As the month of Sober October comes to a close, it doesn’t mean that non-alcoholic beverages are disappearing from the drink menu. With the holiday season approaching, mocktails and alcohol-free options are becoming increasingly popular. And let’s not forget about Dry January, which is just around the corner. The demand for non-alcoholic beers, wines, spirits, and cocktails has grown significantly, and sales reflect this trend. According to data firm NIQ, non-alcoholic beer, wine, and spirits sales have increased by 32% compared to the previous year, based on their tracking of sales in U.S. supermarkets, drug stores, and mass merchandise stores over a 52-week period ending on October 7th.
Kaleigh Theriault, the associate director of beverage alcohol thought leadership at NIQ, mentioned that non-alcoholic options are especially popular during holidays such as Thanksgiving, Christmas, New Year’s, and the Fourth of July. Weekly sales tend to spike during these occasions, indicating that consumers are seeking moderation in their drinking habits. While non-alcoholic sales have grown to approximately $524.3 million over the past 52 weeks, they still represent only a small fraction of the $67.6 billion total alcoholic beverage sales. It’s worth noting that most market trackers include non-alcoholic products within the category of alcoholic beverages.
However, the consistent climb of non-alcoholic sales over the past five years suggests that they will continue to make headway against their boozy counterparts. NIQ’s latest Non-Alcohol Report, covering a 52-week period ending on July 15th, 2023, revealed that 94% of those who purchase non-alcoholic products still buy alcoholic beverages. This data suggests that consumers are integrating non-alcoholic options into their drinking routines. Instead of choosing soda or water, they may opt for a non-alcoholic beer or another alcohol-free beverage after work or during social occasions.
Non-alcoholic beer, in particular, is gaining traction. It currently accounts for 2% of all beer sold in grocery stores. Dave Williams, the vice president of analytics for Bump Williams Consulting, states that non-alcoholic beer sales have been instrumental in driving growth within the beer industry, despite being relatively small in comparison. As existing players expand and new entrants emerge, the interest in non-alcoholic beer remains strong, indicating that consumers are incorporating non-alcoholic occasions into their lifestyles.
Surreal Brewing Co., founded by Donna Hockey and Tammer Zein-El-Abedein in Northern California in 2018, recognized the need for non-alcoholic craft beer options that didn’t sacrifice taste and variety. Hockey explains that there was a lack of choices in the market and a negative stigma surrounding non-alcoholic beverages, making it difficult for people to enjoy them socially. In response, Surreal Brewing Co. has developed a diverse lineup of non-alcoholic beers, including a West Coast IPA, hazy IPA, milkshake IPA, red IPA, Kolsch, and pastry porter. Additionally, their Chandelier Red IPA is sugar-free, Keto-friendly, low in gluten, and appeals to health-conscious drinkers.
According to Drizly, Surreal Brewing Co. has experienced significant growth as one of the fastest-growing non-alcoholic beer brands on their platform. Drizly also reports a 54% increase in overall non-alcoholic beer, wine, and spirits sales in the first half of 2023 compared to the previous year. During Sober October specifically, sales have risen by 73% compared to the same period last year. It is evident that consumers are prioritizing their health but still enjoy the experience of having a beer.
To sum it up, Sober October may be coming to an end, but the popularity of non-alcoholic beverages is here to stay. With the holiday season approaching and Dry January just around the corner, the demand for alcohol-free options will only continue to grow. Non-alcoholic sales have seen a consistent increase over the years and are gradually making an impact on the market. Whether it’s enjoying a mocktail on a special occasion or opting for a non-alcoholic beer after work, consumers are embracing moderation and seeking healthier choices.
Title: Embracing a New Drinking Culture: Exploring the Rise of Non-Alcoholic Beverages
Introduction:
In a world where beer, wine, and spirits have long reigned supreme, a shift is occurring among younger generations. While Generation X and millennials still account for a significant portion of alcoholic beverage purchases, the younger Generation Z is showing a growing interest in non-alcoholic alternatives. This trend highlights a changing drinking culture, with an increasing number of individuals opting for alcohol-free options. In this blog post, we will delve into the factors shaping this evolving landscape.
Generational Trends in Non-Alcoholic Consumption:
According to a recent report by NIQ, Generation Z – born between 1997 and 2012 – may not dominate the non-alcoholic market just yet, but they are overindexing compared to other generations. Approximately 6% of all beer, wine, and spirits purchased by Gen Z consumers are non-alcoholic. This finding suggests that while they may not consume as much alcohol as previous generations did at the same age, they possess a higher affinity for non-alcoholic options.
Changing Attitudes Towards Alcohol:
Gallup’s research reveals a significant decline in the percentage of young adults, aged 18 to 34, who claim to have occasion to use alcoholic beverages – from 72% to 62% over the past two decades. This decline can be attributed to multiple factors, including a belief among young adults that moderate drinking is detrimental to their health. Additionally, the increased use of marijuana among this demographic might also be contributing to the decline in alcohol consumption.
The Emergence of Non-Alcoholic Alternatives:
Regardless of generation, consumers now have a wide array of non-alcoholic offerings to choose from, both for enjoying at home or during social gatherings. Brands like De Soi, founded by pop star Katy Perry and award-winning distiller Morgan McLachlan (Amass), have introduced sparkling non-alcoholic aperitifs that are gaining popularity. These products have resonated so strongly with customers that many have continued purchasing them long after Dry January, making them a permanent addition to their drinking repertoire.
Exploring the Cultural Shift:
The rise of non-alcoholic beverages is perhaps best understood through the lens of evolving consumer preferences. People, especially younger generations, are seeking out options that are not only healthier but also more interesting and complex. Brands like De Soi, favored by Drizly customers, are continuously innovating and launching exciting new offerings. Their Très Rosé, released in June, has become a favorite among those looking for an appealing non-alcoholic option.
Conclusion:
As society’s relationship with alcohol continues to transform, the popularity of non-alcoholic beverages among Generation Z and younger adults is becoming increasingly apparent. With a decline in alcohol consumption among young adults and a growing preference for healthier alternatives, the non-alcoholic market is flourishing. Whether driven by health concerns, changing attitudes towards social drinking, or the desire for more exciting options, consumers today have a wealth of non-alcoholic choices available.
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