Winning Gen Z: How the Spirits Industry Is Fighting for the Soberest Generation

Gen Z drinks approximately 20% less alcohol per capita than Millennials, with 21.5% abstaining entirely and another 39% drinking only occasionally. Traditional categories are feeling the squeeze: beer, the favorite across Boomer, Gen X, and Millennial cohorts, has lost its grip on Gen Z entirely. Wine tells a similar story, with Gen Z representing a fraction of sales despite their growing purchasing power.

When Gen Z does drink, they’re doing it differently. They’re not drinking to get drunk; they’re drinking to experience flavor, to socialize mindfully, and to curate moments that align with their values.

Gen Z treats alcohol as one component of a broader wellness equation: about a third cite mental health as a factor in their drinking decisions. And well over half say taste is the primary factor in their alcohol purchases.

Non-beer trends vying for LDA Gen Z’s attention: boozy whipped cream (Fun! Nostalgic! Delicious!), premix(ed) cocktails - when you can’t decide/want variety/can’t store/ afford an entire liquor collection - and minis! (aren’t they cute? I want them alllll!)