Tuesday, June 11, 2013

Why Chinese big water bottle offer less value added?

I noticed that at the supermarket big water bottle are proportionally more expensive than standard water bottle!

Let me show you:

As you can see the standard 1,5 liter water bottle costs 2,5 rmb while the big water bottle 4,5 liter costs 8,5 rmb!

In term of content, one big water bottle 4,5 liter equals three standard 1,5 liter water bottles. But in fact one big water bottle it is proportionally more expensive!

This of course makes no sense!

  • It is urgent to waste less plastic in order to pollute less and waste less oil
  • For the water company they spend less when producing and transporting one big bottle as opposed to three small standard bottle

Why big water bottle cost more?
It has to do with customers. In China only wealthy customers or companies use large bottle.
They have a water fountain at home and can offer some water to their guests. It is another product line, a different market!
These wealthy customers can pay more. They won't look at the price so much. This market is also less competitive...

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