Per capita expenditure on alcohol in the US - Data and Analysis (1980-2031)

Alcohol per capita expenditure increased by 2.4% in 2025 to $929.60, underpinned by several key consumption drivers and trends that shaped market performance throughout the year. Uptake was driven by strategic moves from organizations such as American Airlines, which introduced tequila on select routes and cruise businesses fueling additional demand for alcohol as a complement to luxury travel, reflecting increased consumer spending among experience-oriented and wealthier demographics. The market's resilience was further underscored by robust demand at sporting events where alcohol remains regarded as essential for attendees. Premiumization initiatives by major players, including Anheuser-Busch, resulted in elevated pricing strategies and product innovation, channeling consumer interest toward higher-quality and more expensive alcohol products, thereby supporting revenue and offsetting cost pressures.Over the five years to 2025, expenditure patterns have been shaped by a combination of economic, health and social trends. The COVID-19 pandemic had a marked impact in 2020, driving a 10.2% drop in per capita expenditure as regulatory measures reduced consumption at bars, hotels, and restaurants. Alcohol purchases for home consumption rose but did not fully offset the decline in on-premises sales. As pandemic restrictions lifted in 2021 and consumers resumed out-of-home activities, per capita spending rebounded by 18.1%, reflecting pent-up demand for social drinking. Continued increases in per capita alcohol expenditure followed in 2022 and 2023, rising by 4.7% and 1.0%, respectively. However, these increases were tempered by inflation, which constrained discretionary spending, even as demand for premium beverages, such as wine, spirits, and craft beer, remained strong.Changing consumer preferences over this period reinforced the shift toward higher-priced premium beverages, including craft and imported products. This partially offset stagnation in overall volume, as beer consumption declined because of heightened health consciousness and dietary trends that discouraged high-carbohydrate drinks. Millennials' increased willingness to spend on social experiences and premium brands further contributed to expenditure growth, with trends such as happy hours and weekend brunches supporting out-of-home sales. Macroeconomic conditions, including employment gains and rising disposable incomes, also played pivotal roles, but inflation since 2022 has increasingly moderated growth in real discretionary outlays.Through 2025, per capita expenditure on alcohol has reflected a balancing of these trends. Continued interest in premiumization and social consumption, along with gradual improvements in economic and employment indicators, have maintained upward pressure on expenditure even as inflation and cost-of-living concerns have limited more robust spending gains. Regulatory conditions surrounding alcohol sales have remained broadly unchanged across the period. This has resulted in consumption growing at CAGR 5.1% over the five years to 2030.