Mineragua might be challenging to pronounce, but its owners believe that the distinctive name could serve as a vital asset in establishing authenticity for the sparkling water brand as it competes with beverage titans like Coca-Cola and Nestlé. “We’re not changing just for the sake of catering to the general market,” said Efrain Mendoza, a brand manager at Novamex, acknowledging that the name is “a bit tricky to say.” “We remain true to our roots, and it’s something we take pride in, along with the culture behind it.”
Launched in 1997 by Novamex, a Texas-based beverage manufacturer also known for Jarritos flavored soda and the non-alcoholic sparkling drink Sangría Señorial, Mineragua was initially branded as Jarritos Mineragua Club Soda. However, in 2021, Novamex revamped the brand, opting for the more fashionable sparkling water label instead of the club soda designation. Over time, the company has refreshed its packaging and streamlined its ingredient list (though they chose not to disclose which ingredients were removed), enabling a focus on minerals and carbonation.
Using tap water sourced from two locations in Mexico, Novamex adds minerals and carbon dioxide to produce Mineragua, which is sold in just one SKU. While the company has internally explored flavored variations, the current emphasis is on expanding distribution and attracting more customers beyond its primary Hispanic demographic. “Our consumers observe what competitors are doing and request flavors,” Mendoza noted. “But ultimately, we need to enhance consumer engagement before we can broaden the brand. For now, let’s stick with what we have.”
This cautious approach to growing Mineragua contrasts sharply with competitor Topo Chico, which Coca-Cola acquired for roughly $220 million in 2017. Since then, Coca-Cola has leveraged its resources to significantly increase Topo Chico’s distribution in the U.S. and introduce premium sparkling waters infused with fruit juices and herbal extracts, as well as alcoholic options through its collaboration with Molson Coors. The beverage giant is optimistic that Topo Chico will eventually evolve into a $1 billion brand.
According to Circana data, Mineragua ranks as the sixth best-selling item in the non-flavored seltzer/sparkling/mineral category. The Chicago-based market research firm reported that Mineragua’s sales surged by 30% to $30.4 million for the 52-week period ending June 18. Mendoza estimates that his brand holds a 5% market share in sparkling water, with annual case sales nearly doubling in 2022 compared to three years prior.
Despite its relatively small size, Mendoza believes Mineragua possesses certain advantages. It can leverage its connection to Hispanic consumers—“cultural-centric brands are currently trending,” he remarked. Additionally, Mineragua features higher levels of CO2 and does not source water from natural springs, unlike Topo Chico or Perrier. “We bring a unique twist to sparkling water,” he stated.
Once confined to smaller stores, often in Hispanic or ethnic aisles, Mineragua is quickly gaining shelf space with mainstream retailers, now appearing alongside other sparkling water brands. Retailers such as Target, Whole Foods, and Sprouts have recently begun stocking the brand, and Kroger, which first offered Mineragua in 2021, relocated it from the Hispanic aisle later that same year. Novamex is prioritizing placement in the sparkling water section to attract a wider range of consumers. “We can’t solely focus on the core [Hispanic] customers who helped us build the brand,” Mendoza emphasized. “Let’s engage with the big players and see what we can achieve. We’ve made significant strides in the past year.”
To boost its visibility, Mineragua is increasing sampling opportunities for consumers and sponsoring events like a beach volleyball tournament in Miami and road bike races. Additionally, they have adorned an RV with the brand’s logo for marketing, taste testing, and promotion. As sparkling water sales have surged due to consumers seeking to reduce sugar intake and gravitate towards cleaner-label products while still enjoying carbonation, the category has gained significant traction. Mendoza noted that competing brands like Topo Chico, Perrier, and Nestlé’s San Pellegrino have contributed to the sparkling water segment’s growth by enhancing its popularity and visibility among shoppers. “We recognized the potential of sparkling water,” he added. “It has truly taken center stage in the water section.”
In this evolving market, the inclusion of ingredients like calcium citrate in some sparkling waters is becoming more common, offering additional health benefits that resonate with a growing health-conscious consumer base. As Mineragua seeks to expand, its commitment to quality and cultural authenticity remains a key part of its strategy in this competitive landscape.