Hydration Backpack Market Analysis Report By End User, By Distribution Channel, By Region And Segment Forecasts From 2019 To 2025

Industry Insights

The global hydration backpack market size was estimated at USD 309.9 million in 2018 and is projected to grow at a CAGR of 12.4% over the forecast period, from 2019 to 2025. The growth of the product is majorly due to its benefits such as being hands-free and its ability to maintain hydration levels. Additionally, the growing participation of consumers in activities such as cycling, running, and hiking owing to growing awareness about a healthy lifestyle is expected to increase the market growth.

According to Outdoor Foundation, in the U.S., hiking is the fourth most popular sport followed by running, fishing, and biking. As per the study, in 2017, 44.9 million people were involved in the hiking sport. Moreover, various sports associations and manufacturers are focusing on creating awareness among consumers across the globe. They are also advising athletes, trekkers, and mountaineers for using hydration backpacks.

In India, it is observed that hydration bladder is most popular especially among trekkers.  Approximately 4-5% of consumers use this backpack, and this trend is expected to increase in the coming few years. Additionally, manufacturers are also developing new products based on advanced technologies which can be suitable for all climatic conditions across the world.

Furthermore, the availability of these products in the form of rain cover and camouflage fabrics is widely used for military services. The online channel is projected to grow at a CAGR of over 13.0% from 2019 to 2025. The increasing penetration of digital media especially across China and India is estimated to support the market growth.

End-User Insights

Based on end-user, the hydration backpack market is fragmented into sports and military. In 2018, the sports category held the largest market share in the overall market. Owing to the high demand for the products from trekkers, cyclists, athletes, and hikers, the segment is expected to have significant growth in the coming few years. Moreover, different mountaineer associations are making people aware of the health benefits associated with the usage of the product.

Military application is anticipated to grow the CAGR of 13.0% over the forecasted period. The introduction of products with rain cover features and camouflage fabrics are anticipated to bolster the demand for the product.

Distribution Channel Insights

In 2018, the specialty stores channel held the largest market share in the overall market. The segment is expected to grow substantially over the forecast period, owing to its reach across tier 2 and tier 3 cities in the major countries. For instance, Lululemon has extended its reach across countries such as China, Australia, South Korea, U.K., and Germany by adding 40 new stores to increase its distribution network.

The online channel is projected to grow at a significant CAGR during the forecasted period. The growing network of e-commerce along with the increasing penetration of smartphones is expected to propel the segment growth. Online platforms such as Amazon, Flipkart, and Myntra are expected to boost market growth. Moreover, online retailers sell their products by offering discounts, cashback offers, and other coupons with 24*7 services.

Regional Insights

In 2018, North America accounted for the largest market share in the overall market. In this region, there is a high demand for the product due to the presence of the different sports adventure locations in Canada, and the U.S. Moreover, the growing visibility of the product across the region is also expected to boost the market growth.

The Asia Pacific is estimated to grow at a cagr of 13.9% from 2019 to 2025. The growing awareness among consumers regarding outdoor activities owing to its health and fitness is expected to positively impact the market growth. Additionally, an increasing number of outlets offering all branded items in the China and India is also supporting the growth of the product.

Impact of COVID-19

COVID-19 outbreak has affected the textile industry significantly thus, the sales of hydration backpack products have been declined. The majority of the backpack brands have shut down their retail outlets following government restrictions. For example, Adidas, a sportswear giant has foreseen a decline of 80.0% in its sales in the Chinese market due to the coronavirus pandemic.

The shortage of raw materials required for backpack manufacturing is mainly causing disruption in the supply chain. With the partial lifting of lockdown, some of the companies have opened up their production units in the South Asian market. However, the companies are not working at their full capacity, which, in turn, adversely affecting the market growth.

Hydration Backpack Market Share Insights

Leading players in the market include Samsonite IP Holdings S.AR. L, Cascade Designs, Inc., HydraPak, LLC, Osprey Packs, Inc., Deuter Sport GmbH, Mazama DesignsLLC, Wingnut, and JACK WOLFSKIN.

The companies are focusing on new product development and mergers &acquisitions. For instance, in 2017, Samsonite acquired eBags, an online retailer to expand its business and product portfolio.

Report Scope

Segments Covered in the Report

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends and opportunities in each of the sub-segments from 2015 to 2025. For the purpose of this study, Million Insights has segmented the global hydration backpack market report on the basis of end-user, distribution channel, and region:

• End User Outlook (Revenue, USD Million, 2015 - 2025)
    • Sports
    • Military

• Distribution Channel Outlook (Revenue, USD Million, 2015 - 2025)
    • Specialty Stores
    • Departmental Stores
    • Online Retail

• Regional Outlook (Revenue, USD Million, 2015 - 2025)
    • North America
        • U.S.
    • Europe
        • Germany
        • U.K.
    • The Asia Pacific
        • Japan
        • Australia
    • Central & South America
        • Brazil
    • Middle East & Africa (MEA)