Could non-alc be the thing that reinvigorates the beer category? According to a recent report from IWSR, the answer is yes.
In the US market, consumption declines are being partially offset by the rapid and continuing expansion of the no-alcohol segment. According to IWSR, beer volumes in the US fell by -3% in 2024 and are expected to continue to fall that same amount between 2024 and 2029.
However, non-alc beer is proving to be a bright spot. No-alcohol beer volumes surged +23% in 2024, which equates to absolute volume gains of 175% over the same timescale. This rapid expansion is predicted to persist, with forecast CAGR growth of +18% to 2029. With the exception of the much smaller stout category, no-alcohol is the only beer segment in the US to show growth on any of these measures.
“Historically, beer occupied a dominant position in casual and social drinking moments, but this has been steadily undermined by the rise of alternative alcohol formats, particularly RTDs, which have captured attention with convenience, innovation and lifestyle alignment,” says Marten Lodewijks, President IWSR US. “Within this challenging context, the no-alcohol beer segment has continued to grow, fueled by the rise of sober curiosity, functional wellness trends, and broader acceptance of better-for-you alcohol alternatives."
To dig deeper into the trends driving non-alc beer, IWSR turned to its US Navigator database, which provides a monthly read of total beverage alcohol (TBA) trends across all 50 US states. Here are some of the findings, based on the period between 2019 and April 2025:
Seasonal Peak: Nationally, no-alcohol beer volumes peak during August, with strong performances in June and July. This reflects heightened consumer demand during the summer months, very much aligned to general beer performance. This also suggests no-alcohol beer has expanded beyond the confines of Dry January or Sober October.
Seasonal Low: On the flip side, February and April are the months with the lowest average volumes. This could reflect a come down from consumption over the holidays and Dry January. At any rate, early spring seems to offer slower sales in non-alc beer.
State Trends: According to IWSR's US Navigator, the five states with the top of no-alcohol beer consumption (from 2019 to April 2025) are:
- California
- Florida
- Texas
- Massachusetts
- New York
In 2024, these five states accounted for a combined total of 35% of total US no-alcohol beer volumes. Much of this is related to the size of the population.
Per capita, the top five states are:
- Maryland
- Connecticut
- Wisconsin
- Colorado
- New Jersey
Thanks to a mature market and the continuous launch of new brands, no-alc beer continues to expand and grow. “Future volume increases will be driven by a number of factors, including increased efforts to expand draught options in the on-trade, and the involvement of celebrity-owned and endorsed brands,” says Lodewijks. “These celebrity associations are helping to reshape the industry, giving sobriety-enhanced social acceptance among consumers."
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