Gen Z, the generation born between 1997 and 2012, is often depicted as a generation that prioritizes health and wellness over partying and drinking. This trend is becoming increasingly evident in the way young people are consuming alcohol, or rather, the way they’re not consuming it. According to various studies and surveys, Gen Z is drinking less alcohol than previous generations, and this is bad news for concert venues.
It’s important to note that the decline in alcohol consumption among Gen Z is not an isolated phenomenon. In fact, it’s part of a broader trend that has been occurring in many western countries for some time now. Millennials, for example, have also been drinking less alcohol compared to previous generations. The reasons behind this trend are complex and multifaceted, but some of the key factors include changing attitudes towards alcohol, increased awareness of the negative health effects of excessive alcohol consumption, and the rise of alternative social activities.
For concert venues, this trend is worrying. Alcohol sales are a significant source of revenue for most venues, and they’re often crucial for the financial viability of these establishments. When fewer people are drinking, it can lead to a decline in sales and profits, making it harder for venues to stay afloat. This is especially true for smaller venues that rely heavily on alcohol sales to make ends meet.
The decline in alcohol consumption among Gen Z is not just bad news for concert venues, though. It’s also a challenge for the wider alcohol industry. According to a report by market research firm IWSR, global alcohol consumption has been on the decline for the past three years. In 2020, alcohol sales were down by 8.5% globally. While there are many factors behind this decline, the changing habits and attitudes of younger consumers are seen as a significant contributing factor.
So, what can concert venues do in response to this trend? One possibility is to diversify their revenue streams. Venues could explore other ways to generate income, such as by hosting other types of events, selling merchandise, or partnering with sponsors. They could also focus on offering non-alcoholic drinks and on creating a welcoming environment for people who don’t drink.
Another possibility is to embrace the trend towards health and wellness. By offering more health-conscious options and by promoting a healthy lifestyle, venues could appeal to Gen Z and other young people who prioritize these values. This could mean offering more vegan and vegetarian food options, promoting exercise and fitness programs, or hosting wellness-focused events.
Ultimately, the decline in alcohol consumption among Gen Z is a trend that concert venues and other establishments will need to adapt to. By recognizing the changing habits and attitudes of young consumers and by being proactive in responding to these trends, venues can thrive and continue to offer memorable experiences for their customers.
