The global alcohol category remains resilient despite changing consumer habits, with moderation, premiumisation, flavours and convenience among the trends shaping future consumption, according to new research from Ipsos and IWSR.
The findings come from The Consumer Trends Shaping Adult Beverages, a whitepaper commissioned by AB InBev, which examines the choices and behaviours influencing alcohol consumption among legal-drinking-age adults.
The research found that total alcohol consumption volume remains more than 30 per cent above 2000 levels, despite a decline in global per-capita consumption in recent years.
It also found that 76 per cent of legal-drinking-age adults currently drink alcohol, while engagement among Gen Z consumers is increasing.
The report identifies five key trends influencing the category.
Moderation is leading consumers to focus more on balance and quality, with greater attention being paid to alcohol content and products and occasions that fit individual lifestyles and goals.
The experience economy is also supporting demand, with social connection remaining a key reason for drinking. Some 35 per cent of consumers cited social occasions as their main motivation for drinking.
At the same time, premiumisation and affordability are both influencing purchasing decisions, with consumers continuing to seek products that offer value. Premium-plus beverage alcohol volumes grew at a compound annual growth rate of 5 per cent between 2014 and 2024.
Flavour and convenience are driving innovation, with more than half of beverage alcohol retail value growth over the past decade attributed to innovation. The research also found that 52 per cent of consumers cite flavour as the leading reason for choosing ready-to-drink (RTD) beverages.
Meanwhile, trust and familiarity remain important as new products and drinking occasions emerge. Some 77 per cent of global consumers said they were more likely to trust a new product from a brand they already knew.
“Consumers’ preferences are evolving, but the alcohol category remains resilient and deeply embedded in social and cultural occasions,” said Jennifer Bender, global head of trends & foresight at Ipsos.
“This research provides a clear view of the forces shaping future consumption and the opportunities emerging as consumer expectations continue to evolve.”
Marten Lodewijks, IWSR Managing Director & President, added: “The research shows continued participation, with consumers increasingly seeking products and experiences that align with their evolving lifestyles.”
The research concludes that the future of the alcohol category will be shaped by evolving consumer expectations around moderation, social connection and value.