Low- and no-alcohol drinks poised to capture Gen Z festive spending

Retailers are being urged to expand and elevate their low- and no-alcohol ranges this Christmas, as younger consumers increasingly view these options as aspirational rather than second-best. According to new insights from GlobalData, Gen Z’s shifting social attitudes mean alcohol-free choices are now seen as part of a balanced lifestyle – allowing them to prioritise health and wellbeing without sacrificing taste or social connection.  

Charlotte Chilcott, retail analyst at GlobalData, explains:

“Christmas has long been associated with alcohol-led celebrations, but for many younger consumers, the norms around drinking are changing. Low- and no-alcohol drinks are no longer substitutes; they’re deliberate, enjoyable choices that meet taste, social and wellbeing goals. Retailers who cater to both traditional and mindful drinking preferences will be best placed to capture seasonal sales.”  

The category’s growth is being fuelled by improved quality and variety, with nearly 60% of 16–34-year-olds citing these factors as reasons for spending more. Enhanced flavour profiles and broader ranges are encouraging younger shoppers to trade up, creating opportunities for festive innovation.  

Seasonal launches such as alcohol-free mulled wine, sparkling wines, spiced ciders and spritzes are highlighted as key ways to deliver familiar rituals without the alcohol. Chilcott notes that positioning these products within Christmas and party displays – alongside mixers, glassware and gifting options – can encourage cross-category spending and reinforce their premium appeal.  

For retailers, the message is clear: the festive season is no longer defined solely by alcohol. By embracing the rise of mindful drinking, they can tap into a generation that values indulgence, sociability and wellness in equal measure.