An Overview of the Global Non-Alc Beverage Market
At Bar Convent Berlin, Paul Mathew, Founder of Everleaf Drinks, provided the audience with an overview of the global non-alcohol market. Mathew touched on the size of the prize within non-alcohol, as well as how brands can educate consumers on-premise.
What is the Mindful Drinking Movement?
Learn more about the mindful drinking trend from Camille Vidal, Founder of La Maison Wellness. In this presentation, Vidal discusses what groups are behind the growing movement and how alcohol-free offerings are shaping trends within the space.
In this presentation from Bar Convent Berlin, Imme Ermgassen, Co-Founder of Botivo Drinks, reveals the three challenges of starting a non-alcohol brand. Imme dives into issues like culture, categories, and consumer preferences.
An Overview of the Global Non-Alc Beverage Market Transcript
Paul Mathew (00:09)
Thank you for coming. I am the founder of Everleaf. Today, I’m wearing two hats: I’m a bartender and bar owner in London with nearly 30 years of experience, and I am also a brand founder.
About five years ago, we developed Everleaf in my bars for consumers seeking no-and-low options. We didn’t have a great selection at the time, so I leveraged my background in botany to create something unique—not a non-alcoholic gin mirror, but a flavor-forward aperitif designed to offer consumers genuine choice.
Paul Mathew (01:20)
To provide a global category overview: the no-and-low market reached $11 billion last year, up from $8 billion in 2018. While small relative to the total global drinks industry, it remains one of the fastest-growing sectors—posting a 7% compound annual growth rate (CAGR), with 90% of overall category growth coming specifically from zero-ABV (“no”) products.
While beer and cider represent 70% of total category volume growth, non-alcoholic spirits exhibit the fastest growth rate. The largest markets in Europe are Germany, Spain, and the UK, alongside Japan and the US. Most no-and-low consumers have entered the market since 2019, showing massive ongoing potential—95% of consumers are now aware of the category, compared to five years ago when extensive category education was still required. Furthermore, half of UK on-premise business leaders consider no-and-low a key growth driver.
Paul Mathew (03:15)
Across commercial channels, US on-premise non-alcoholic sales grew 30%. However, the rapid proliferation of new brands makes grocery listings increasingly competitive for independent brands, particularly as category growth in mature markets like Germany begins to normalize. Price sensitivity in grocery retail remains a challenge for premium products, whereas the on-premise channel prioritizes premium quality over discount pricing.
Recent US data shows that 1 in 7 on-premise visitors consume non-alcoholic drinks—rising to 1 in 4 among consumers under 35. In the UK, a third of pub visits now involve a non-alcoholic order. Additionally, 74% of social nights out involve mixed groups where some individuals moderate. Our goal is not conversion or total abstinence, but serving social occasions inclusively.
Paul Mathew (05:11)
Interestingly, 50% of non-alcoholic consumers also drink alcohol during the same night out—a behavior known as “blended drinking,” “zebra striping,” or ordering “shims” (low-ABV spacers) between alcoholic drinks to moderate overall consumption.
In e-commerce, 94% of non-alcoholic buyers also purchase alcoholic beverages online. Non-alcoholic consumers spend more on the total beverage category compared to exclusive alcohol buyers because they actively seek premium, high-quality products.
Paul Mathew (06:50)
For Everleaf, driving on-premise growth relies on finding the right venue, serve, and menu placement—targeting early-evening occasions where moderation is higher. In the UK alone, venue operators lose an estimated £800 million annually when moderating consumers default to tap water due to a lack of appealing non-alcoholic options.
Paul Mathew (07:39)
Category education requires three core pillars:
- Trade Education: Teaching bartenders how to navigate subcategories—from direct spirit analogs (non-alcoholic gins/whiskies) to alcohol-adjacent aperitifs (like Everleaf and Botivo) and functional/adaptogenic beverages.
- Consumer Education: Communicating that craft non-alcoholic spirits require complex extraction processes and premium ingredients, justifying super-premium positioning beyond simple flavored syrups or cordials.
- Brand Building Education: Encouraging founders to adopt sophisticated brand-building strategies to ensure category longevity.
Paul Mathew (09:15)
Reflecting on our strategy over the past five years: we launched strictly in the on-premise, pivoted to direct-to-consumer e-commerce during pandemic lockdowns, and explored grocery retail. However, given the high customer acquisition costs in e-commerce and intense price competition in grocery, we have refocused our core growth strategy on the premium on-premise trade, where our brand thrives. Thank you!
