Gen Z Is Quitting What Millennials Couldn’t: Alcohol, Say Reports

Gen Z is not just changing fashion, music or social media trends. It is quietly reshaping the economics of one of the world’s most entrenched consumer industries — alcohol. Born between 1997 and 2012, this is the first generation to question alcohol’s place in everyday life on a large scale.

The change did not begin with a government ban or a tax hike. It began with choice.

According to multiple reports, alcohol companies have lost an estimated Rs 74.92 lakh crore in market value over the past four years. Younger consumers are drinking far less, choosing wellness, moderation and alternatives over traditional bar culture and habitual consumption.

Reports also indicate that Gen Z drinks significantly less than earlier generations, with participation estimated at around 25 per cent, compared to nearly 50 per cent among millennials at the same age. For an industry built on volume and repeat consumption, that difference is not marginal. It is fundamental.

Where The Habit Broke

For older generations, alcohol was part of daily social life. Baby Boomers (1946–1964) grew up when drinking in offices, homes and social gatherings was widely accepted. Generation X (1965–1980) followed, backed by rising incomes and a growing culture of wine and spirits. Millennials (1981–1996) began to moderate slightly, aided by education campaigns and health awareness, but still carried forward the after-work drink, the weekend binge, and the bar as a social hub.

Gen Z is the first to step off that path.

Long-term survey data show that abstinence is rising among younger adults while weekly consumption continues to fall. Even millennials now drink less than their parents did. But Gen Z marks the sharpest break yet.
Many are not just changing brands or switching from beer to spirits. A significant number are choosing not to drink at all.

Why They Are Drinking Less

Part of the answer lies in how Gen Z thinks about health. Mental well-being is no longer a side issue. It sits at the centre of lifestyle decisions. Reports show that a large share of Gen Z places mental health on the same level as physical health. Alcohol is increasingly seen as something that cuts against both.

There is also a different social landscape.

Much of Gen Z’s interaction happens online. Social life is no longer built around bars, clubs or late-night drinking in the way it once was. Cafes, creative spaces, fitness studios and sober-friendly venues have become common meeting points. Alcohol is no longer the default. For many, this shift is not about morality or restriction. It is about control, clarity and health.

Not A Perfect Picture

The trend is not without contradictions.

Reports still flag binge drinking among sections of young adults, even as overall consumption declines. At the same time, reduced alcohol use has coincided with higher cannabis consumption in some regions, raising concerns that one substance may be replacing another rather than eliminating risk altogether.

Even so, the larger pattern is hard to ignore. Regular, routine drinking is no longer a default behaviour for the youngest adult generation.

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