Coca-Cola plans second assault on water market

Posted May 2, 2007 in [Corporations]

May 2, 2007, Marketing - Coca-Cola is gearing up for a second offensive on the European water market, three years after it was forced to withdraw its Dasani brand.

According to industry insiders, the drinks firm will roll out Chaudfontaine, a local water brand it owns in Belgium, to the UK and the rest of Europe. The brand is expected to launch by the end of this year.

The development of a pan-European water brand marks a change in strategy for the drinks firm, which has previously focused on local brands in its key European territories.

Coca-Cola acquired the Chaudfontaine brand in 2003 in a joint venture between bottler Coca-Cola Enterprises Belgium and Coca-Cola in Atlanta. It is currently sold in Belgium with some distribution in France and The Netherlands.

The company has been keen to re-enter the bottled-water market in Europe since the Dasani fiasco. The product was withdrawn from the UK and its roll-out in Europe cancelled after the purified tap water was found to be contaminated with bromate traces.

The water category grew 11% to pounds 643m in take-home sales last year, according to the Britvic Soft Drinks Category Report 2007.