What is the Mindful Drinking Movement Transcript
Camille Vidal (00:10)
I’m Camille Vidal, and I have been part of the no-and-low alcohol movement pretty much from the beginning. After 15 years in the drinks industry, I launched La Maison Wellness in late 2017 to support this movement and help drive the category forward. I am the creator of the Mindful Cocktail concept, and I am genuinely excited about the scale, ambition, and potential of this space.
It is important to clearly define “mindful drinking.” Many people assume it means strict sobriety or completely eliminating alcohol. However, mindful drinking is really about becoming aware of our drinking habits and choosing to change how we consume for the better. For some individuals, that means absolute sobriety; for many others, it means moderation. Looking at consumer data in the UK and US, more than half of the population expresses a desire to moderate their drinking habits.
Camille Vidal (02:11)
Even within moderation, consumer behaviors vary significantly. Studies categorize mindful drinkers into three primary types:
- The Trier: Typically consumes alcoholic beverages but seeks to switch or try alternative options.
- The Blender: Mixes full-proof, low-proof, and non-alcoholic drinks across a single occasion.
- The Substituter: Chooses non-alcoholic beverages for specific occasions while drinking alcohol on others.
When I started La Maison Wellness in 2017, the industry landscape was polarized—traditional industry peers felt I wasn’t focused enough on alcohol, while the sober community felt I wasn’t “dry” enough because I advocated for low-alcohol options alongside alcohol-free cocktails. That dynamic has shifted dramatically. Today, moderation represents the largest segment of the mindful drinking movement. People moderate for diverse reasons—whether for physical health, mental well-being, training for an athletic event, pregnancy, career focus, or simply enjoying the taste of non-alcoholic products.
Camille Vidal (04:18)
The no-and-low category reached $11 billion globally in 2022 and is projected to grow by a third by 2026. While still a small fraction of the overall market, it represents a massive growth opportunity for spirit producers, bar owners, and restaurateurs.
In the UK, research from CGA shows that more than one in three on-premise visits now includes an alcohol-free purchase across pubs, bars, and restaurants. However, when global consumers are asked what they drink when abstaining from alcohol, the top answers remain soft drinks, tap water, coffee, or tea. This reveals a major distribution gap—consumers want sophisticated non-alcoholic options, but venue availability and education remain the primary bottlenecks.
Financially, UK hospitality venues leave an estimated £800 million on the table every year by serving tap water instead of upselling guests to premium non-alcoholic options. Venues are not in the business of serving free water; we are here to craft memorable guest experiences while protecting profitability.
Camille Vidal (07:04)
Venues also face a reputational risk: offering a poor no-and-low selection makes an establishment less relevant to modern consumers. A great non-alcoholic menu is not a “mocktail.” The mocktail era—mixing sweet fruit juices and artificial syrups with a plastic straw—is dead. Guests expect sophisticated, well-balanced drinks that happen to be alcohol-free, designed with the same care as traditional cocktails.
Industry professionals must move past personal flavor biases and recognize that beverage menus should cater inclusively to every guest who walks through the door. With dozens of new craft non-alcoholic spirits launching globally every year, venue operators must stay curious, taste new products, and curate a high-quality selection.
Camille Vidal (09:14)
For venue operators and brand owners, several menu considerations drive success:
- Placement: Integrate non-alcoholic offerings directly into the main cocktail list rather than hiding them at the back of the menu with the children’s items. Non-alcoholic drinks should reflect the same level of craft as the rest of the beverage program.
- Selection: Offering a single non-alcoholic option is insufficient. Providing a curated variety—such as a non-alcoholic lager, a dark beer alternative, and distinct spirit profiles—establishes your venue as an authority.
- Staff Education: Ensure your service team is trained on the category, tasting notes, and recommendations so they can guide guests confidently.
- Promotion: Actively communicate your non-alcoholic offerings across your physical menu, website, social media, and PR channels.
Camille Vidal (11:18)
Promoting your non-alcoholic menu is critical because the mindful drinker is frequently the key decision-maker when a group selects a venue. Just as a group containing a vegetarian guest will avoid a venue without vegetarian options, a group with one non-drinking or moderating member will choose an establishment with a thoughtful non-alcoholic selection.
