Americans’ Beer Consumption: How Much Money Is Spent?

Americans’ Beer Consumption: How Much Money Is Spent?

This shift resulted in a dramatic increase in sales for these stores, while sales to bars and restaurants crashed. While alcohol sales boomed during the pandemic, with United States sales increasing by 20% to 40% in some states, post-pandemic sales have been mixed. According to IWSR, Millennials account for 43% of those who consume these products.

What are the 4 types of drinker?

  • In 2019, the cities with the highest alcohol spending also had a higher cost of living, with goods and services costing up to 28% more than the national average.
  • There was a famous period of national prohibition in the 1920s and early 1930s.
  • The overall beer market declined by 1.2% in volume in 2024, while the craft beer industry’s share of the market remained flat at 13.3%, the same as in 2023.
  • Heavy drinkers can stop without withdrawal and are not physically dependent on alcohol.

The survey also revealed that 22% of consumers drank beer two to three times a week, while 20% drank once a week, and 9% drank more than five times a week. Interestingly, 14% of respondents had brewed their own beer, and 68% expressed interest in taking craft brewing lessons. U.S. Beverage Alcohol Spending Hits $253.8 Billion in 2018, +5.1% versus 2017 Consumers continued to increase spending in the beverage alcohol category with overall spending at $253.8 Billion – an increase of $12.4 Billion, +5.1%. In a year, such drinking habits would cost over $5,000 for men, and nearly $3,000 for women. By these numbers, a heavy drinker could spend $60,000-$100,000 in just 20 years.

The net positive change for Red Blends was 22% for those under 40 years of age and 36% for those aged 40 and older. The net positive change for Sauvignon Blanc was 6% for women and 2% for men. When segmented by age range, the net positive change for those under 40 years was 14% compared to 2% for those aged 40 and older. From another report, compared to the first half of 2021, the volume of premium-and-above Prosecco grew 8% in the first half of 2022. While temperance was usually about controlling yourself, prohibition was more about controlling the behavior of other people.

The price of alcohol bought at stores has decreased when adjusted for inflation, while the price of alcohol at bars has increased. This is not surprising, as there haven’t been any major productivity gains at bars. When a sector lags in productivity growth, it tends to have increasing prices. Other states with high per capita beer consumption in gallons include North Dakota (45.8 gallons), Montana (41.0 gallons), South Dakota (38.9 gallons), Wisconsin (36.2 gallons), Nevada (35.8 gallons), and Texas (34.4 gallons). According to the report, alcohol ad spend fell from £5.9 billion (US$8.3bn) in 2019 to £5.2bn (US$7.3bn) in 2020.

These increases in fees may have contributed to the higher spending on alcohol observed in Washington, how much does the average american spend on alcohol D.C. A 2017 study by the American Medical Association found that more people in the United States are drinking than ever before, with certain cities spending a lot more on alcohol than others. San Diego and Washington, D.C., are among the cities where people spend the most on alcohol. Gen Z consumers aged 18 to 24 are more likely to have made or purchased a mocktail, 33% of those surveyed, than other age groups and more likely to buy a mocktail at a restaurant than older generations. While beer sales have been declining, imported beer sales in the United States bucked the trend in 2023, increasing by $1 billion (up 9.1%). This growth can be partly attributed to a backlash against a Bud Light advertising campaign, which pushed consumers towards alternative brands like Modelo.

How much do Americans spend on soft drinks?

  • In fact tequila and mezcal put up an even bigger lead (by gaining 7.9% in revenue in 2023) on American-made whiskey, which was the third-highest-selling category.
  • San Diego and Washington, D.C., are among the cities with the highest alcohol spending.
  • Compared to wine and spirits, non-alcoholic beer “dominates” the no-alcohol category.
  • This decline in the craft beer industry has resulted in financial distress, with popular brewers shutting down breweries and laying off employees.

This growing drinking population is reflected in the consumer spending habits of some major US cities. On the other hand, the market for ready-to-drink (RTD) beverages has been experiencing rapid growth. RTDs are pre-mixed cocktails, spirits, or hard seltzers that offer convenience and a lower price point compared to traditional alcoholic drinks. The RTD category saw a staggering 26.8% revenue increase in 2022, with spirit-based RTDs outpacing malt-based beverages.

The University of Buffalo’s research revealed that alcohol sales surged by 20% to 40% in some states. This increase in alcohol sales was also accompanied by a notable shift in the relationship between sales and visits to alcohol outlets. The study’s machine-learning assessments indicated that some states might have witnessed a rise in online purchases or panic-buying of spirits and wine. The Bureau of Labor Statistics reports that Americans spent less on alcohol as a percentage of their total expenditures but still ended up spending more overall due to inflation. The inflation rate for alcohol since 1952 has been lower than the overall inflation rate—2.81% versus 3.47%.

