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Insight of the Day: US Millennials are driving the non-alc trend

Findings:

  • Consumption of non-alcoholic beverages among US drinkers has doubled since April 2023.

  • Millennials are the primary drivers of this growth, representing a majority of consumers in the non-alcoholic beer, spirits, and wine categories.

  • Millennials are more likely to be frequent alcohol consumers, suggesting they use non-alcoholic beverages to moderate their alcohol intake rather than abstain completely.

  • This trend differs from the UK, where Gen Z is the primary force behind non-alcoholic beverage growth.

Key Takeaway:

  • Millennials are the key demographic driving the growth of non-alcoholic beverages in the US.

Trend:

  • Increasing consumption of non-alcoholic beverages, particularly among Millennials.

Consumer Motivation:

  • Moderating alcohol consumption while still enjoying social settings.

  • Exploring a wider range of beverage options.

Driving Trend:

  • Increased availability of non-alcoholic beverages in retail.

  • Millennials' financial confidence and willingness to spend on beverages.

  • Growing awareness of health and wellness benefits associated with reduced alcohol consumption.

Target Demographic:

  • Millennials (born between 1981 and 1996, making them roughly 28-43 years old in 2024).

Product/Service:

  • Non-alcoholic beverages, including beer, spirits, and wine.

Conclusions:

  • The non-alcoholic beverage market in the US is experiencing significant growth, driven primarily by Millennials.

  • This trend is likely to continue as Millennials seek healthier and more diverse beverage options.

Implications for Brands:

  • Brands should focus on developing and marketing non-alcoholic beverages that appeal to Millennials.

  • Brands should emphasize the social and health benefits of non-alcoholic beverages.

  • Brands should consider partnering with influencers and events that resonate with Millennials.

Implications for Society:

  • Reduced alcohol consumption could lead to improved public health outcomes.

  • The normalization of non-alcoholic beverages could reduce the social stigma associated with not drinking alcohol.

Big Trend Implied:

  • A shift towards healthier and more mindful consumption habits, particularly among younger generations.

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