U.S. wine sales fall 8% in 2024

Wine sales in the United States declined by 8% in 2024, according to a report from Wine and Spirits Wholesalers of America's SipSource. This downturn reflects shifting consumer habits, as more Americans reduce their alcohol intake or seek non-alcoholic alternatives.

The report indicates that the decline has impacted both restaurant sales and specialty retail stores. In the on-premise channel, which includes bars, restaurants, and clubs, wine sales dropped by 7.9%, performing worse than other alcoholic beverage categories. Table wines, which account for 75% of total industry revenue, fell by 8%, while sparkling wines and Champagne, representing 16.8% of the market, also saw the same reduction.

SipSource's analysis highlights ongoing challenges in the restaurant sector, where maintaining demand for wine and spirits remains difficult. Consumers are increasingly shifting their purchasing habits, favoring consumption outside the traditional bar and restaurant setting. Additionally, the rising popularity of non-alcoholic alternatives is reshaping perceptions of wine consumption.

Dr. Raj Dasgupta, an internal medicine specialist at Huntington Health in Los Angeles, told Fox News Digital that this decline comes as no surprise. He pointed to growing awareness of the health risks associated with alcohol as a key factor driving this trend. "We now know that even moderate alcohol consumption can increase the risk of conditions such as cancer, liver disease, and heart problems," Dasgupta stated. Discussions about alcohol's effects, along with initiatives advocating for warning labels on alcoholic beverages, are prompting many consumers to reconsider their drinking habits.

Another factor contributing to the decline in wine sales is the rise of non-alcoholic beverages. Dasgupta noted that younger generations are increasingly opting for alternatives like mocktails, alcohol-free cocktails that provide a similar social experience without the associated health risks. "Non-alcoholic beverages are more accessible and convenient, making wine seem less appealing by comparison," he explained.

This shift in consumer preferences suggests that the U.S. wine industry will need to adapt to an evolving market. Wineries and distributors will have to explore new strategies to attract a customer base that is increasingly inclined toward healthier options and alternative drinking experiences.