Americans, especially Gen Z and millennials, are increasingly prioritizing health and wellness, driving a $500 billion industry growing at 4-5% annually. These younger generations spend significantly more on fitness and healthy living compared to older cohorts, favoring activities like fitness clubs, healthy eating, and non-alcoholic beverages. Trends such as pickleball, cold plunge tubs, and red light therapy are gaining traction, with companies like Life Time, Planet Fitness, and SharkNinja positioned to benefit from these shifts. Meanwhile, alcohol consumption is declining overall, with a rise in non-alcoholic alternatives, although recent data shows a slight uptick in Gen Z drinking rates.
Despite this uptick, experts suggest Gen Z will likely drink less than previous generations as they age, influenced by wellness trends, health concerns, and changing social behaviors driven by social media and economic factors. The zero-alcohol segment is expected to grow strongly, benefiting companies like Coca-Cola and Anheuser-Busch InBev. However, some analysts believe the moderation in younger generations’ drinking may not be permanent, as social and economic pressures evolve over time.
