Marketing to Millennials with Metal: Liquid Death’s Disruptive Edge

As part of my Strategic Marketing Management course at Bentley University, I conducted an in-depth industry, competitor, and company analysis on Liquid Death, one of the fastest-growing and most unconventional brands in the premium bottled water space.

This assignment challenged me to explore the broader bottled water industry, evaluate key competitors like Essentia Water, and assess Liquid Death’s internal capabilities through a full SWOT analysis. The project offered valuable insight into how bold branding, sustainability, and strategic positioning can disrupt even the most saturated markets.

Industry Analysis:

The U.S. water bottle industry is the “largest beverage category in the U.S. on a volume basis”(Beverage Industry, 2024), making it intensely competitive due to factors like difficulty in product differentiation. According to Beverage Industry, carbonated soft drinks sold 11.8 billion gallons in 2023 while bottled water sold 15.9 billion gallons that same year, highlighting how dominant the water bottle industry is.

Despite this dominance, the water bottle industry has its challenges; the United States Environmental Protection Agency has concerns around micro-plastics with water sourcing, as it has been “found in human livers, kidneys, and placentas”(U.S. Environmental Protection Agency, 2023). The rising supply chain costs and market saturation additionally create challenges for long-term profitability (Fortune, 2023). Forbes has noticed that health-conscious consumers, particularly among younger demographics, are impacting beverage trends; Consumption of alcohol and sugary drinks, for example, is declining, while demand for functional beverages, such as water, and sustainability, such as eco-packaging, is increasing.

There are multiple external factors that shape the water bottle industry. Price sensitivity is an economic factor affecting purchasing behavior, specifically in low-income segments (Kenton, 2023). This means that while there are brands, like Saratoga water, that sell $2 to $5 a water, many people can’t afford to purchase it and will instead opt for cheaper brands. Technologically speaking, influencer marketing drives brand awareness and consumer engagement, especially among younger audiences on social media platforms. One example of this is Essentia Water constantly being used in the Keeping Up with the Kardashians show. Increasing regulations on water sourcing is another external factor. One instance of this is California implementing groundwater extraction policies, which require companies to obtain environmental permits and limit water withdrawal during drought conditions. Additionally, San Francisco has banned the sale of single-use plastic water bottles in public facilities (California Water Impact Network, 2025). Finally, social movements advocating for environmental sustainability have influenced consumer preferences by increasing awareness of pollution and climate impact. Many consumers now demand greater transparency and environmental accountability from bottled water brands, making companies like Liquid Death to adopt recyclable aluminum packaging instead.

Competitor Analysis:

While Liquid Death is one of the fastest-growing and most recognizable premium bottled water brands in the industry, Essentia Water is another leading company, making it one of Liquid Death’s biggest competitors (Statista, 2024). Essentia Water is known for its ionized alkaline water with “a pH of 9.5 or higher and a clean, smooth taste which provides the body with necessary hydration” (Essentia Water, n.d). The product is marketed towards consumers looking for performance and wellness, which targets people who value functional health benefits. Essentia Water, Ionized alkaline water purified with a proprietary process with added Quick 2 electrolytes, prices their bottles around $1.99 to $2.50 per 1-liter bottle. Although this pricing is slightly below Liquid Death's, it is still positioned as a premium product. Essentia Water is distributed to retailers like Whole Foods, Target, Amazon, etc. The brand emphasizes hydration as it is positioned as a performance-enhancing water. Lifestyle and wellness partnerships via Instagram and YouTube helped communicate directly to Millennials and Gen Z consumers, as well as sports sponsorships with high-profile athletes across NBA, NFL, and MLB to endorse the product and build credibility around its effectiveness (BevNET, 2021).

In terms of key metrics, CompWorth and IncFact illustrate that Essentia Water generates approximately $73 million in revenue annually and employs around 100 to 200 people. The company experienced growth before its acquisition by Nestlé and later by Primo Water. Although growth has stabilized, Essentia is still a top competitor in the health and wellness hydration category in the U.S.

