On any given weekend, bar stools across the country are more likely to be filled by millennials and folks in their 50s than by the 20-somethings once known to dominate America’s drinking scene. Now, nearly two-thirds of adults in America, aged 18 to 34, believe drinking alcohol negatively affects their health.
The country’s youngest legal drinkers, Generation Z, are showing up less, drinking less and changing how Americans think about alcohol. Fewer shots, more soda. Fewer beers, more quiet nights in. And it’s not just a phase. It’s a shift backed by data and one with real consequences for the alcohol industry.
A 2023 Gallup study shows that 62% of adults under 35 reported drinking alcohol in 2023, down from 72% in 2001. That compares to 69% of adults ages 35 to 54, whose drinking habits have stayed consistent.
Gen Z drinks less and spends less
Remember those carefree young adult days, during and after college and before marriage and kids, when binge drinking was still fun and weekend parties were the norm? Not so much anymore. Nearly 40% of young adults say they only drink occasionally, and almost one-quarter of Gen Zers are not drinking at all. Just 13% said they drink weekly.
The drop in participation shows up in alcohol sales. Rabobank Research reports that Gen Z accounts for just 3.6% of alcohol purchases in the United States. Generation X leads at 27.5%, followed by millennials and boomers at roughly 25% each.
Health, money and culture all play a role
Several factors contribute to the shift. Health and wellness are priorities for many Gen Z adults. A large number of Gen Zers said they avoid alcohol because of mental health concerns. Nearly half said they are simply not interested.
Finances are a looming concern. Rising rent and student loan debt have made the cost of drinks harder to justify. With inflation and tighter budgets, skipping the bar tab has become more common.
Cultural habits are shifting, too. Social events that once centered around drinking now include more non-alcoholic options. Alcohol-free bars, wellness lounges and mocktail menus have grown in popularity. Some hosts are setting out pitchers of fruit spritzers alongside traditional cocktails and creating snack boards that work with or without cocktails.
Older generations are still drinking
Millennials and Gen Xers continue to lead alcohol spending in the U.S., but their habits are also changing. Millennials make up 61% of non-alcoholic beer buyers in the U.S. and account for 66% of non-alcoholic spirits and 59% of non-alcoholic wine.
These choices are not a full retreat from traditional alcohol. Many consumers in their 30s and 40s alternate between zero-proof and full-proof drinks depending on the time of day or social setting. A bourbon cocktail may still be part of the evening, but one might be the limit, followed by sparkling water.
Gen X continues to account for the largest share of total alcohol spending, purchasing the most wine, spirits and beer across the board.
Brands and bars are responding
Industry trends reflect the shift. From 2019 to 2024, the U.S. market for non-alcoholic drinks grew by 28%, while the market for full-strength alcoholic drinks declined by 1%.
More than 70 million adults now identify as occasional or regular buyers of no- or low-alcohol beverages. That number grew by 37 million in just two years.
Non-alcoholic beer has become the second-largest beer category worldwide. Brands like Athletic Brewing continue to grow, and major companies, including Heineken and Diageo, have expanded their alcohol-free lines.
Bars are adapting as well. Many now offer dedicated zero-proof drink lists. Some venues have removed alcohol entirely. In major cities, dry bars and pop-ups are attracting a mix of sober customers and casual drinkers looking for something different.
Outside the bar scene, some consumers are building their own drink menus at home. A stocked cooler on a backyard patio or road trip might include bourbon punch, sweet tea or lemonade. A road trip snack basket and a cooler filled with easy homemade items can replace the need for a bar tab altogether.
Less alcohol could mean better health
The decline in drinking among younger adults may lead to health improvements in the long run. The National Institute on Alcohol Abuse and Alcoholism reports that more than 178,000 deaths each year in the United States are linked to alcohol use, making alcohol one of the leading preventable causes of death in the country.
In January 2025, a panel of U.S. health advisors recommended stronger warning labels on alcohol, citing its link to several cancers and chronic illnesses. Although federal guidelines have not changed yet, attitudes are shifting. For many Gen Zers, alcohol is not central to their social lives or sense of identity.
A cultural shift with staying power
Alcohol has long played a role in how Americans celebrate, relax and connect. From cocktail parties to tailgates, it has been part of the routine. But that routine is changing.
Millennials and Gen Xers may still enjoy cocktails, but they are drinking more selectively. Gen Z is approaching drinking with even more caution or avoiding it altogether.
The shift is not only about personal preference. It’s also about changing values, priorities and habits that look different from generation to generation.
Whether mixing a bourbon cocktail at a dinner party, serving non-alcoholic options at a family reunion or filling a picnic basket with homemade snacks, Americans are still gathering. They’re just not always leaving those gatherings slightly tipsy.
— Via The Associated Press
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