According to a recent study, consumers are moving away from traditional alcoholic drinks in favour of healthier, low- or no-alcohol alternatives. The study was conducted in the United States but likely applies to consumers in Canada as well. Driven by wellness and affordability, the shift is reshaping beverage markets.
A recent CoBank report found nonalcoholic beverages to be one of the most resilient segments of the beverage industry, showing steady growth even as alcohol sales decline. Producers are now investing in unique, stand-alone drinks with innovative flavour profiles.
Global wine consumption reached its lowest point since 1961 in 2024, with U.S. wine sales falling by nearly 6%. Beer alternatives, however, have surged in popularity. Non-alcoholic beer sales rose by 22%, and nonalcoholic wine gained 41% in value over the past year.
Younger generations are driving this change. Nearly half of consumers are reducing alcohol use, citing health and cost reasons. The “sober-curious” movement has grown by more than 40% in just two years.
“The trend toward non-alcoholic beverages and their rapid growth in sales is prompting considerable innovation in the space,” said Billy Roberts, food and beverage economist with CoBank. “Beverage producers in the consumer-packaged goods space are introducing options with novel sensory experiences that can stand on their own, rather than simply mirroring alcohol-based counterparts.”
This trend is important for small farms with such as wineries, distilleries, meaderies, and breweries.