There has always been an association with generational identity and alcohol use. Every generation alters what, how, and why they drink – Boomers creating a wine-and-dine culture, Gen X helping with flavored vodkas, and Millennials influencing craft beer and premium spirits. But none has disrupted the drinking experience like Gen Z.

Compared to Millennials at that age, Gen Z drinks substantially less - conventionally measured as around 20% less alcohol on a total basis - and their choices reflect more powerful and consequential pushes on society: wellness, mental health, financial pressure, and the always-on ‘filtering’ power of online life. This is not just about taste; it’s about all manner of values, identity, and lifestyles.

Let’s explore how Millennials and Gen Z will drink in 2025, and what it means for the future of the global alcohol sector.

Why Generational Drinking Habits Matter

Alcohol consumption trends ripple far beyond personal choices. They affect everything from:

• What product brands release (premium wines, ready-to-drink alcohol products, and non-alcoholic beer).
  
  
• How bars, breweries, and clubs operate (mocktail menus, low-ABV cocktails).
  
  
• How health and culture intersect with ‘sober curious’ becoming the mainstream!

Understanding Millennials and Gen Z is critical for anyone in hospitality, retail, or spirits. These two cohorts make up the majority of current and future drinkers—and their influence sets the tone for innovation in the global beverage market.

Gen Z Drinking Habits: Sober Curious, Socially Aware, and Spirit-Focused

Gen Z is approximately between the years 1997-2012, and they are redefining the act of drinking. They differ from previous generations in that they do not take a default position of drinking as a social activity. With Gen Z drinking is a choice that is often measured, moderated, and contemplated against more prevailing wellness priorities.

1. They Drink Less Overall

Gen Z consumes about 20% less alcohol than Millennials did at the same age. The reasons:

• Health Consciousness: Mental wellbeing and physical fitness rate 1 and 2 on the priority list.
  
  
• Sober Curious Lifestyle: Drinking less, or not drinking at all, is considered empowering not restrictive.
  
  
• Identity Driven Choices: Drinking less is more related to self-care and self-expression rather than rebellion.

2. They Prefer Alternatives

Gen Z has fueled a boom in no- and low-alcohol beverages, including:

• Kombucha and fermented teas.
  
  
• CBD-infused sodas and wellness drinks.
  
  
• Ready-to-drink (RTD) cocktails and spirit-based seltzers.
  
  
• Creative mocktails with unique flavors.
  

For Gen Z, the focus isn’t on intoxication—it’s on experience, flavor, and novelty.

3. They Favor Spirits Over Beer and Wine

Classic lagers and traditional wines feel less exciting to this cohort. Instead, they reach for:

• Tequila and vodka, often in cocktails.
  
  
• Hard seltzers and RTDs, for convenience and lightness.
  
  
• Custom cocktails discovered through TikTok hacks or Instagram reels.
  
  

4. Drinking at Home, Influenced by Social Media

Bars and pubs aren’t the primary stage anymore. Gen Z often drinks at home, influenced by:

• Viral TikTok cocktail recipes.
  
  
• DIY mixology kits.
  
  
• A desire for customizable, Instagrammable drinks.
  

Social media doesn’t just inspire what they drink—it influences how they present their drinking to peers.

5. Economic and Social Pressures

High living expenses, pricey drinks, and a solid culture of wellness, means Gen Z is also more likely to pass on a night out altogether. They prioritize value over volume and look for experiences that are both meaningful and budget friendly.

Also Read: Jack Daniel’s Review: Flavor Profile, Price, and Best Ways to Drink It

Millennials Drinking Habits: Craft, Premium, and Balanced

Millennials came of age as the craft beer boom, along with the rise of premium spirits was gaining momentum. They faced a variety of financial and cultural obstacles, but their relationship with alcohol is a different one than Generation Z's.

1. Moderation, Not Abstinence

Millennials also drink less than Boomers or Gen X, but their approach is about balance rather than total reduction. They embrace wellness but still see alcohol as part of celebration and relaxation.

