The Rise of Booze-Free Alcohol as Americans Drink Less

The market for alcohol-free beer, wine, and spirits is expanding rapidly as more Americans moderate their drinking habits. Fewer adults consume alcohol today, and those who do are drinking less than in previous years, according to Gallup data. Health concerns, particularly among younger demographics, are driving this shift.

Retailers like Spirited Away in Manhattan have seen their product offerings grow from a dozen to 300 brands in just five years, with annual sales increasing by double digits. The trend is fueled by consumers experimenting with sobriety—such as during Dry January—and sticking with it after noticing the benefits.

Gallup reports that only 54% of adults now drink alcohol, the lowest rate in nine decades. Weekly consumption has dropped from 3.8 drinks to 2.8, with under-25s drinking 17% less than older adults, per Jefferies research. The self-prohibition movement shows no signs of slowing.