Gen Z is drinking more, and it may be a sign that they are better off.
The generation that popularized “cool” sobriety and the “sober-curious” movement is now changing habits, according to a study of 26,000 respondents across 15 markets worldwide by drinks data and insights provider IWSR. The survey found that, overall, 73% of Gen Zers had consumed alcohol in the past six months, compared to 66% in 2023.
The study also found that the uptick in drinking habits was especially drastic in the U.S., where 70% of Gen Z respondents said they had consumed alcohol in the past six months, compared to under half in 2023. While Gen Z isn’t picky, choosing from, on average, five categories of alcohol in the past six months prior to the survey, they are slightly more likely to turn to spirits as their drink of choice. They are much more likely to drink alcohol at a bar, club, or restaurant, than all adult drinkers as a whole, according to the report.
The shakeup in Gen Z drinking habits may be because its members are getting older and earning more. The oldest members of the generation are now in their mid-to-late 20s.
While many young people right out of college have struggled with finding entry-level jobs, a March report from Bank of America predicted Gen Z could be the richest generation within the next ten years, with a $36 trillion cumulative income. Having more disposable income in hand may also mean Gen Z is putting more money toward alcohol.
More than any other generation, Gen Z respondents were more likely to answer yes to the question, “I am actively choosing to drink more,” according to the report.
And notably, the generation’s alcohol consumption is now in line with previous generations who experienced a similar uptick in drinking in their 20s.
The takeaway? While moderating alcohol consumption is a trend across all ages, Gen Z isn’t to blame for declining alcohol sales, according to Richard Halstead, IWSR’s COO of Consumer Insights.
“With every year that passes, more Gen Z drinkers are entering the workforce, and those already in the workforce are typically earning more. I think we should expect that, as their incomes rise, they will drink more often – just as Millennials did before them,” said Halstead in a statement.
