July 17, 2026
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Where’s the Next Disruptor (or Differentiator) for Beverage Alcohol as Soft Sales Persist?
It’s been a talking point for beverage alcohol brands as well as retailers of the product: Booze sales are down across the board, according to NielsenIQ (NIQ) data, with all channels reporting dollar sales downturns in 2025.
As Kathleen Furore detailed in a Convenience Store News report, consumers are increasingly curbing their overall drinking while also turning to premium brands and experimenting with new flavors when they do decide to partake. Furore quoted Kaleigh Theriault, beverage alcohol thought leader for NIQ, on the subject.
“When shopping, people are seeking convenient locations, cold products for same-day consumption, and the ease of quick in-and-out of the store. Many shoppers continue to be time-starved. That’s where the convenience channel wins,” Theriault said, adding that the former disruptor of ready-to-drink beverages had solidified into a segment mainstay.
“[Ready-to-drink beverages are] permanent pillars of beverage alcohol, not disruptive outliers… Ready-to-drink products are especially important in the cold box, especially where spirits-based and wine-based [products] can legally be sold,” she added.
🇺🇸📉 NIQ: July 4 lifted bev-alc sales 19.9% WoW, but latest 4-week scans stayed red: dollars -3% YoY, volume -4.9%. Beer eased; craft worsened. https://t.co/Xsej5AkRea pic.twitter.com/2olzri0jOS
— Brewbound (@Brewbound) July 14, 2026
Other important notes pulled from the report:
- Wine sees particular strength in RTD: Despite off-premise wine sales being softer than usual, down 4.9% in 2025 versus 2024, the convenience segment saw an uptick of 10.5% largely boosted by RTD options.
- Premiumization doesn’t mean larger formats: Theriault underscored the fact that smaller formats, alongside single-serve products, were actually winners in the space, particularly given the continuing emphasis on value being exhibited by consumers.
- Speaking of singles: Singles represent “our largest dollar-growth driver year over year,” said Rutter’s category manager Cameron Baer. “Alongside strong case-pack sales, we’ve adjusted our assortment and space allocation to reflect how quickly the singles segment is growing in today’s alcohol beverage marketplace.”
The final word of advice offered by Theriault for c-store retailers looking to best navigate the current market in beverage alcohol was agility — making sure that new products were tested quickly and efficiently for shopper response, separating winners from losers in a crowded segment.
BrainTrust
Nicholas Morine
Recent Discussions
Discussion Questions
Do you believe things going to get worse before they get better for beverage alcohol brands and associated retailers? Why or why not?
What potential disruptor can you see entering the market which could further pull sales downward? Are there any differentiators that could save certain brands or retailers?
Can you think of any standout brands or retailers in the segment which are weathering the downturn better than others? What’s their secret?
Poll
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Alcohol consumption is soft generally, but not across the board. Ready to drink cocktails are one of the segments seeing growth. Why? Because they’re a trade down from drinking out of home, because they’re a small indulgence that doesn’t break the bank, and because they’re convenient. That said, to cut through brands need to innovate and layer in things like novelty and a premium feel. The best example of doing this comes from Marks & Spencer with their fun cans and The Marksologist premium lines. They’ve seen huge growth.
And look at the shelf in the picture at the top of this article. An uninspiring mess! Compare that to the brilliant way M&S present their range.
That’s part of the problem. Display techniques in this area haven’t changed in decades, and a lot of the displays are a mess.
Exactly. There are wider trends that impact sales, but retailers (and brands) really do not help themselves!!
If history is any indication, things are probably going to get worse. And then we’ll figure out that “pot” (THC) isn’t all it’s “cracked” up to be (see what I did there). The temperance story is as old as alcohol: sober bars, near beer, soda fountains, herbal elixirs, mocktails.
We’ve been “here” before and I suspect that like a non-life-threatening hangover, this too shall pass! As often is the case, the pendulum will settle somewhere in the middle.
“Clowns to the left of me, jokers to the right, here I am stuck in the middle with you” enjoying a cornucopia of alcoholic, non-alcoholic and functional-buzz options.
Whatever you do, do it responsibly. Cheers!
This is less a temporary downturn than a structural shift.
Alcohol is no longer losing share primarily to other alcohol brands—it’s competing against consumers’ discretionary time, attention, and wellness priorities. Cannabis, functional beverages, premium non-alcoholic alternatives, and changing social habits are all reshaping demand. Retail execution still matters, but it won’t reverse a fundamental change in consumer behavior.
The next differentiator won’t be another ready-to-drink beverage or flavor innovation. It will come from brands and retailers that redefine alcohol’s role in consumers’ lives by owning occasions and creating experiences that fit today’s more intentional consumer.
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Alcohol consumption is soft generally, but not across the board. Ready to drink cocktails are one of the segments seeing growth. Why? Because they’re a trade down from drinking out of home, because they’re a small indulgence that doesn’t break the bank, and because they’re convenient. That said, to cut through brands need to innovate and layer in things like novelty and a premium feel. The best example of doing this comes from Marks & Spencer with their fun cans and The Marksologist premium lines. They’ve seen huge growth.
And look at the shelf in the picture at the top of this article. An uninspiring mess! Compare that to the brilliant way M&S present their range.
That’s part of the problem. Display techniques in this area haven’t changed in decades, and a lot of the displays are a mess.
Exactly. There are wider trends that impact sales, but retailers (and brands) really do not help themselves!!
If history is any indication, things are probably going to get worse. And then we’ll figure out that “pot” (THC) isn’t all it’s “cracked” up to be (see what I did there). The temperance story is as old as alcohol: sober bars, near beer, soda fountains, herbal elixirs, mocktails.
We’ve been “here” before and I suspect that like a non-life-threatening hangover, this too shall pass! As often is the case, the pendulum will settle somewhere in the middle.
“Clowns to the left of me, jokers to the right, here I am stuck in the middle with you” enjoying a cornucopia of alcoholic, non-alcoholic and functional-buzz options.
Whatever you do, do it responsibly. Cheers!
This is less a temporary downturn than a structural shift.
Alcohol is no longer losing share primarily to other alcohol brands—it’s competing against consumers’ discretionary time, attention, and wellness priorities. Cannabis, functional beverages, premium non-alcoholic alternatives, and changing social habits are all reshaping demand. Retail execution still matters, but it won’t reverse a fundamental change in consumer behavior.
The next differentiator won’t be another ready-to-drink beverage or flavor innovation. It will come from brands and retailers that redefine alcohol’s role in consumers’ lives by owning occasions and creating experiences that fit today’s more intentional consumer.