, pour-over water dispenser—and the delivery of PET water bottles.
Point-of-Use (POU) water dispenser is a dispenser connected directly to water supply line. Water is purified through high-performance filters and stored in a built-in tank, which is automatically refilled.
Pour-over water dispenser is a freestanding unit that requires manual refilling of an internal reservoir. Similar to POU dispensers, water is purified through high-performance filters and stored in a built-in tank.
＜Products and Services in the Market＞
Water delivery services, POU water dispenser, pour-over water dispenser
Published Report
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