Retailers with strong low/no options ‘will win’ at Christmas
Analytics company GlobalData recommends retailers expand their low/no options during the Christmas season to attract a bigger share of Gen Z consumers.
GlobalData said elevated low- and no-alcohol options would appeal to Gen Z, who view these drinks as desirable, as opposed to substitutes for alcoholic beverages.
More than four-fifths of Gen Z consumers said low/no drinks allowed them to prioritise health and wellbeing without sacrificing socialising or taste.
Charlotte Chilcott, retail analyst at GlobalData, said: “Christmas has traditionally been synonymous with socialising with alcoholic beverages, but for many younger consumers, the social norms around alcohol consumption are shifting.
“For these consumers, low- and no-alcohol drinks can be just as enjoyable as traditional alcoholic options. They are a deliberate, enjoyable choice that satisfies taste, social and wellbeing goals.
“While Gen Z has not abandoned alcohol altogether, retailers that can cater to both alcoholic and low- and no-alcohol preferences will win a bigger slice of seasonal sales.”
Improved levels of quality and variety were noted as key reasons why those aged between 16-34 years old are increasing their spending on low/no drinks.
Chilcott added: “Younger shoppers are responding to enhanced flavour profiles and a broader range of options in the low- and no-alcohol category.
“This preference provides an opportunity for retailers to offer novelty seasonal products over the Christmas period, such as low- or no-alcohol mulled wine, festive Spritzes, non-alcoholic sparkling wines and spiced ciders, to deliver familiar rituals and flavours without the alcohol.
“Retailers should ensure these products are promoted within Christmas and party displays, alongside mixers, glassware and gifting options to encourage further spend from related categories.”
The statistics come from GlobalData’s August 2025 monthly survey of more than 2,000 respondents in the UK.
Earlier this year, new data from IWSR showed while Gen Z were consuming less alcohol than older generations, they were not as abstinent as once thought.
Related news
Argentinian distillery bottles world’s first Antarctic-aged whisky
