Definition: 

Also known as a bottled water cooler, a water cooler is an electric appliance for dispensing bottled water through one or two small faucets. They are designed to accommodate a standard-size water bottle - usually 2, 4 or 5-gallon. Once used mainly in office settings, this handy appliance has transitioned very well into the home and can be extremely convenient at the cottage or home where drinking water is not cold or less than ideal.

Though they are often called water dispensers, you should note that not all water dispensers actually cool the water - some merely dispense room-temperature water. Therefore there is a difference between a water cooler and water dispenser. However many products display the words cooler and dispenser interchangeably, so it can be confusing. If the unit is electrical and has a compressor or other kind of refrigeration unit or technology to cool the water to a certain temperature, it is a water cooler.

Water coolers are available in countertop or freestanding units and both styles are popular. As for price, a countertop model is the cheapest to buy. So if you want a water dispenser that also cools the water, you are looking for a water cooler or water cooler dispenser. As opposed to using filled water bottles, there are water coolers that are designed to incorporate a special bottle that can be refilled and it has a filtration system so you can dispense filtered water