Alcoholic Beverage Consumption Statistics and Trends 2022

Alcohol consumption 

In 2021, Gallup, Inc. reported that 60% of U.S. adults drank alcoholic beverages, which decreased from 65% as reported in 2019. The average number of drinks consumed in the previous seven days also decreased. In 2019, consumers aged 18 years and older drank, on average, 4.0 drinks in a seven-day period, but in 2021 that average was 3.6 drinks.

The following differences were identified when data were segmented based on specific demographic characteristics:

• 63% of men drank alcoholic beverages compared to 57% of women,
• 70% of those aged 35 to 54 years consumed alcohol compared to both younger (60%) and older consumers (52%),
• More college-educated consumers and those who "seldom/never" attended religious services consumed wine compared to less-educated individuals and those who attended religious services at least "nearly weekly/monthly," and
• The percentage of participants who responded that they consumed alcohol increased as annual household income increased.

According to Numerator, 90% of Millennials purchased alcohol during the 52-week period ending in May 2021, compared to 84% of 21 and older Gen Z shoppers. Gen Zs reasons for not buying included "alcohol's impact on their mood, level of alertness, and even image on social media."

Additionally, compared to Millennials, Gen Zs:

• Spent 40% less on alcohol,
• Made five fewer trips per year to purchase alcohol, and
• They were less likely to consume wine and beer regularly.

Nearly half of both generations, 47% Gen Z drinkers and 48% Millennial drinkers, consumed alcohol to relax. Slightly more Gen Z drinkers indicated that alcohol "helps me have a good time," 49%, and "gives me a buzz," 45%, compared to Millennial drinkers, 38 and 37%, respectively.

Alcoholic beverage preference

Data published by the Wine Market Council / NielsenIQ's 2022 Wine & Spirits Daily Summit revealed that while most consumers drank alcoholic beverages from more than one category, the percent of consumers who drank beverages from one category:

• Beer only, 22%,
• Wine only, 17%,
• Spirits only, 14%, and
• Other (cider, hard seltzers, etc.), 11%.

Regarding differences based on demographics, Gallup provided insight into what beverage U.S. adults aged 18 and older drank "most often" in 2021.

• Beer: Men, consumers between 18 and 34, not college-educated, and those with an income less than $40,000 and between $40,000 and $99,999.
• Wine: Women, those aged 55 and older, were college-educated, and had annual household incomes of $100,000 and greater.
• Spirits: A higher percentage were men, aged 18 to 34, not college-educated, and those with an annual household income of $40,000 and $99,999.

On what alcoholic beverages did Gen Z spend money?

• Flavored malt beverages,
• Spirits, especially Cognac and cordials, and
• Blush wine.

Furthermore, while multi-cultural consumers (African American, Hispanic, Asian, and Others) accounted for 37% of those of legal drinking age, they accounted for 39% of the beer volume and 41% of the spirits volume consumer, but only for 33% of wine volume consumed.

Low and No-alcohol

In general, what do consumers consider when selecting alcohol?

Consumers who participated in the 2021 Drizly.com survey indicated they consider the following factors the "most important" in their purchase decision when selecting alcohol:

• Calorie count, 20%,
• Sugar content, 17%,
• "Added health benefit (probiotics, antioxidants, etc.)," 12%, and
• Low alcohol level or non-alcoholic, 11%.

Low and no-alcohol sales and consumption

NielsenIQ revealed that "less than 5% of households [s]" purchased low and no-alcohol (LNA) beverages, which accounted for 3.5% of the total alcohol market share. Pertaining to product introductions, the NielsenIQ BASES report revealed that "15x the number of non-alcohol launches [were] tested in 2021 compared to 2020." Additionally, over the 52-week period ending in late October 2021, non-alcoholic beverage sales increased by 33%, and low-alcoholic beverage sales increased by 8%. Online sales of LNA beverages increased by 315% between October 2020 and 2021, while "alcoholic options" only increased by 26%.

NielsenIQ researchers did find that it was not an "all or nothing" decision regarding non-alcoholic purchases, but rather 78% of those who purchased non-alcoholic beverages also purchased beer, wine, and spirits with an alcoholic beverage content. Consumer data published by Drizly in 2021 revealed that sales for non-alcoholic wine, beer, and spirits "place among Drizly's fastest-growing subcategories year-over-year" and that "[n]on-alcoholic beer was the platform's biggest non-alcoholic seller." Of the three categories, non-alcoholic liquor grew 200% year-over-year.

