Generation Z consumes less alcohol than Millennials

say what you want about it generation z, but this is a generation that knows what it wants and sticks to it. They prioritize balancing work and family life, creating their own communities on the Internet and not being interested in social pressures. Although some of these preferences may be beneficial, they leave companies in trouble when trying to serve both older, established consumers and this new, emerging customer base.

For beverage industry In particular, this can be a difficult balance to achieve. A 2018 study by berenberg research found out that Gen Z Drinks 20% less alcohol per person than millennium in their late teens and early 20s, and 64% said they expect to drink less in their adult lives than older generations.

meanwhile, National Public Health Information Coalition report that 72% generation Of these, 65% have consumed an alcoholic beverage in the past month. genxers and 53% millennium, However, some companies may have more problems than others.

Report The state of the US wine industry in 2024 of Silicon Valley Bank -considered one of the most thorough analyzes in this area- shows that 58% of consumers over the age of 65 – i.e., the baby boom generation – prefer Came For other alcoholic beverages. The remaining demographic groups are down about 30 points.

And although some forecasts suggest that wine region The growth of non-alcohol and low-alcohol alternative beverages is also increasing, expected to grow from $2.1 billion in 2022 to nearly $4 billion in 2029.

How can alcohol brands satisfy all their consumers? How do you balance the research and development of alcohol-free alternatives (nolo, no more and less) with investment in bestsellers? Is their existence assured? This is a task that is being laid at the feet of innovation managers and product geeks: their role Gen Z drinking guru It’s exploring how traditional alcohol brands can appeal to the soberly curious.

There are many reasons why young people decide not to drink or drink too much health facilities Even curiosity about other products on the market or, as they say Susie GoldpinkThere is stigma and shame about what older generations drink. Person responsible for non-alcohol and low-alcohol beverages IWSR Beverage Market Analysis tells that generation z It is more flexible than other demographic groups when it comes to drinking.

For example, they are more likely to consume non-alcohol and low-alcohol beverages, but are not as likely to go to the extreme of “T-total” as older people. “Older people have a higher risk of all or nothing, while younger people have less extreme scene” Goldspink explains Luck,

He said that while older people seek equal choice between alcoholic and non-alcoholic products, younger people are more likely to experiment with things like adaptogenic drinks, which claim to provide mood-enhancing properties.

This is one area the singer is investing in katy perry and racing driver Lewis Hamilton, while other traditional industries may be left behind. For example, Goldspink claims nolo wine behind such successes beerBut year-on-year growth is expected to be around 7%.

“He Came “This is at the beginning of his alcohol-free journey,” Goldspink explains. “The reason it is quite difficult to make is because most of its structure, mouthfeel and flavor are involved in Came It’s in the wine. There is a lot of arrogance in the culture of Came, which may be difficult to overcome.” Still, he points out, there is motivation to keep working on it: “Must appeal and engage the younger generation: this is a beautiful drink to share and younger drinkers would be missing out if they didn’t discover it.,

Become a small and independent brewery like British Brewery Adnams It has its advantages and disadvantages. For more than 150 years it company elaborate beerdistillation spirits and produces Came -12 years ago it launched a version of its 0.5% beer The best-selling yellow, “empty plane”—and often tests small batches of new releases with a lead time of two months.

He production director, fergus fitzgeraldexplained to Luck The historic brand’s significant investment in the production of Non-Alcoholic Alternative Beer This has been a signal both internally and for the market in general Adnams Was serious about making a high quality product.

“ten years ago, beer Low alcohol content was considered an emergency purchase. They were things people drank because they had no alternative. This is not the future of any product, especially a luxury product.“, he says fitzgerald, “The comparisons are so simple, they can be made very directly, which helped us get the process right to gently remove the alcohol and preserve all the flavours.”

Apart from large investments, the cycle of liquor industry They are getting smaller. in the matter of AdnamsThis simply means reusing existing assets for new products – such as moving away from popular bitter beer from 25 years ago pale beer– but it does mean that brewers will have to be prepared to give up their favorite products.

“I do not think so beer What we’re doing currently will still be the same amount in 20 years, but that’s what makes it quite interesting,” he says. even always curious generation z That said, you won’t be convinced by some of the products, which means brewmasters have to leave their egos at the door when it comes to innovation.

“Six years ago we Cucumber Beer Which I found incredible, but only five other people did. “So at that time maybe it was a step too far. But It was an interesting experiment and people probably looked at Adams in a different way than before.,

quality over quantity has been the guiding principle of bacardiCompany behind the brand Ron synonym, gray goose vodka, breezerHe Patron TequilaThe Bombay Sapphire Gin And others.

marine rosenfeldHead of Innovation for Western Europedeclared Luck That Unique and exclusive drinksLike a well-made cocktail, there are “keys” to attracting the masses. generation zBut added: “The Young Generation You will enjoy the drink in different places and occasions as much as in traditional times, which inspires growth ready cocktail to drink (rtd) in a can…the combination of convenience and a stockpile of cocktails has really helped take off rtd,

This surge of interest in cocktail They say this is also due to the closure due to the pandemic rosenfeldWhen people started learning to prepare drink In their homes. For generation zsome of whose members had reached the legal drinking age during the ban, This may be a trend that will continue.,

The brand is also balancing the demand white wine With the need for preparation by young drinkers dark wine For future old customers, since bourbons And this whiskey Sometimes they take up to 20 years to mature.

Invest in existing products and launch alternatives noloas counterparts in spirits paletteHe further said, it is a very safe bet. rosenfeldassume that bacardi Conscious consumption is being seen across all age groups.

He said consumers are adopting a more balanced lifestyle. “It’s not just about what you eat, but it’s about a more holistic approach to life that also includes a different approach to food consumption.” spirits“, she claimed. “And when they drink, they want to enjoy More special experiences, higher quality drinks, and choosing not to drink on other occasionsAnd this is where the options come in nolo,

where is this also changing generation z decides where to spend its time and money, causing a domino effect in other areas that depend on the sales of Liquor To finance your general expenses.

For example, while TV shows and movies may portray the clichéd college experience of late nights and hungry mornings, a 2020 study University of Michigan It was found that almost one in three young people aged 18 to 22 abstain from drinking alcohol LiquorCompared to two decades ago, one in five was a college student.

In fact, a study of mintel About the customers of generation z of United Kingdom Turns out they prefer going out to dinner at a restaurant rather than drinking at a bar Pub, Although about 35% of respondents said they continued to spend time in bars PubThey were also closely followed online games And this coffee,

As a result, establishments are forced to constantly innovate, and in recent years they have launched larger menus to attract larger customers and balance the higher costs of the offer with a consumer burdened by inflation. in the words of Nick AttfieldHospitality and Retail Director fitzgerald“Adaptability is now the middle name of the field”, and it will remain that way if it wants to survive.

in 11 more hotels Pub He Attfield Property in the picturesque eastern coastal counties of EnglandBar specialties have changed beyond recognition: crispy filter coffee makers have replaced professional coffee machines, non-alcoholic and low-alcohol best-sellers sit alongside a wide range of pour-overs. beerWhile there is a refrigerator next to it drink Filled with all kinds of products ranging from Coke to Kombucha, If you look at the letter of drinkYou will get a list of cocktail,

For AttfieldThe future of the independent group – and the region – depends not on encouraging young wine drinkers to embrace tradition, but on ushering in a new era. “The role of the Bar has changed fundamentally. Years ago, if you ordered coffee Pub, the staff made fun of you; “If that happened now, they would probably be fired.”

(c) 2024, Fortune