How to understand the rise of alcohol alternatives and adaptogenic drinks


Opinions expressed by Entrepreneur contributors are their own.

The beverage industry has undergone a significant transformation, driven by a growing emphasis on health, wellness and mindful consumption. I've written extensively about the growing non-alcoholic and low-alcohol beverage space, including Dry Januaryand have seen for themselves how this change reflects the change in social norms.

Personally, while I don't feel the need to cut out alcohol altogether, I have found that I feel better without it. I still enjoy a cocktail on special occasions or from a well-known mixologist, but I like some of the adaptogen-based and non-alcoholic drinks on the market even more than traditional drinks.

For those who are not familiar, adaptogens are substances that help the body manage stress, relieve anxiety and promote relaxation, acting as your body's stress management consultants. Nootropics, another common ingredient in soft drinks, improve memory, creativity and motivation, similar to caffeine. Together, these functional ingredients create drinks that feel as purposeful as they are enjoyable.

Related: Dry January? His non-alcoholic side hustle made $50M+

The growth of this market is undeniable. or May 2024 report by IWSR Drinks Market Analysis revealed 29% growth in the non-alcoholic category in the US compared to 2022, far outstripping the 7% growth of low-alcohol beverages. The non-alcoholic beer market alone was valued at $22 billion in 2023 and is projected to grow to $40 billion by 2032, according to Global Market Insights. Athletic Breweryworth $800 million, exemplifies this success alongside other bestsellers such as Anheuser-Busch's Corona Zero, Diageo's Guinness 0.0 and Budweiser Zero.

Low-alcohol drinks, defined as having an ABV between 0.05% and 1.12%, are also gaining traction as consumers look for healthier alternatives without being completely dry. For example, for sure Wines recently launched a sister company, Arlowa low-alcohol line at 6.5% ABV, offering “half the calories” and “full flavor.” Brandon Joldersma, CEO of Arlow and Surely, explained that “Arlow is perfect for those who want to enjoy delicious wine without the guilt or next-day consequences.”

When advising companies in this space, I emphasize shifting the narrative away from ABV levels. Instead, focus on the social experience—holding something delicious and comforting while enjoying a moment. Drinks don't need to contain alcohol to fuel the connection, and many bars and restaurants now have robust mocktail menus.

Related: Dry January 2024: 6 non-alcoholic tips and recommendations

Beyond soft and low-alcohol beverages, the market is also embracing innovative alternatives such as THC and CBD-infused beverages. Nowadays, a brand of THC drinks has seen explosive growth – 500% year over year – with revenue increasing from $750K in November 2023 to $3.8M in November 2024. They sold their first batch of canned cocktails (one million units). followed by a limited-edition holiday blueberry flavor that sold out within a month. Founder Justin Tidwell explained to me, “If you're going to drink water, just drink water. But if you want to have a little fun, get a THC drink — but always drink responsibly.”

Also infused with THC, sober (sober) offers a calorie-free line of on-the-go “booze-free buzz” spots. Pamos AND Brees are two more THC drinks on the rise.

CBD-infused drinks, which are non-psychoactive, show their calming and relaxing benefits. I have loved quite a few of these drinks, including Aplós quietmade with functional botanicals and adaptogens, Little saintsusing functional mushrooms such as lion's mane and reishi, and Euphoria Kinpacked with adaptogens and nootropics and co-founded by celebrity Bella Hadid.

Little Saints was on shark tank, and I applaud Founder Megan Klein for turning down three offers from Rashaun Williams and Kevin O'Leary who were close to her looking for investment but not what she wanted. Sales for Little Saints grew nearly 600% from 2023-2024, and 2024 gross income approached $10 million. Their mezcal-inspired drink St. Ember's stands out among those looking for a smoky flavor profile.

Celebrity endorsements have helped many of these brands grow, including From Soico-founded by Katy Perry and led by Scout Brisson, a woman I admire for the creativity of her campaigns, her focus on event marketing and her strategic product launches.

For example, last winter, De Soi partnered with Halfdays and Meier Skis to launch their limited edition flavor St. Moritz Mule. They hosted a “This Way to the Après” giveaway that included a prize pack consisting of a pair of custom De Soi x Meier skis, a stylish Halfdays ski suit, a pass to Ikon and a 4-pack of St. Moritz Mule to drink. the season.

Related: Use this effective strategy to secure celebrity endorsements

Blake Lively is another celebrity who founded her own line of sparkling non-alcoholic cocktails with the goal of holding our drinks to the same standard as the food we eat – real, delicious and made from high-quality ingredients. Launching in the fall of 2021, Betty Buzz is now one of the top ten ready-to-drink soft drinks in Total Wine & More and is available nationally at over 6,000 accounts. Before Betty Buzz, Lively launched Betty Booze, a line of low-alcohol fizzy cocktails based on the same philosophy as Betty Buzz.

The increasing availability and acceptance of non-alcoholic and low-alcohol beverages continue to reshape social norms around drinking. We see this change at social events, work gatherings, and bar and restaurant menu offerings, and I encourage my friends and peers to feel empowered to choose alcohol-free options without social stigma. Applications like Sunnyside OR rephrase are great accountability tools to help you be more mindful of your drinking habits while stores like Zero proof cater to those looking for a variety of non-alcoholic options.

If you're curious about drinking carefully or participating in Dry January, treat it as a learning experience. Ask yourself: What benefits do I feel from not drinking? How can I replace drinking-focused habits with new habits? What makes me want to drink? Many find they sleep better, feel less anxious and wake up more energized, often finding that alcohol alternatives become a new fixture in their routine.



Source link

Leave a Reply

Your email address will not be published. Required fields are marked *