Hot Topics Case Study: Generation Z and Alcoholic Beverages

This report focuses on Generation Z and their relationship with alcoholic beverages, examining attitudes and behaviors particular their generation and what they mean for alcohol brands globally.

As more and more Generation Z reach legal drinking age (LDA), alcohol industry attention has begun to increasingly focus on their particular preferences and opportunities to target them as a distinct group separate from their Millennial predecessors. However, Zoomers' relationship with alcohol is notably different, with moderation and tee-total behavior ascendant, creating new challenges for brands who cannot rely on a status quo with these consumers.

Scope

• Changing attitudes and behaviors increase the need to establish new connections between brands and Generation Z consumers. The alcohol industry may be less able to make money from mass market, lower-value products, unless they can draw on sizeable legacy audiences.
• Generation Z’s desire to experiment and enjoy new experiences offers potential to gain their attention via co-branding initiatives, particularly in the RTD spirits setting.
• Traditional, volume-based categories like mainstream beer cannot be relied on if early Generation Z trends continue.
• Memorable flavors, packaging, and settings will be key to attracting Zoomers on-trade, while their preference for at-home consumption means ensuring retail availability and practicality (e.g. via RTD options).
• Generation Z is already a key driver in the low/no market, making them essential as more reach LDA and establish either teetotal or moderated alcohol routines.

Reasons to Buy

• Gain insight into the latest alcohol trends targeting Generation Z.
• Access global survey findings on Generation Z’s latest attitudes and behaviors in lifestyle and alcohol consumption.
• Understand emerging opportunities in the low/no alcohol space based on Zoomers’ moderation behaviors