Research
The real reasons Generation Z is drinking less alcohol
Generation Z is drinking less compared to prior generations. We break down what is driving the declines and assess whether lower consumption levels will persist.
In the US, data suggests that Generation Z is drinking less alcohol than previous generations did at the same age. Most industry experts believe that this trend is driven by young people's concerns about health and vanity linked to their heavy use of social media. We find these narratives are greatly overblown.
Instead, we've identified the structural and economic drivers behind Gen Z's behavior. We feel the data and findings behind this report will prove far more useful in predicting Gen Z's future consumption and will offer critical insights on how to market to this generation of young people more effectively and thoughtfully.
In particular, we find that Gen Zers' alcohol consumption will likely increase significantly as they age, such that by their mid-30s, their consumption will be much closer to that of previous generations. This is an ideal outcome for the alcohol industry, which can celebrate the declines in underage drinking and binge drinking while still benefiting when Gen Zers reach their more mature and responsible prime spending years.