Despite New Year’s resolutions, Americans returned to heavy alcohol spending in 2024

The US beer market is dynamic and competitive, with a constant shift in market share from larger established brewers to smaller start-up brewers. This shift is driven by innovations in styles and brands, with small breweries often offering unique formulations, varieties, and flavour offerings that cater to varying consumer preferences. In 2023, more than 90% of US breweries produced fewer than 15,000 barrels, accounting for about 3% of the total volume. The average American’s drinking habits include consumption of various beverages such as water, soda, coffee, tea, alcohol, and other beverages. With 39% of adult consumers preferring beer over wine or spirits, it remains the most popular alcoholic beverage.

Do you know how much money you’re spending on alcohol each week, month, or year? Use this calculator to figure out your average spending on alcohol per week, month, and year. The cost of living in a particular city can influence alcohol spending, with goods and services costing up to 28% more than the national average in some cities. Additionally, the volume of beer purchased and the price per unit can also impact spending. While alcohol sales boomed during the pandemic, the sources of these sales differed from the pre-pandemic period. With bars and restaurants closed due to the pandemic, sales shifted to retail over-the-counter purchases at government-owned liquor stores.

There is a growing interest in craft beers and microbreweries, with 14% of survey respondents brewing their own beer and 68% interested in craft brewing lessons. Additionally, the popularity of non-alcoholic beer and ready-to-drink cocktails and mixes has surged, with alcohol-free drinks becoming one of the fastest-growing markets. While Americans spent an average of $583 on alcohol in 2022, average consumer spending on alcohol varies across different metropolitan areas. According to a Gallup poll, 65% of American adults consume alcohol, with the share of drinkers climbing slightly in recent years.

On a global scale, AB InBev, the maker of Budweiser, held the largest portion of the beer market share at 27.4% in 2022. The beer market in the US is projected to grow significantly, driven by increasing demand for hard drinks among millennials and the working population. However, the number of alcohol-related deaths among women has increased by 85 percent from 1999 to 2017.

So, How Much Does The Average American Drink?

Despite this, the average annual expenditure on wine consumed at home in the United States in 2022 was $112.97 per consumer unit, with expenditure on alcoholic beverages at restaurants and taverns averaging $204. While beer remains the most popular alcoholic beverage in the United States, its market share has been steadily declining. In 2000, beer accounted for 55.5% of the total alcohol industry market share, but this had dropped to 42.2% by 2023. This decline is reflected in consumer expenditure, with Americans spending less on beer as a percentage of their total alcohol expenditures. During the pandemic, alcohol sales increased, with retail alcohol sales from March to September 2020 totalling $41.9 billion, a 20% increase over the previous year. However, post-pandemic sales have been mixed, with a growing interest in ready-to-drink cocktails, spirits, and non-alcoholic beverages.

How much do Americans spend on beer a year?

According to the National Institute on Alcohol Abuse and Alcoholism (NIAAA), the Northeastern states of New Hampshire (1.66 gallons) and Vermont (1.58 gallons) had some of the highest beer consumption rates in the country in 2022. New Hampshire’s lack of state sales tax makes alcohol more affordable than in neighbouring states, and more than half of its liquor store sales come from out-of-state customers. Whether for reasons of quantity or quality, drinking can get expensive quickly. Americans spend over $37 billion annually on beer, in part because of pricey craft brewery offerings. ADVERTISING EXPENDITURES The alcoholic-beverage companies spend between $1 and $2 billion each year in the print and broadcast media to advertise their products. According to online wine retailer Vivino, the cost of a bottle of white wine averages $14.41, while an average bottle of red wine costs $15.66.

Beer sales vs ready-to-drink beverages

This amount represents an increase in overall spending due to inflation, despite a decrease in alcohol consumption and a shift in consumer preferences. Alcohol sales in the United States increased during the pandemic, with retail alcohol sales from March to September 2020 totalling $41.9 billion, a 20% rise compared to the same period in 2019. This rise in sales could be attributed to various factors, such as online purchases and panic buying.

Expenditure on alcoholic beverages at restaurants and taverns totalled $204 on average. Alcohol sales experienced a boom during the pandemic, with retail alcohol sales from March to September 2020 totalling $41.9 billion, a 20% increase over the same period the previous year. While total retail spending on alcoholic beverages in 2023 came to $89.8 billion, this represented just a 1.1% increase over 2022. The overall alcohol industry in the US has seen fluctuations, particularly during the pandemic.

While Vodka remained America’s top-selling spirit for 2023, the second-highest-selling category, tequila and mezcal, has been consistently growing. In fact tequila and mezcal put up an even bigger lead (by gaining 7.9% in revenue in 2023) on American-made whiskey, which was the third-highest-selling category. Per-capita alcohol consumption peaked in the early 1980s at 3.28 gallons, or almost 700 drinks.

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