Cutting back or cutting out alcohol is a consumer trend that can’t be ignored

A bartender aggressively overfills a glass with soda water
Low and no menus are going to get bigger in the year ahead with the launch of new and exciting products.

Once considered a challenge to the hospitality trade for only the first month of the year, Dry January has extended its reach – research from the British Beer and Pub Association has found that the popularity of Dry January in 2024 matched its highest levels in a decade, and that many people then continued their alcohol moderation well into the year. 

Andrew Niven, market intelligence manager at The Knowledge Bank, noted that a big enabler of this trend has been low’n’no beer, with a market value that has increased by 25% over the past year. 

“With more than half (56%) of consumers cutting back on alcohol for their well-being, these products offer a healthier alternative without compromising on taste or experience,” Niven noted. “Similarly, low’n’no spirits have seen a 15% growth year-on-year.

“But people aren’t exclusively looking at low’n’no beverages to reduce their overall alcohol intake – there’s a broader movement towards consumers enjoying their beverages in moderation,” he observed.

A young lady prepares to enjoy a fizzy drink
Most low & no customers are NOT teetotal – just ‘mindful’ drinkers.

“Regarding spirits, there’s been a notable rise in demand for smaller bottles of regular-strength spirits, driven both by health considerations and the increased cost-of-living.”

This trend towards moderation has created an opportunity for ready-to-drink products – a market that has seen 5% value growth – as 80% of consumers believe mixed drinks can help them reduce alcohol intake. 

“Within RTDs, the low’n’no alcohol segment has experienced a 12% growth in value, outpacing the overall alcohol market,” said Niven. “This allows producers to cater to the expanding ‘sober-curious’ demographic.

“These figures represent a much wider picture as mindful drinking becomes a more conventional lifestyle. The industry would be wise to acknowledge the longevity of this trend as well as the opportunities it brings.”

Responding, drinks producers have increased their new product development activity, and Niven expected promotion of emerging low’n’no products to continue across all categories, particularly as the ‘sober-curious movement’ looks to kick-start another year-round campaign this January. 

Two well dressed chaps pose on a hilltop with a loch behind
Spirits of Virtue founders Roddy and Kerr Nicoll

Speaking from Spirits of Virtue, co-founder Roddy Nicoll said that as 2025 began, it was clear that 2024 would be remembered as a year when non-alcoholic brands stirred up both a huge amount of interest and substantial investment.

Nicholl noted that drinks industry giants are investing heavily in the category – from major acquisitions to innovative new product launches and huge marketing campaigns – transforming the low’n’no market from a niche segment into a ‘core pillar’ of the beverage industry.

The list of big alcohol-centred companies which are now either developing their own low’n’no brands, or acquiring established low-alc identities is – and there’s no other word for it – sobering.

A man in a numbered sports top holds a low alcohol beer
Scottish brewer Innis & Gunn has produced a 0.0% lager beer

Anheuser-Busch inBev, Asahi, Bacardi, Campari, Concha y Toro, Diageo, Heineken, Moët Hennessy, Molson Coors and Pernod Ricard have all taken note of the moderation trend, and taken steps not to be left behind.

 “We’re seeing a fundamental shift in how people approach drinking and socialising,” said Nicholl. 

“The innovation and investment pouring into this space signal non-alcs are moving into the mainstream and point to a dynamic and sustainable future.”

A glass bottle of greenish liquid amongst leaves
Three Cents Fig Leaf soda

George Bagos, co-founder and general manager of the Three Cents artisanal carbonated beverage brand, agreed that there was a real trend in Scots wanting to ‘drink less but better’, or even cutting out alcohol altogether. 

While the drinks industry has responded with innovation in the low and no category for beer and spirit alternatives, Bagos pointed out that many ‘mindful drinking’ bar-goers were simply opting for quality soft drinks, which offer complex flavour profiles and an experience that ‘doesn’t make them feel like they’re missing out’. 

“The low and no section of a drinks menu also allows venues to get a bit more creative,” suggested Bagos. “For a fun day-time drinking occasion, an ice cream float option offers a sense of nostalgia but with a modern touch brought by the sheer breadth of quality ice creams and sodas available today. 

“Low and no menus are going to get bigger in the year ahead as consumer choice grows with the launch of new and exciting products, tonic and mixers.”