The COVID-19 pandemic significantly impacted alcohol sales in the United States. During the pandemic, retail alcohol sales surged, with a 20% increase from March to September 2020 compared to the previous year. This growth can be attributed to virtual happy hours and celebrity-endorsed cocktail recipes, which contributed to drinking becoming a shared experience during lockdowns.
The changing landscape of the alcohol industry is also influenced by the growing popularity of alcohol-free drinks, which are becoming one of the fastest-growing markets. Sales of non-alcoholic beer, wine, and cocktails grew by 35% in 2023, reaching a retail total of $565 million. This shift towards non-alcoholic options is likely driven by consumer trends such as Dry January and a general slowdown in alcohol consumption. Firstly, there has been a general slowdown in alcohol consumption in the United States, with the growing popularity of movements like Dry January.
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They weren’t promising they’d never drink again, but they weren’t going to make it a regular part of their social life anymore. Heavy drinkers can stop without withdrawal and are not physically dependent on alcohol. Sudden change in the drinking pattern may also lead to negative health issues. Prolonged excessive alcohol consumption can lead how much does the average american spend on alcohol to stroke, heart disease, liver cancer, and high blood pressure.
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Not all forms of alcohol experienced the same increase or post-pandemic decrease in sales. For instance, beer and wine have experienced different sales trajectories from hard alcohol. Yet, while beer sales have been down lately, it’s important to realize that the decline in beer’s market share has been a long time coming rather than a direct result of the pandemic.
Hard Cider
The CSR wasn’t alone in her thoughts — it seemed to many like the year they “needed” alcohol the most. The majority of these alcohol consumers are men, and they prefer beer more than wine or liquor. The four types of drinkers are often categorized as social drinkers, moderate drinkers, heavy drinkers, and binge drinkers. Social drinkers consume alcohol in social settings without negative consequences, moderate drinkers have a controlled and balanced approach to alcohol, heavy drinkers exceed recommended limits regularly, and binge drinkers consume large quantities in a short period. Efforts to promote healthier beverage choices and reduce sugar intake have led some individuals to decrease their consumption of sugary sodas in favor of alternatives such as water, sparkling water, or unsweetened beverages. The average water intake can vary widely among individuals based on factors such as age, gender, body weight, physical activity level, and climate.
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- Based on the 52 weeks ending November 5, 2022, off-premise hard cider sales decreased by 2.1%.
- On the other hand, the market for ready-to-drink (RTD) beverages has been experiencing rapid growth.
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On average, Americans spent $583 on alcohol in 2022, with beer sales declining. However, this varies depending on the city, with average spending ranging from $512 to $1218 per person per year. For instance, North Carolina liquor sales jumped by nearly 12% in the fiscal year that ended on June 30, 2020, reaching a record of $1.37 billion.
- After the vaccine was available publicly, some people would start to congregate in relatively small groups with others who had been vaccinated.
- For instance, I started dating my boyfriend almost a year ago, and much of the time we spent together was over drinks.
- The four types of drinkers are often categorized as social drinkers, moderate drinkers, heavy drinkers, and binge drinkers.
- Instead, pace yourself and sip slowly with the goal of drinking less alcohol over the course of a night.
- Nowhere has revenue growth been more noticeable than in the ready-to-drink category, which saw a 26.8% revenue increase over 2022 numbers.
Americans drink less beer and more wine than they used to, according to the NIAAA. Since 1970, the peak year for beer consumption was 1981, when the typical American age 21 or older drank 36.7 gallons. Over those four decades, the amount of wine the average American drank annually rose from 3.2 gallons to 3.8 gallons. Meanwhile, consumption of distilled spirits dropped slightly, from 3.0 to 2.8 gallons. Looked at another way, 17.4% of all alcohol consumed by Americans in 2021 came from wine, up from 12.0% in 1971. The share coming from beer fell from 44.6% to 42.3% during the same period, while the share coming from spirits fell from 43.5% to 40.3%.
This amount includes all types of alcoholic beverages, such as beer, wine, and spirits. America has a rich history of people who drink too much – and people who don’t drink at all, moralizing the issue. Despite the dramatic increase in alcohol spending since the onset of COVID-19, the total average consumption per drinking-age adult during this time period never breached 3 gallons of alcohol-related ethanol per year. Data from the University of Buffalo found that alcohol sales in some US states increased by up to 20-40% during the pandemic. This trend continued post-pandemic, with beer and wine experiencing different sales trajectories from hard alcohol. The rise of alcohol-free and low-alcohol beverages reflects the evolving “sober-curious” movement.
Alcohol spending in the US is influenced by both the price of alcohol and the volume purchased. While the average American spent $583 on alcohol in 2022, this varies across cities, ranging from $512 to $1218 per person per year. During the pandemic, alcohol sales increased by 20-40% in some states, with retail alcohol sales from March to September 2020 totalling $41.9 billion. While beer sales have been declining, the market for ready-to-drink beverages, such as premade cocktails and spirits seltzers, has been growing. The average annual expenditure on wine consumed at home in 2022 amounted to $112.97 per consumer unit.
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There were many dramatic scenes, including one led by the president himself in Washington, D.C. In that disorienting year, PocketSmith’s Global Spending Map revealed a 28% increase in year-over-year alcohol spending when controlled for inflation. It is considered alcoholic for men who take more than fifteen drinks and women who take more than eight drinks per week. Compared to wine and spirits, non-alcoholic beer “dominates” the no-alcohol category. Of the non-alcoholic beer available, non-alcoholic craft claims 28% of the share, and non-alcoholic domestic premium has a 16% share.
Consumer tastes and preferences have evolved, and a notable backlash against a Bud Light advertising campaign featuring transgender influencer Dylan Mulvaney pushed Modelo into the top spot among American consumers for the first time. This shift in brand preferences further contributed to the decline in beer’s market share. Furthermore, the increasing cost of living in major cities across the US has influenced consumer spending habits, with certain cities reporting higher alcohol spending due to higher prices and greater consumption. According to data from the Distilled Spirits Council of the United States, beer accounted for 55.5% of the total alcohol industry market share in 2000 but has been slowly declining to 2023’s market share of 42.2%. Even within the existing market share, there have been noticeable upsets that have shifted consumer tastes and preferences. Specifically, the backlash against a Bud Light advertising campaign featuring transgender influencer Dylan Mulvaney pushed Modelo into the top spot among American consumers for the first time.
This increase was much higher than the average sales growth of 7.14% in the previous five fiscal years. Similarly, Cumberland County saw a nearly 14% increase in sales, from $39.9 million to $45.5 million. The overall beer market declined by 1.2% in volume in 2024, while the craft beer industry’s share of the market remained flat at 13.3%, the same as in 2023. This decline in the craft beer industry has resulted in financial distress, with popular brewers shutting down breweries and laying off employees.
On average, Americans spent $583 on alcohol in 2022, with a general slowdown in alcohol consumption. However, this figure includes all types of alcoholic beverages, and beer sales have been on a decline. However, nowhere has revenue growth in alcohol been more noticeable than with ready-to-drink cocktails and mixes. The ready-to-drink category had a staggering 26.8% revenue increase over 2022 numbers, while spirits-based ready-to-drink beverages have also started to outgrow and outpace the previously popular malt-based beverage field (bolstered by the growth of hard seltzers). There’s also been a growing popularity of non-alcoholic beer, wine, and cocktail beverages. In 2023, the US beer industry sold approximately $135 billion worth of beer and malt-based beverages to US consumers through retail establishments.