Spirits

Compared to 2019, off-premise spirit sales were up 29% in 2021. NielsenIQ reported that growth was driven by super-premium (75cl bottle priced between $30 and $44.99) and ultra-premium (between $45 and $99) price tiers.

As reported by the DISCUS for 2021, the top five spirits by revenue growth were vodka (4.9%), tequila/mezcal (30.1%), American whiskey (6.7%), Brandy & Cognac (13.1%), and cordials (15.2%). While the growth rate for vodka was less than that of the other four liquors, sales by volume accounted for 78.1 million 9-Liter cases. In contrast, the sales volume for cocktails/RTDs, the next largest category, was 36.6 million cases.

In an article published by WGSN, we should begin to see Chinese baijiu, a white spirit, "and the world's most-consumed spirit, outselling whisky, vodka, gin, rum, and tequila combined," become more prevalent.

Wine

When asked to indicate which beverage they would associate with certain attributes, a higher percentage of those who participated in a 2020 Wine Market Council - Health & Wellness Nielsen Homescan Panel Survey indicated that wine (34%) "is healthier than most alcoholic beverages" compared to beer (6%), spirits (5%), and hard seltzers (13%), though 48% of the participants selected the response "none of these."

As reported in the 2022 Silicon Valley Bank State of the Wine Industry report, data provided by SipSource, which "tracks both on- and off-premise sales by volume," for the period of September 2020 through September 2021, approximately 55% of wine was sold in 750 mL bottles. This was a 3.6% decrease in the growth rate over the previous 12-month period.

Other formats that decreased in growth during this period included 500 mL, 1 L, and larger containers. Formats that experienced an increase in growth rate were 300 mL (28.3%), 187 mL (6.2%), 250 mL (5.8%), and other smaller containers. However, the combined market share is significantly lower than the market share of traditional 750 mL and larger containers.

Pertaining to price, those priced at $15 and above experienced positive growth in sales compared to 2020, with the greatest growth for wines at the $25 and high price tier. 

Varietals that experienced an increased growth rate for the period of September 2020 through September 2021 were:

• Prosecco (15.1% increase),
• Sparkling-other (8.6%), and
• "Specialty" (5.2%) "such as fruit-infused wine."

The growth rate for all other varietals reported decreased between 0.9% (Sauvignon blanc) and 16.9% (Sangria). A closer look at the "most popular" white varietal, Chardonnay (nearly 16% of the market share for those reported), and the "most popular" red varietal, Cabernet sauvignon (nearly 14%), revealed that the growth rate for these two decreased by 6.9 and 7.0%, respectively.

Eastern U.S. winery growth

There were 11,282 wineries in the U.S. in 2021, of which 16% were categorized as small (5,000-49,999 cases produced annually), 33% very small (1,000 to 4,999 cases), and 48% with "limited production" (less than 1,000 cases).  

Between 2019 and 2022, while overall growth in the number of U.S. wineries grew 10% and the number of Californian wineries grew 7%, those in the Eastern U.S. (27 states east of the Mississippi River) grew 13%, accounting for 28% of the total wineries in the U.S. Of the states in the region, New York, Pennsylvania, and Virginia experienced the greatest increase in the number of wineries with growth rates of 14, 12, and 10%, respectively (Adams, 2022).

The average bottle prices for the three states:

• 48% of wineries in New York had an average bottle price between $15 and $19.99,
• 45% of Pennsylvania wineries had an average bottle price between $11 and $14.99.
• For Virginia, a greater percent of wineries in the state had an average bottle price between $15 and $19.99, followed by an average of $40 to $24.99 and $25.00 to $29.99 (Adams, 2022).

Rose

Rose is no longer reserved for the summer.  Instead, consumers are drinking the beverage year-round. In fact, according to one source quoted in the article, rose, white, and sparkling wines are outpacing red wines. BevAlc Insights also suggests that "sparkling rose wines will experience above average growth in 2022." While these wines only account for a small share, 2.5% of the wine category, compared to 2020, sparkling rose "was up nearly 50 percent year-over-year in 2021."

Up and coming wine regions

Decanter's January 2022 "Top wine Trends for 2022" listed the average consumer's "inability…to afford" wines from Burgundy, Bordeaux, and Champagne. Instead, there has been a shift to lesser-known regions, including Santa Barbara, California, the Canary Islands and Gredos in Spain, Corsica, Slovenia, and Switzerland. Overall, the theme is that consumers will start looking for new wines, new wine regions, and swapping Champagne with Cava and other sparkling wines.

