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A Drinking Revolution is Underway: 2024 to 2025 Trends in Non-Alcoholic Beverages

Consumer preferences for beverages are undergoing a transformative shift, driven by a desire for moderation, wellness, and innovative flavors. Non-alcoholic (NA) beverages have moved from niche offerings to a robust market segment. Projections indicate that the NA beverage market will surpass $30 billion in the U.S. by 2025. This represents a compelling opportunity for INFRA members to capture market share and solidify leadership in the rapidly evolving non-alcoholic movement.

The State of the NA Market

The NA beverage market is booming across North America. In 2024, NA spirits saw a year-over-year growth of 29%, while NA wine and beer grew by 18% and 15%, respectively. These categories are no longer perceived as substitutes for alcoholic counterparts but as standalone offerings with unique flavor profiles and benefits.

Younger consumers, particularly Millennials and Gen Z, are at the forefront of this movement. Many are embracing "sober curiosity," choosing to moderate alcohol consumption without total abstinence. This trend reflects broader shifts in health-conscious and socially mindful behaviors.

What’s Driving Growth?

1. Health and Wellness: The pandemic-era focus on health continues to resonate in 2024. Functional beverages containing adaptogens, CBD, and probiotics dominate the NA landscape. Consumers seek drinks that align with their wellness goals, with nearly 50% of sober-curious individuals motivated by health benefits.

2. Premiumization: As consumers seek higher-quality options, premium NA beverages are thriving. In 2024, over 90% of NA spirits sales occurred in the premium or ultra-premium price ranges, reflecting a shift towards valuing craftsmanship and flavor.

3. Occasion-Specific Consumption: Consumers increasingly associate beverages with particular moments. This behavioral change fuels the demand for targeted innovation and greater segmentation.

4. Sustainability: Eco-conscious consumers demand sustainable packaging and sourcing. NA beverage brands that incorporate these values are well-positioned to win consumer loyalty.

Trends to Watch: 2024 to 2025

1. Elevated Mocktails: Mocktails are evolving into sophisticated, flavorful options. Restaurants and bars across North America now feature mocktail menus with unique ingredients like CBD, adaptogens, and exotic fruit infusions. Google searches for "mocktails" hit an all-time high in early 2024, demonstrating growing consumer curiosity.

2. Functional Ingredients: Beverages promoting relaxation, focus, or immune support are driving the market. Expect to see more drinks featuring adaptogens, nootropics, and probiotics to meet these demands.

3. Citrus and Fruity Flavors: Refreshing flavors such as yuzu, blood orange, and passionfruit dominate new launches in 2024, appealing to consumers looking for hydration and vibrancy.

4. Plant-Based Innovation: Plant-based waters, such as those made from coconut, aloe, and watermelon, are gaining momentum, especially when paired with functional benefits like added electrolytes or antioxidants. With their natural hydration properties and light, refreshing flavors, these waters are an ideal base for crafting elevated mocktails that go beyond taste to deliver health and wellness benefits.

By incorporating plant-based waters into mocktail recipes, brands can tap into the growing demand for functional, wellness-focused beverages. These waters enhance the appeal of mocktails with their inherent nutrients and versatility, making them a perfect fit for the health-conscious and sober-curious consumer. This approach keeps non-alcoholic offerings innovative, refreshing, and aligned with modern lifestyle trends.

1. Growth in NA Spirits and Wine: Alcohol-free spirits and wine are no longer alternatives—they’re central to social gatherings. Brands are innovating with bold, complex flavors to cater to an expanding audience.

Implications for INFRA Members

INFRA retailers are uniquely positioned to lead the NA beverage revolution. Here’s how:

1. Expand Product Assortments: Stock a diverse range of premium NA beverages, including mocktails, functional drinks, and plant-based waters, to meet rising demand.

2. Educate and Engage: Use in-store tastings, promotions, and workshops to showcase the unique attributes of NA options. Highlight wellness benefits and sustainable practices to connect with values-driven consumers.

3. Host Community Events: Dry happy hours and mocktail mixology nights can foster community engagement and build brand loyalty.

4. Cater to Occasion-Specific Needs: Curate beverage selections tailored to different times of day or social moments, like morning adaptogenic drinks or evening relaxation waters.

Conclusion: Leading the Drinking Revolution

The non-alcoholic beverage market is reshaping how people consume, socialize, and prioritize wellness. For INFRA members, this isn’t just an opportunity to meet demand—it’s a chance to drive the category forward through innovation, community-building, and sustainability.

By embracing these trends, INFRA retailers can position themselves at the forefront of a cultural shift, ensuring long-term success in the evolving beverage landscape.

Data sources: 

https://www.minglemocktails.com/blogs/non-alcoholic-drinks/trends-in-non-alcoholic-drinks-for-2024-sparkling-mocktails-and-more

https://www.somegoodcleanfun.com/blog/non-alcoholic-sober-curious-trends-2024

https://foodinstitute.com/focus/alcohol-and-no-low-trends-in-2024/

https://www.theiwsr.com/whats-driving-the-growth-of-no-alcohol-in-the-us/

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Exploring Non-Alcoholic Trends with SPINS 

As we head into dry January, it’s worth taking a moment to reflect on the meteoric rise of the Non-Alcoholic (NA) movement over these past few years. Driven primarily by Gen Z attitudes towards drinking, this shift in preferences has also been supported by those both dabbling in and fully committing to sober choices. With the overall Alcohol category declining across INFRA at -2% compared to a year ago, and NA pavilions becoming commonplace at industry trade shows nationwide, it’s the perfect time for INFRA members to lean into SPINS data to study up on the right brands and categories to best capitalize on customer desires. 

Brewing a Better NA Beer

Once the king of the Alcohol department and an easy basket driver, beer has declined 6% across INFRA stores. While not carried by all members, this represents a nearly $500,000 decrease in sales overall. In its place, Non-Alcoholic Beer has surged 28% vs the previous year, with new category darlings like Athletic Brewing Co. (+11%) and Best Day Brewing (+80%) offering the same taste and variety customers expect but without the alcohol. With the top 5 NA beer brands at INFRA all posting double-digit growth, now is the perfect time to round out your set or begin a new one.

Wine Time

While successful NA beer brands have hired master brewers to help manage the alcohol elimination process, it’s more difficult to achieve in wine. Wine has a higher alcohol content than beer, therefore removing significant amounts of product volume directly affects the taste profile. Regardless of hurdles, the NA wine category is still seeing strong growth at INFRA, up 54% compared to standard wine’s -4% decline. Another tailwind supporting this category is the rise in GLP-1 usage, as low-calorie and low-alcohol dietary needs shift customer focus to available alternatives.

Mocktails and More

Finally, the rising tide of NA has lifted all ships including mocktails and other non-alcoholic spirits, which saw a 40% increase in INFRA sales. This category is led by brands like Recess, offering their “Zero Proof” take on classic drinks such as the Cosmo, Paloma, and Margarita. Other players like Ghia (+64%) and Three Spirit (+88%) use natural ingredients and flavors that give the sober-curious an alternative to everything from aperitifs to nightcaps.  All in all, there are plenty of ways you can help your customers toast to the good times with or without alcohol!