In recent years, moderation in alcohol consumption has emerged as a defining trend in the global beverage industry.
Fueled by health consciousness and economic pressures, consumers across markets are reevaluating their drinking habits—though not in a uniform manner. Research from IWSR, the global authority on beverage alcohol data, paints a multifaceted picture of this transformation.
Declining Spend and Shifting Preferences
According to IWSR’s Bevtrac consumer findings from March 2025, claimed alcohol spending has trended downward in most of the top 15 global markets. The decline is particularly marked in countries like Canada, South Africa, China, and the US, where moderation is deeply ingrained among younger legal-drinking-age (LDA) consumers.
Simultaneously, IWSR’s No/Low Alcohol Strategic Study (published in December 2024) reveals that per capita consumption of pure alcohol across 10 markets has dropped by 20% since 2000. This decline isn't just about abstinence—consumers are switching to low-ABV categories, including ready-to-drink (RTD) beverages and no/low-alcohol options.
Generational Differences in Moderation
While moderation spans all age groups, younger generations are leading the movement:
- 75% of Gen Z and 74% of Millennials report moderating their alcohol intake in the last six months.
- Gen X follows at 66%, and Boomers trail at 55%.
Younger consumers are more inclined to engage in situational or occasional moderation, such as abstaining during training, participating in campaigns like Dry January or Sober October, or only drinking on weekends. In contrast, older cohorts are more likely to adopt a mindful and consistent approach or to abstain entirely.
Patterns of Abstention and Temporary Breaks
Total abstention has remained relatively stable. 22% of consumers across the top 15 markets reported complete abstinence in the past six months, slightly down from 25% in April 2023, but above March 2024’s 21%. Interestingly, 41% reported taking temporary breaks from alcohol consumption, up from 39% the previous year.
These temporary pauses are gaining traction globally:
- South Africa: 58% (up from 53%)
- Asia-Pacific: 26% (up from 22%)
- Europe: 36% (up from 34%)
- Spain: 56% of Millennials reported pausing, up significantly from 42%
Rise of Light Drinking and Shifting Cohorts
A notable outcome of moderation is the growing proportion of light drinkers, particularly in North America, where the number rose from 39% to 44% over the past year. Even Gen X, traditionally high in alcohol consumption, has seen an internal shift: light drinkers rose from 16% to 24%, and heavy drinkers dropped from 60% to 51%.
However, the data also presents a paradox: Gen Z alcohol usage has increased since the lows of April 2023. This generation now tends to moderate by abstaining periodically rather than committing to sustained low consumption.
Meanwhile, Millennials in the US appear to be steadily reducing their intake, with social dynamics and peer influence aligning around smaller drinking repertoires and more mindful habits.
Regional and Cultural Variations
The global picture of moderation is further nuanced by geography:
- Germany leads in the share of total abstainers.
- The US has the highest share of ‘occasional’ moderators.
- Brazil and France favour ‘situational’ moderation.
- The UK and Canada lean towards the ‘mindful’ approach.
Countries with higher participation in alcohol-free challenges also show stronger shifts toward no/low-alcohol product adoption.
Looking Ahead: An Established, Evolving Trend
The moderation trend appears to have reached a stable momentum, according to a comparison of Bevtrac findings between September 2024 and March 2025. With the exception of India, all markets report that reducing alcohol consumption remains a priority.
As consumer behaviour becomes more strategic and self-regulated, particularly among younger demographics, moderation is now an embedded norm in the beverage alcohol landscape. Whether abstaining entirely, taking breaks, or switching to low-ABV alternatives, the global population is collectively redefining its relationship with alcohol—driven by health, lifestyle, and the economy.
Source: IWSR