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White Hutchinson Leisure & Learning Group, Kansas City, MO, USA

Americans increasingly reducing alcohol consumption for health reasons

Americans increasingly believe drinking in moderation is bad for one's health. Young adults are more likely than middle-aged and older adults to say alcohol presents health risks, and their alcohol consumption has dropped significantly in recent years.

The latest data from this year's July 1-21 Gallup Consumption Habits poll show a new high of 45% of Americans say drinking one or two alcoholic beverages per day is bad for one's health. This marks a six-percentage-point increase since last year and a 17-point increase since the prior poll in 2018.

Americans' attitudes about alcohol vary significantly by age, as young adults have become progressively more likely to say drinking is bad for one's health. Whereas 65% of U.S. adults aged 18 to 34 say alcohol consumption negatively affects one's health, 37% of those aged 35 to 54 and 39% of those aged 55 and older agree.

Implications

Younger adults aged 18 to 34 are the majority market share for many location-based entertainment centers (LBEs), especially the growing number of social gaming LBEs. Young adults increasing negative attitude about drinking alcohol and their subsequent reduction in alcohol consumption, known as the sober curious trend, means LBEs will see a declining share of drink revenues coming from high-margin alcoholic drinks. To maintain their drink revenues and profits, LBEs need to expand their drink offerings to include non-alcoholic beverages with high margins, including mocktails and NA beers at typical beer prices.

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