Essentia Water’s strength is heavily due to its high brand awareness within the wellness space, where it’s recognized as a performance-enhancing, functional beverage. Essentia also benefits from strong retail distribution and strategic partnerships, supported by its parent company, Primo Water, which enables it to maintain a nationwide presence with major retailers. On the other hand, some of their weaknesses include reliance on plastic bottles, which raises sustainability concerns, and a product appeal that tends to be more niche, making it less effective with regular consumers.

Additionally, the brand lacks a distinctive voice, seen in newer competitors like Liquid Death, and offers limited product variety beyond its core water line. Essentia has many opportunities, such as they could expand into sustainable packaging options such as aluminum or Quick 3 recycled materials, aligning more with environmentally-conscious consumers. It could also explore new product lines like flavored waters to broaden its appeal and evolve in the beverage space. There are some threats as well to the brand: rising consumer demand for sustainability could put pressure on plastic-based brands, increased competition from disruptive newcomers that are capturing culturally-driven audiences, and economic fluctuations could decrease demand for premium-priced water products.

Company/Product SWOT Analysis:

To take more of an internal perspective, Liquid Death is a premium 100% recyclable aluminum water brand that differentiates itself through punk-branding, such as the “Murder Your Thirst” phrase, and a strong environmental mission. It targets Gen Z and Millennial consumers who shop at their retail partnerships (Whole Foods, Target, and 7-Eleven), and are environmentally conscious and drawn to alternative culture. Liquid Death positions itself as a lifestyle brand, with a product line that includes still and sparkling mountain water, flavored waters, and iced teas (Liquid Death, n.d.). Liquid Death is currently in the growth stage of its product life cycle, having surpassed its introduction phase and now expanding distribution, product lines, and consumer awareness.

According to Entrepreneur, Liquid Death generated $263 million in revenue in 2023, making the company currently valued at $1.4 billion. It has raised over $267 million in funding, placing it among the fastest-growing brands in the bottled water category. Liquid Death has a significant market presence due to its availability in over 60,000 retail locations across the U.S (Florea, 2023).

Liquid Death’s success is driven by a combination of key factors: its distinctive aluminum tallboy cans, premium pricing, wide retail distribution, and a disruptive brand identity that positions water as edgy-alternative. Its recyclable aluminum cans appeal to environmentally conscious consumers, and its anti-establishment tone and viral marketing connect with younger audiences. It also has partnerships in music and digital media, positioning it as a lifestyle brand with cultural relevance.

Liquid Death has an incredibly recognizable brand identity that sets it apart from competitors. A major strength is its commitment to sustainability, with recyclable aluminum packaging, as well as marketing that strongly resonates with Gen Z and Millennial consumers. Financially, the company is also well-positioned, having grown revenue from $130 million to $263 million in just one year. With distribution in over 60,000 retail locations, Liquid Death has established a powerful presence in the U.S. market. However, the brand’s edgy aesthetic and premium pricing limit its appeal with older consumers, as its identity may not translate as effectively outside of its niche audience.

Additionally, Liquid Death has limited international presence, which restricts its global potential. The company relies heavily on marketing and cultural relevance, rather than functional product innovation like Essentia that is more established in the wellness space. Growth opportunities include expanding the product line to include functional beverages or energy drinks, growing an international presence such as in Europe or Asia, and continuing to collaborate with artists and musicians at events to deepen cultural engagement. Enhancing its health-forward messaging, such as hydration or performance benefits, could also broaden its appeal. Threats include the risk of competitors copying its branding strategy, the rising aluminum costs, and the potential economic downturns on consumer demand for premium-priced water.

Based on this SWOT analysis of Liquid Death and Essentia Water, Liquid Death’s greatest growth opportunities are in product expansion and entering the global market. While Essentia has a strong presence in the functional wellness space, its product line is limited and heavily tied to plastic packaging. On the other hand, Liquid Death already has a recognizable brand and cultural appeal among younger U.S. consumers. Its use of recyclable aluminum makes it sustainable, and its brand voice allows for flexibility in entering functional drinks, energy beverages, or enhanced hydration products, which would allow it to capture some of the wellness market Essentia currently dominates. Additionally, Essentia's limited cultural relevance gives Liquid Death an advantage if it expands into international markets. By adapting its rebellious, sustainability-driven branding to global audiences and building strategic partnerships with music, art, and culture influencers, Liquid Death could extend its success beyond the U.S.