Business

Seltzer Fatigue Spurs Shift to Still Drinks as Gen Z Drives Non-Carbonated Beverage Growth

📅 May 26, 2026 20:00 ET ⏱ 3 min 👁 views GazetaDay Editorial

The flavored seltzer boom that began nearly a decade ago with LaCroix is fading as consumer interest pivots toward non-carbonated beverages, from Liquid Death to Surfside Iced Teas. Industry data shows a structural shift in both alcoholic and non-alcoholic drink categories, with younger generations leading the retreat from bubbles.

Shift in Consumer Preferences

“If you think about where there's more growth, where there's more consumer interest relative to a few years ago, it's a shift more to still, across both [alcohol] and non-alc,” said Randy Burt, Americas director of consumer products at consulting firm AlixPartners. While carbonated beverages are not disappearing, their growth has decelerated as Generation Z increasingly seeks out options without bubbles and beverage companies redirect innovation toward fizz-free drinks.

Alcohol Category Data

Malt-based hard seltzers, including White Claw, saw volume drop 1.1% in the 52 weeks ended April 26 compared with the year-ago period, according to data from market research firm Circana. In contrast, ready-to-drink premixed cocktails recorded volume growth of 46.4% over the same period, fueled by gains from Surfside, Sun Cruiser, BuzzBallz and Anheuser-Busch InBev's Cutwater Spirits, which offers both carbonated and non-carbonated options.

Generational Divide Driving Change

Much of the shift from bubbly to non-carbonated drinks is driven by Generation Z, typically defined as people born between 1997 and 2012. Over their lifetime, soda consumption has dropped dramatically from its 1998 peak, reusable water bottles have become a staple, and new drink categories like refreshers and dirty soda have entered the mainstream. “We're seeing a lot of promiscuity within consumption and alcohol around new products,” said Scott Scanlon, executive vice president of alcoholic beverages for Circana, citing the rise of White Claw and Truly about eight years ago. “Now what we're seeing is then consumers jump to the newest product — that's Surfside, Sun Cruiser because of that.” Scanlon identified a generational split between Gen Z and millennials, who previously drove seltzer demand. As Gen Z reaches drinking age, their preferences reflect this divide: non-carbonated alcoholic drinks like Surfside and BeatBox are stealing “share of throat” from hard seltzers, which have seen growth slow. “Gen Z is a lot more likely to order tea-based beverages at happy hour, and they're sort of moving from carbonated — or seltzers — as their default, 'better for you' pick,” he added.

Market Context

beverage industryseltzernon-carbonated drinksGen Zconsumer trendsready-to-drink cocktailsLiquid Death