May 12, 2025 – In the US, beer is preferred for its refreshing taste, diverse flavors, and indulgence factors. Innova’s 360 research examines trends in beer and non-alcoholic beer globally and highlights the top drivers of beer perceptions, consumer preferences, beer types, alcohol content, flavors, and packaging trends. It also reveals what brands, companies, or manufacturers need to know about innovation opportunities that may develop in the future.
Beer Category
North America is the second-largest global region for beer launches, contributing 36% of global beer launches. The US accounts for one-third of these new beer introductions over the past five years.
New beer launches account for 45% of US alcoholic beverages in the past year, maintaining their lead over other subcategories. The category continues to face significant competition from the fast-growing flavored alcoholic beverages segment, which has accelerated over the past five years.
The US beer retail value sales are projected to grow at a 4% CAGR through to 2027. However, volume sales projections for beer predict a slowdown in upcoming years. This disparity indicates a corporate reliance on premiumization to support revenue growth. The US is projected to account for 16% of global retail beer dollar sales, after China.
Beer Brands and Companies
In the US, Evil Twin Brewing, Cerebral Brewing, Great Notion, Tactical Brewing Company, and Fieldwork Brewing are top companies for product launches over the past year. American craft brewers are driving innovation in the country, accounting for all of the top 10 breweries and 23 of the top 25 US breweries launching new beers. The top 10 brewers account for a total of 29% of new beer launches over the past year.
Consumer Beer Preferences
Beer trends show that beer displays the highest purchasing penetration in the alcoholic beverage category, with more than one-fifth of US consumers buying it. Non-alcoholic beer penetration is less than one-fifth that of beer. Over half of consumers drink beer at least once a week, and men drink more beer than women in the US. Beer purchasing penetration is highest among Boomers and lowest for Generation Z, while Millennials drink beer less frequently than others.
Consumers drink both beer and non-alcoholic beverages for taste and relaxation. They consume these beverages mostly when spending time with friends and family, preferring plain and traditional beer suitable for every-day occasions. In contrast, they have increased their consumption of non-alcoholic alternatives because they are healthy and environmentally or ethically responsible.
Beer Types and Flavors
India pale ale continues to lead with 43% of beer launches, while pilsner beers display significant growth of 21% CAGR over the past year. Beer trends reveal that pale ale and sour beer types are also growing in this space.
The fruit flavor category is leading in flavored beers, while the spices and seeds flavor category displays the fastest growth. Vanilla, orange, strawberry, mango, and peach are leading flavors in beer launches over the past year. Unflavored beers show growth in launches and account for three-quarters of all US beer launches. Unflavored beer brands supplant fruits and other flavors by focusing on the hops.
Beer Alcohol Content
Beers with alcoholic beverage volume levels between 5% and 7% show the fastest growth. This mid-high ABV segment accounts for almost half of all launches in the past year. Non-alcoholic beer, which ranges between 0.5% ABV or less, is the only other ABV segment experiencing growth, although it remains the smallest segment in beer launches in the current year. The reduced alcohol consumption among younger generations and the social nature of drinking indicates continuous growth of non-alcoholic alternatives in the beer market.
Beer Positionings Trends
Ethical-packaging claims are most frequent, appearing in 17% of beer launches. Apart from ethical packaging, other ethical claims like the environment and humans are rising. Other growing claims include limited edition and seasonal. Each appeared on 10% of beer launches in the past year, with seasonal claims doubling the level of launches since 2019.
Beer Packaging
The US beer industry is transitioning from glass bottles to aluminum cans. These cans have expanded from 81% to 94% of beer launches over the past five years. However, aluminum recycling has not kept pace with this transition, as launches claiming recyclability remained at one-quarter during the same period, while responsible sourcing and carbon labeling emerged.
At the same time, the glass industry has not given up its battle to retain market launches. Glass manufacturers are undertaking sustainability initiatives aimed at increasing the circularity of this infinitely renewable packaging material.
What’s Next in Beer Trends?
In the US, beer continues to lead sales and launches in alcoholic beverages; however, it displays slow growth. Multinational breweries can prioritize strategies like premiumization for boosting profits. Innovations can focus on core brands and be tested in select markets, which will also build brand equity. Testing can also be used to develop more personalized relationships with consumers by seeking their feedback via the digital interface platforms. This strategy also draws on consumers’ preference for traditional beers.
Over half of US consumers, particularly Boomers, are acting proactively to prevent health issues. Breweries can tap into this by introducing new non-alcoholic beer styles to meet growing US consumer demand. This growth can contribute to blurring alcoholic and non-alcoholic beer category boundaries and reduce pressure to drink alcohol for socializing.
Ethical claims are growing in the beer market. Brewers can emphasize their sustainable assets, such as carbon-neutral green energy, local and sustainably farmed ingredients, and support for local non-profits. They can also highlight certifications of these claims on their packaging to build consumer trust. Brands that focus on advanced research, innovations, and sustainability are likely to meet the evolving consumer preferences.
This article is based on Innova’s Now & Next in Beer in the US report. This report is available to purchase or with an Innova Reports subscription. Reach out to find out more
