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With advances in technology and industrial development, water pollution has increased. Underground water has polluted to such an extent that it’s not drinkable now. So, people use filtered water for drinking. Besides some places where natural water is still drinkable, people buy water. The bottled water business is also one of the beneficial businesses as it’s also the need of the day. You can start the distribution of bottled water to different shops and cafeterias. This will earn a handsome profit for you. However, before starting this business officially, you should learn how to start a bottled water business.
You can provide your customers with healthy drinking water by offering your services. There are three basic options for you to start this type of business.
- Purified water supply business
- Distilled water supply
- Natural water supply
You can manage the packaging of any of the above waters according to the demand of customers. But we are repeating, you need a comprehensive understanding of the relevant industry, as given in the later section, before you take the initiative as a professional. You can make money by providing people with healthy water.
How to Start a Bottled Water Business
After you are determined to start a bottled water business, you’ll have to learn all about registering your business to your state authorities, and to start this business effectively needs through market research that’s a time-consuming task. We’ve done this job for you to save your precious time. Here is a precise and easy procedure to start your business in this niche.
Dig the Market Thoroughly
There are fewer chances of success for such a business that’s started without proper market research. With little or no market understanding, you may fail to reach the customers’ requirements that may bring you a remarkable loss. Never start any business in a hurry without proper market research. The same is in the case of the bottled water business.
You’ll have to learn all the market strategies from the existing businessmen of the relevant industry. Dig the market and learn how they deal with their customers to meet their requirements. This research is key to the success of your water distributing business.
Plan Your Business
A planned business is more likely to be successful than an unplanned one. In a pre-planned business, you know how to proceed effectively. This will prevent any confusion during your journey in this business. On the contrary, an unplanned business may confuse you and result in remarkable failure. So, never move on without a solid plan for your business.
The same is in the case of the bottled water business. You’ll have to move in a pre-planned manner. This plan will guide you throughout your business journey. So, write your plan to avoid any confusion or trouble during your business. Consider the following points while planning your bottled water business.
- What will be the startup costs?
- How to manage raw material for bottles?
- Process of how will you decide the price?
- How will you earn through this business?
- What will be the name?
- How can you make your business more and more profitable?
- How to manage to fund?
We’ve concluded the points mentioned above through our research. However, if you have any better ideas for your business, you can also add them to your plan.
Learn all About Your Target Market
Learning the target market is one of the important factors that contribute a lot to the success of any business. Before you start officially as a bottled water manufacturer:
- Learn about your target market.
- Try to learn who your potential customers will be.
- Have a look at all the positive and negative aspects of your target market.
You can also learn a lot from the existing brands. Mostly, your target customers will be commercial enterprises, grocery stores, or some small industries that will get your products. Learning all this is essential for a successful bottled water business.
Decide Pricing
Deciding prices for your bottled water is one of the important aspects to look at. Offer your customers a price that will be reasonable to your competitors. Gradually, you can increase your prices when you’ve set your business well.
Generally, bottled water suppliers charge $1 to $2 per bottle. Try to set a reasonable price that will compete with this market rate. All this will lead you to a successful journey with the bottled water business.
Choose an Attractive Name
The name of your business is one of the important factors that contribute a lot to the success of your business. A catchy name will attract the maximum number of customers. So, choose a catchy name for your water business.
You may have a unique idea about the name of your business. However, you can search for a proper catchy name for your business too.
Registration and Licensing
When you’ve decided on a proper name for your business, the next step is to become a legal entity. For this, you’ll have to decide the structure of your business. You may choose any one of the following structures for your business.
- Sole Proprietorship
- A Corporation
- Limited Liability Company (LLC)
- As a partner
Being a legal entity will prevent you from many inconveniences. You’ll be able to move legally without any hurdles. When you have decided on a proper structure for your business, register your business to the local authorities of your state.
Besides registering your business structure, you’ll also have to register your business for different federal taxes like LLC taxes, etc.
Besides setting up a business structure and tax payment method, you’ll have to get some essential permits and licenses per your state’s demands. You’ll have to obtain a permit from the Food and Drug Administration (FDA). Manage all the necessary licenses and permits according to the rules and regulations of your state.
Insurance Policy
Insurance of your business helps you run your business smoothly as you can operate within the system without any fear of loss. Book a reasonable insurance policy for your business. If you don’t know much about filing an Insurance Policy, contact any experienced insurance agent. He will do essential paperwork for the insurance of your business.
Hire a Team of Experienced Workers
You can run your business alone. So, hire an experienced team of workers for different posts. You’ll have to manage the filling, packaging, storing, and distribution of the water. All this is possible only if you have an experienced team. So, hire some employees on a reasonable salary. Give them proper training and ask them to work for you.
Build a Website for Your Business
Building a website for your business will bring you a maximum number of potential customers online. Online presence is necessary for the successful running of the business in the modern world of advanced technology. Put all your products and relevant content on your website and hire an expert SEO. He will do essential SEO on your website that will put your site in the Google search engine. This will increase your number of customers.
Advertise Your Business
The final step before you take a proper start is the advertisement of your business. Hire an expert who will manage the advertisement of your products on all platforms of social media. This will tell your customers about your services, and they will approach you.
Frequently Asked Questions
Is the bottled water business profitable?
Yes, starting a bottled water business is very beneficial and profitable. You can earn a handsome profit margin by selling your products. According to market research, such a business can bring about a 35% to 65% profit margin.
How do I succeed in the bottled water business?
You can succeed in any business with proper planning and market research. If you start a bottled water business without proper market research and understanding, there are chances of failure. So, you can succeed if you can understand the industry well.
Can I bottle my water and sell it?
Yes, you can bottle your water for selling, but it needs certain permits and licenses. If you manage these licenses and permits according to the rules and regulations of your state, you can sell your bottled water.
How much money do water bottle companies make a year?
According to the survey of 2019, a well-settled bottled water business can bring you up to $19.4 billion annually in the US. This margin may increase or decrease from state to state or according to the surrounding circumstances.
Conclusion
Starting a bottled water business is a source of providing people with healthy water. Also, this will bring you a handsome profit margin. However, like many others, you can’t start this business without proper planning and market research. You’ll have to dig into the market deeply before you start as a professional. This is a time-consuming task. We’ve done this job on your part. After deep research, we’ve evaluated a precise and easy method to start a bottled water business. You can start your business in this niche by following the procedure mentioned above.
