New Data ‘Conclusively’ Debunks the Gen Z Teetotaler Narrative

A bar gets a Michelob ULTRA delivery ahead of the FIFA World Cup games. (Photo: AP Photo/Lyndsey Regis)

The recent woes of the alcohol industry have overwhelmingly been pinned on younger consumers, who are supposedly turning their backs on alcohol at record-high rates compared to previous generations. Newly released data from the International Wine and Spirits Record suggests that may no longer be the case.

According to the latest Bevtrac survey from the IWSR, the drinking rate among legal-age Gen Z consumers has stabilized at 74%, an 8% rise compared to three years prior. That places Gen Z a couple of points shy of the overall adult average of 76%. On the other side of the coin, Baby Boomers’ drinking rate has reportedly fallen to 71%, the lowest of any generation polled in the survey.

Though alcohol consumption often tails off with consumers over the age of 60, IWSR President Marten Lodewijks says that the current trend among Boomers is steeper than expected. He added, in an apparent nod to the headlines, that it may finally be time to flip the script on the Gen Z teetotaller narrative.

“These latest Bevtrac results, however, show bigger than expected drops in Boomer drinking across all major metrics,” Lodewijks remarked. “If this trend continues, it may actually be the Boomers, not Gen Z, who deserve the title ‘generation of moderation’.”

Much has been said about Gen Z’s supposed distaste for alcohol over the past few years — even if no one has been able to agree about the root cause of the shift.

Some have speculated that the post-COVID wellness boom, epitomized by adaptogens, IV drips and an unstoppable wave of protein products, has heightened younger consumers’ awareness of the dangers of drinking. Others have pointed the finger at the rapid proliferation of GLP-1 medications, which researchers suggest can significantly reduce alcohol cravings. Pundits like Joe Rogan have suggested that marijuana legalization may be to blame; Asahi Breweries CEO Atsushi Katsuki says it might have to do with a generation of men more comfortable behind a keyboard than a bar counter.

Chances are, there’s a morsel of truth in all the above. IWSR’s data suggests that Gen Z is drinking slightly less than the overall average, challenging the millennium-old stereotype that rowdy, college-age partygoers will outconsume their older counterparts.

But what’s changed over the past three years to skew those drinking habits from significantly less to slightly less? If you ask us, it’s a concerted push from the alcohol industry into a new kind of product.

While hard seltzers and IPAs reigned supreme throughout much of the 2010s, the 2020s have so far been the era of the ready-to-drink cocktail, more often than not made with real spirits like vodka or tequila. Many of these products have adopted a blatantly Gen Z tilt. BuzzBallz — recently acquired by spirits giant Sazerac — has turned its spherical novelty into the best-selling RTD in the Americas by an over $250 million margin. BeatBox — recently acquired by brewing giant Anheuser-Busch — claws in at second place with its brightly colored, Shaq-endorsed rectangular cartons.

Tellingly, the IWSR survey found that Gen Z reported drinking cocktails at 84%, the highest of any generation. Gen Z is reportedly also more likely to partake in a “wider range” of beverage categories, and slightly more likely to drink spirits than adults as a whole.

“The narrative that Gen Z is the generation of moderation is now conclusively debunked,” Lodewijks added. “While Gen Z consumers are creating new patterns for engaging with beverage alcohol, the evidence demonstrates that Gen Z consumers enjoy drinking at roughly the same levels as the rest of society.”