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Writer's pictureVik F.

The Rise of Canned Cocktails and Non-Alcoholic Drinks in the Beverage Industry

The canned cocktail market has seen a huge rise in popularity, now valued at over $25 billion in 2020, with growth expected to continue at a rapid pace. Consumers are looking for convenient, ready-to-drink options, and both alcoholic and non-alcoholic canned cocktails are leading the way. But what’s fueling this growth, and why are these drinks suddenly in such high demand?


close up of cold canned cocktails drinks that are silver and gold

A big part of the story lies with millennials—those currently aged 28 to 43. According to recent data from the International Wine and Spirits Record (IWSR), millennials are driving the rise of non-alcoholic drinks, with 66% of non-alcoholic spirits consumers and 61% of non-alcoholic beer drinkers falling into this group. Interestingly, millennials are not ditching alcohol altogether but are alternating between alcoholic and non-alcoholic beverages, depending on the occasion.


In 2023, the demand for non-alcoholic canned cocktails rose by 4%, while alcoholic canned cocktails saw a 20% jump, according to a study by Veylinx. This shift shows that consumers want flexibility—sometimes choosing a lower-alcohol or alcohol-free option, and other times opting for a full-strength cocktail.


Recent product launches reflect this trend. Sonoma Craft introduced Sun & Shine Cocktails, a brunch-inspired collection with flavors like Valencia Orange Mimosa and Pineapple Mimosa, while 10 Barrel Brewing Co. released Disco Lemonade and AMF, bold alcoholic options with a 13.9% ABV. These products show that brands are meeting the demand for both taste and variety in the canned cocktail space.


Millennials, known for their willingness to try new things, are also driving the popularity of non-alcoholic drinks for lifestyle reasons. Whether it’s a Dry January challenge or just cutting back on alcohol occasionally, many are balancing non-alc options with their usual drink choices. Almost 50% of millennials report that they swap in non-alcoholic drinks during social events, giving them more options while still enjoying the experience.


The non-alcoholic drinks industry is expected to grow even further, with a projected annual growth rate of 17% through 2028. While it’s unlikely that non-alcoholic drinks will replace alcohol entirely, the rise of canned cocktails in both categories shows that consumers are looking for more ways to enjoy their drinks—whether they want something with a punch or prefer to go alcohol-free for the night.


Brands are seizing the opportunity to meet this demand. Tip Top Proper Cocktails recently introduced Naked & Famous, a mezcal-based canned cocktail designed for on-the-go convenience. It’s a perfect example of how brands are innovating to cater to consumers who want high-quality, flavorful drinks that fit their lifestyle.


As we move forward, the growth of both alcoholic and non-alcoholic canned cocktails will continue to shape the beverage industry. Millennials are leading this change, and their interest in variety, convenience, and health-conscious choices means that brands must stay on top of these trends. The canned cocktail market is set to expand, offering even more options for every occasion.


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