Global No- and Low-Alcohol Market Nears $10 Billion in 2022

More than just a passing trend, the no- and low-alcohol market is now valued at just under $10 billion, according to new research by IWSR Drinks Market Analysis.⁠

Key findings from the newly released report show that the no- and low-alcohol sector sustained momentum in 2021, even as bars across the country re-opened.

The no- and low-alcohol sector continues to outperform full-alcohol across ten key global markets. Sales grew by 6% in volume over the last year, and now represent 3.5% of the total alcohol market. (An earlier IWSR report predicts that the category will grow to 30% within the next few years.)⁠⁠

⁠What's behind the strong sales? Moderation. ⁠

Nearly half (43%) of consumers in these markets said they switched between no- and low-alcohol options and full-alcohol drinks. Many said they chose a no- or low-alcoholic drink because they were trying to avoid the effects of liquor.⁠

Only 17% of consumers surveyed avoid alcohol completely. In the U.S., an estimated 23% of no/low drinks abstain from alcohol. ⁠

⁠The most surprising finding: Most consumers prefer no/low drinks in the day or during the early evening but not late at night. "Only 5-6% of no/low consumers drink it after 11 p.m.," IWSR's press release says. "Many no/low brands targeting late night partying and dark spirits occasions have found it tougher to gain consumer acceptance."⁠⁠

That said, the strength of the no/low sales point to quickly-evolving social mores. ⁠

Once dismissed as a fad or something to be embarrassed about, the no/low category is finally gaining what it has sought all along: Respect in the marketplace.⁠

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