Water efficiency is the practice of reducing water consumption by measuring the amount of water required for a particular purpose and is proportionate to the amount of essential water used. Water efficiency differs from water conservation in that it focuses on reducing waste, not restricting use. Solutions for water efficiency not only focus on reducing the amount of potable water used but also on reducing the use of non-potable water where appropriate. It also emphasizes the influence consumers can have on water efficiency by making small behavioral changes to reduce water wastage, and by choosing more water-efficient products.

Water conservation includes all the policies, strategies and activities to sustainably manage the natural resource of fresh water, to protect the hydrosphere, and to meet the current and future human demand. Population, household size and growth and affluence all affect how much water is used.