Orange wine

We may also continue to see the growth of orange wine. Additional sources that mention increased consumer interest in orange wine include a January 2022 SevenFiftyDaily.com article, with another calling it "the new rose." Another aspect that could increase appeal is that some consider the traditional way of making orange wine as being "natural."  The wine is said to pair well with "bold foods," which include curry dishes, Moroccan, Ethiopian, Korean, and Japanese foods, and that the "high phenolic content is a good fit for beef and fish."

Beer

U.S. consumer demand for beer continues to shift to "premium options and new and exciting alternatives" when selecting the beverage to consume off-premise. Such offerings that have garnered consumer attention include craft beers (annual production of fewer than 6 million barrels) and imported and domestic super-premium beers (which were categorized in 2012 as priced at $22 and higher per case).

While 66% of beer sales were attributed to "large, non-craft domestic" companies in 2021, imports accounted for 21% and craft beer at 13%. The beer category (excluding hard seltzers and flavored alcohol beverages) is "expected to decrease by volume through 2025;" however, craft beer volumes are "expected to increase."

Experts say we should see more craft beers, including hazy IPAs, lower alcohol IPAs, lagers, sour beers, rose beer, and fresh hop beers.

More breweries in the U.S. have begun releasing craft beer made from "underused and forgotten crops." Such offerings include:

• Beer made from fonio, "a West African grain that is gluten-free and has triple the protein, iron, and fiber of brown rice," and
• From kernza, a grain with sustainable production qualities and which is said to taste "like wheat, but has a unique, earthy flavor."

Other sources indicate that more "lesser-known" European lagers like Belgian lagers, Czech lagers, and German smoked lagers will become prevalent.

Beer and Food Pairings

What might you eat with your favorite pour? According to T. Hasegawa, the following are examples of beer and food pairings based on the beer's flavor profile.

• India Pale Ale: Spicy tuna roll, roasted chicken, steak
• Wood- or barrel-aged beer: Smoked brisket, ribs with a sweet marinade
• Lemon Shady Flavors: Grilled fish, BBQ chicken, and fruit salads
• Imperial Stout Flavors: Stakes, aged cheese, dark chocolate cake

Ready-to-Drink

What some suggest should be the fourth category of alcoholic beverages, sales of ready-to-drink (RTD) beverages increased from "7 percent in 2019 to 11 percent for the first half of 2021," with several sources indicating that the RTD market will continue to grow. In fact, the market share for hard seltzer decreased slightly between 2020 and 2021 due to "increased competition from crossover categories like RTDs."

Among all the RTD options, off-premise growth was the highest for spirits seltzers and spirits RTD cocktails, with vodka-based RTDs accounting for 58% of the dollar share. The next highest dollar share was for tequila-based RTDs, but the share was much lower at 17%. Othe NielsenIQ data for the 52-week period ending October 2, 2021, showed that sales for tequila-based RTDs grew 138%, rum-based grew 132%, and vodka-based grew 110%.

Reasons for why consumer interest has/will continue to grow were published by the following:

• According to Bodega Brands, ready-to-drink beverages represent "convenience, simplicity, and on-the-go," as published in August 2021 by BeverageDynamics.com.
• In a 2022 trends report, Bacardi indicated that there will be a "focus on natural, low-calorie, and sophisticated flavored RTD options."
• Flavorman indicated that consumer interest in quality, not quantity, ingredients will grow, along with a reduction in sweeteners and added colors, further supporting the "health and wellness" movement.

Flavors

While not exclusive to RTDs, according to Flavorman.com, 2022 beverage trends will be based on "the long-term effects of an ongoing pandemic…focus[ing] on celebrating life's simple pleasures while striving for balance."

• Pertaining to seltzers and sparkling waters, more of Flavorman's "clients asked for loud and proud, single-note flavors" compared to the "gentler spritz" of years past.
• Nostalgia will also push "childhood favorites like watermelon, strawberry," and other fruit flavors.
• Hibiscus, lavender, and elderflower "are becoming mainstream," and we should expect to see "ingredients you find in your kitchen spice cabinet," like turmeric, anise, and rosemary, adding "an extra element to a drink."

The National Restaurant Association suggests that "uniquely spiced cocktail rims (Tajin, togarashi, etc.)" will be trending in 2022. Yet, we can also expect drinks made with umami and bitter flavors.

Projections

How might alcoholic beverage sales increase in the next few years?   Statista reported the expected average revenue per capita for beverages in 2023 and 2025, with an anticipated $429 being spent on beer, $315 on spirits, and $231 on wine in 2025.  

Reference

Adams. A. 2022. Eastern Winery Growth Outpaces U.S. Wine Business Monthly. 29(3): 78,80-83.