Non-Carbonated Drinks Are Overtaking Hard Seltzer
CNBC reported Sunday that non-carbonated drinks are rapidly displacing hard seltzers across the beverage industry. Brands like Surfside Iced Tea and BeatBox are capturing consumer attention. The shift is being driven overwhelmingly by Gen Z drinkers entering the market with distinctly different preferences from older generations.
Seltzer’s Growth Stalls as Still Options Surge
Malt-based hard seltzers, including category leader White Claw, saw volume fall 1.1% in the 52 weeks through late April, according to market research firm Circana. Meanwhile, ready-to-drink premixed cocktails surged 46.4% across the same period. Brands fueling that jump include Surfside, Sun Cruiser, BuzzBallz, and Anheuser-Busch InBev‘s Cutwater Spirits line. Consulting firm AlixPartners’ Americas consumer products director Randy Burt told CNBC the momentum has clearly swung toward still beverages in both alcoholic and non-alcoholic categories.
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How Seltzer Rose and Why It Faltered
LaCroix’s explosive sales growth roughly a decade ago triggered a wave of flavored sparkling beverages across grocery and liquor shelves. Hard seltzers like White Claw and Truly then rode that enthusiasm to mainstream dominance around eight years ago. Circana’s executive vice president of alcoholic beverages Scott Scanlon told CNBC that younger consumers are fundamentally different in how they adopt new products. He described the pattern as high “promiscuity” within alcohol consumption, where Gen Z quickly abandons a category once something newer arrives. Millennials defined themselves through seltzer. Gen Z appears to be doing the opposite.
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Gen Z Is Rewriting the Rules of the Drinks Aisle
Born between 1997 and 2012, Gen Z grew up as soda consumption was already declining from its 1990s peak. Reusable water bottles became a cultural staple for this cohort. Tea-based drinks, refreshers, and functional beverages followed. Burt told CNBC that Gen Z is now ordering tea-based alcoholic drinks at happy hour as their default “better for you” option. Health concerns around carbonation are also playing a role. Sparkling water carries mild acidity that can erode tooth enamel over time. Fizzy drinks can also trigger bloating, and the visual association with sugary sodas puts off wellness-focused younger buyers. Surfside, launched by indie distiller Stateside Brands in 2022 as a vodka-and-iced-tea RTD, has emerged as the clearest symbol of the shift. Non-alcoholic brands like Celsius are also expanding their still product lines to ride the same wave.
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