2. The Craft and Premium Focus

Millennials are credited with fueling:

• The craft beer movement, from IPAs to microbreweries.
  
  
• The rise of premium spirits, especially whisky, gin, and tequila.
  
  
• Interest in quality and authenticity—from small-batch distillers to biodynamic winemakers.
  

3. Wine Still Matters

Unlike Gen Z, Millennials remain strong supporters of wine, especially:

• Organic and biodynamic wines.
  
  
• Premium bottles tied to terroir and tradition.
  
  
• Rosé, which became a Millennial cultural icon in the 2010s.
  

4. Occasions and Venues

Millennials are more likely than Gen Z to drink at:

• Bars and breweries.
  
  
• Restaurants and social events.
  
  
• Premium cocktail lounges, where craftsmanship and quality shine.
  

5. Wellness with Indulgence

Millennials care about health, but they’re more likely to justify alcohol when it’s high-quality, artisanal, or tied to experiences like food pairing.

Side-by-Side: Gen Z vs. Millennials Drinking Habits

Here’s a clear comparison of how these two generations approach alcohol in 2025:

Key Stats and Trends for 2025

• Gen Z drinking participation: Up from 66% in 2023 to 73% in 2025, but still slightly below Millennials.
  
  
• RTD cocktails: Up 12% year-on-year, largely driven by Gen Z.
  
  
• Premium wine sales: Up 6%, fueled by Millennials, especially in organic and biodynamic categories.
  
  
• Mental health factor: 65% of Gen Z say mental health and sober socializing are important; more than half regularly choose alcohol-free drinks.
  

What This Means for the Alcohol Industry

These shifts aren’t just statistics—they’re reshaping the way brands operate.

1. Rise of No- and Low-Alcohol Products

Gen Z’s demand for alcohol-free options is pushing breweries and distilleries to innovate with:

• Sophisticated mocktails.
  
  
• Alcohol-free spirits like Seedlip.
  
  
• Functional beverages infused with adaptogens or CBD.
  

2. Premiumization for Millennials

Millennials still prioritize quality and craftsmanship. They’re willing to pay more for premium wine, small-batch whisky, or unique cocktail experiences.

3. Social Media-Driven Innovation

Brands now develop drinks with TikTok in mind—bright colors, DIY-friendly recipes, and packaging designed for shareability.

4. Home-Centric Experiences

Subscription cocktail kits, virtual tastings, and pre-mixed RTDs thrive because both generations are increasingly drinking at home.

5. Wellness and Identity Alignment

Gen Z, in particular, expects alcohol brands to align with values like sustainability, inclusivity, and mental health awareness.

The Generational Future of Drinking

Millennials and Gen Z may both be moderating compared to older generations, but their paths diverge:

• Millennials are the generation of premium indulgence—they want quality, authenticity, and balance.
  
  
• Gen Z is the generation of mindful drinking—they want health, identity, and flexibility.
  
  

For the alcohol industry, this means a dual focus:

• Serve Millennials with premium, craft, and experiential products.
  
  
• Serve Gen Z with low-ABV, alcohol-free, customizable, and socially shareable products.

As disposable incomes rise and the generational gap narrows, one thing is certain: the future of drinking will be more diverse, more personalized, and more mindful than ever before.

Final Thoughts

Generational drinking habits are more than just what is in a glass - they are about identity, culture and economics as well. Millennials inflated craft beer and premium spirits, and now Gen Z is shifting the landscape with sober-curious lifestyles, TikTok cocktails, and new no- and low-alcohol innovations.

This is a massive movement: drinking less, drinking smarter, and getting more meaning out of every sip. Whether you own a brand or a bar, or if you are just interested in cultural trends, one thing is certain, the future of alcohol is wellness, choice, and creativity, and Millennials and Gen Z are at the forefront.

Also Read: How to Pick the Right Red Wine: A Complete Beginner’s Guide