Ensuring your offer is visible, clear, and celebrated across all channels helps attract new guests, retain existing customers, and drive venue profitability. Thank you!
3 Challenges of Starting A Non-Alcohol Brand Transcript
Imme Ermgassen (00:09)
I am Imme Ermgassen, co-founder of Botivo. We are a relatively new brand—about a year and a half old. I am speaking today from two perspectives: first, as a startup founder operating with limited capital, and second, as someone with 15-plus years of agency experience building global brands for companies like Diageo, Beam Suntory, Heineken, Nike, and Adidas across London, New York, and Shanghai.
I want to share why building a disruptive brand is essential in the non-alcoholic category, and outline the four strategic focus areas required to achieve that disruption.
Botivo is an aperitif-inspired, non-alcoholic craft spirit that has quickly become a favorite in premium London restaurants and among top chefs. Three key factors set Botivo apart:
- A New Taste Profile: It is not a non-alcoholic version of an existing spirit; it delivers a completely new taste experience.
- Not a Mimic: It does not attempt to imitate gin, vodka, or wine.
- True Craftmanship: My co-founder, Sam, handcrafts every batch on a farm in Hertfordshire, UK. Unlike many non-alcoholic brands that outsource production, authentic craft is at the core of our story.
When I first tasted Botivo, I was blown away by the liquid. Since then, we have gained endorsements from prominent food critics like Grace Dent and Alice Lascelles, and recently became the first spirit of its kind stocked by Whole Foods in the UK.
Imme Ermgassen (03:15)
Entering the non-alcoholic category as a small brand means inheriting three major external challenges:
- “The Boy Who Cried Wolf” Effect: Consumer cynicism is high because many early non-alcoholic products disappointed on taste. Persuading consumers to even sample a new non-alcoholic product is a major hurdle.
- Lagging Category Classification: Industry labeling forces innovative liquids into restrictive boxes—such as “non-alcoholic gin” or “non-alcoholic aperitif.” If your product has a unique taste profile, it does not fit neatly into these legacy retail categories. Additionally, the non-alcoholic space lacks clear distinction between super-premium and mass-market tiers, grouping high-end craft spirits alongside lower-cost alternatives.
- Retail Buyer Risk Aversion: Because novel taste profiles lack historical sales data, retail buyers perceive stocking them as a high risk compared to straightforward non-alcoholic beer or gin substitutes.
Because these category dynamics are beyond your control, your brand positioning is the single most critical asset you can own.
Imme Ermgassen (06:34)
To build a disruptive brand with long-term viability, you must align four foundational elements: Culture, Category, Consumer, and Product.
1. Culture:
Look beyond current trends toward emerging cultural shifts. While the initial non-alcoholic phase focused on basic availability and the current phase centers on moderation and health, the emerging culture is about pure taste, culinary enjoyment, and craft ingredients. Consumers increasingly choose non-alcoholic drinks simply because they taste exceptional.
Imme Ermgassen (09:00)
2. Category White Space:
Map your category landscape to identify unmet tensions. When evaluating our landscape on axes of Pleasure vs. Worthiness and Mass/Flavored vs. Small-Batch/Craft, we identified a major white space in the top-right quadrant: Super-Pleasure & Super-Craft. Botivo plays strictly in this space—combining playfulness, creativity, and culinary pleasure with small-batch, handmade production that uses zero artificial flavorings or preservatives.
3. The Core Consumer:
Define a highly specific target audience. Rather than targeting general moderating drinkers or health-focused consumers, Botivo targets Foodies—people who love gastronomy, care about ingredient provenance, and appreciate how flavor profiles are crafted. This clear target guides our venue selection, media strategy, and trade partnerships.
Imme Ermgassen (11:55)
4. Product Credibility:
Modern consumers quickly detect disingenuous brand claims. If you market your brand around craft, flavor, and culinary credentials, your liquid must deliver on that promise. Botivo’s 5-week small-batch maceration process provides the physical proof required to substantiate our brand claims authentically.
To build a disruptive, enduring brand: align with emerging culture, target an uncrowded category quadrant, focus on a clearly defined consumer persona, and ensure your liquid delivers uncompromised quality. Thank you!
More Resources on Low & No-Alcohol
How the Beverage Alcohol Market is Moving Beyond Booze
What’s Trending in Low & No in 2023?
Podcast: How Low & No is Transforming the Industry