Despite the robust growth of the craft beer movement in the past two decades, recent statistics reveal a decline in overall beer consumption in the United States, with volumes dipping by 2 percent in 2022 and 5 percent through September 2023. However, there’s no need for founders of microbreweries, bars, and beverage retailers to despair. Sales of nonalcoholic beer are on the upswing, resonating with a growing number of consumers seeking the effervescence of beer without the alcohol-induced buzz.
A recent report by CNBC sheds light on Denver’s burgeoning enthusiasm for nonalcoholic beverages, spotlighting the city’s emergence as a hub for booze-free options. Known for its rich heritage in craft brewing, Colorado’s capital is witnessing a surge in the availability of nonalcoholic drinks. According to CNBC, the number of nonalcoholic options on menus across the city surged by 55 percent in the last quarter of 2023 compared to the same period in 2022, with sales volumes climbing steadily.
This rising trend towards nonalcoholic beverages can be traced back to the aftermath of the pandemic. Just as prolonged periods of quarantine and anxiety led to record alcohol consumption, Americans are now prioritizing health and longevity. Consequently, the overall decline in alcohol consumption has pushed beer sales to their lowest levels since 1999, according to Beer Marketers’ Insights.
However, amidst these shifts, not all beers are equal. Sales of nonalcoholic varieties experienced a robust surge of 19.5 percent in 2022, according to a Nielsen IQ report. This growth, amounting to $328.6 million in sales, constituted a significant portion—85.3 percent—of the entire nonalcoholic adult beverage market. The burgeoning popularity of Dry January and Sober October trends further fuels this effervescence, alongside changing preferences among Gen Z and Millennials, who increasingly opt for nonalcoholic alternatives.
Denver’s brewmasters, taproom owners, and beverage retailers are swiftly adapting to these evolving consumer preferences by expanding their offerings of nonalcoholic beer. Robert MacEachern, CEO of the Denver Beer Co., emphasizes the importance of inclusivity, stating, “With our ethos of being inclusive, we want as many people to enjoy our spaces, so this was a natural extension for us.”
Niki Sawni, co-founder of Denver’s Grüvi brewery, underscores the gap in the market for nonalcoholic options, highlighting the need for a middle ground between sparkling water and alcoholic beverages to cater to changing lifestyle habits.
While Denver’s embrace of the nonalcoholic trend signals a significant shift, it also reflects the city’s ethos of embracing change and innovation. As Denver continues to evolve as a center for craft brewing, nonalcoholic beer emerges as an addition to its identity, rather than a subtraction.
