The party scene is shifting, and Gen Z is leading the charge in redefining socializing and drinking culture. Gone are the days of exclusively hitting up loud, high-energy nightclubs and indulging in heavy drinking. Instead, younger generations are opting for more relaxed, low-energy spaces—such as parks, house parties, and even themed gatherings. But while their drinking habits are changing, there’s still a significant opportunity for the alcohol industry to thrive, according to a top executive at Suntory, the parent company of Jim Beam and Maker’s Mark.
Jing Mertoglu, Suntory’s global vice president of insights and analytics, shared her insights on how Gen Z’s approach to alcohol is shaping new consumption patterns that could provide the booze industry with fresh growth opportunities. Despite an overall decline in alcohol consumption among young adults, Mertoglu believes that these new preferences present a chance to cater to a more diverse and health-conscious generation.
The Shift from High-Energy to Low-Energy Socializing
One of the key shifts that Mertoglu identified is how Gen Z’s approach to fun is evolving. While older generations—especially millennials—tended to associate socialization with high-energy venues like nightclubs, karaoke bars, and discos, Gen Z has embraced a broader range of social experiences. The emphasis has moved from loud, crowded environments to more intimate, low-key settings where the focus is on connection, conversation, and relaxation.
“I think they’ve now broadened their options for what socialization and having fun are looking like,” Mertoglu said in an interview. “For some, picnics in the park are cool as well, while for others, gathering and camping mean having fun.” This shift represents a departure from the classic party scene and reflects a growing trend of mindfulness in social activities—where people prioritize enjoying quality time with friends and nature over the noise and chaos of conventional clubbing.
Mertoglu also noted that micro-clubs, niche events, and themed parties have gained popularity in certain regions, such as China, Singapore, and South Korea. These gatherings are smaller in scale, more intentional in nature, and often incorporate creative themes or interactive activities. For example, in South Korea, camping and socializing with friends or colleagues around a campfire have become a new way for Gen Z to unwind and connect. These experiences reflect a desire for more personal and meaningful interactions rather than the frantic energy of a packed nightclub.
Gen Z’s Changing Drinking Habits
The most significant change, however, comes in Gen Z’s drinking habits. A recent Gallup survey revealed a troubling trend for the alcohol industry: Between 2023 and 2025, the percentage of 18 to 34-year-olds who reported drinking alcohol decreased by 9%. This demographic shift signals a decline in alcohol consumption among younger adults, a worrying trend for an industry that has historically relied on this group as a major consumer base.
Furthermore, Americans aged 25 to 34 spent roughly 11% less on alcohol in 2023 than they did in 2003, adjusted for inflation, according to data from the Federal Reserve. This reduction in spending reflects a broader cultural movement toward healthier lifestyles and a growing awareness of the negative effects of excessive alcohol consumption. Many Gen Zers are opting for more mindful drinking, consuming lower-alcohol drinks, or even avoiding alcohol altogether in favor of other beverages like mocktails, low-alcohol wines, or kombucha.
Despite this, Mertoglu sees these shifts as opportunities for innovation within the alcohol industry rather than setbacks. “They’re not necessarily stopping drinking, they’re just changing how they drink,” she explained. “They still want to drink, but it’s about finding new ways and spaces to enjoy it.” This is where Suntory and other beverage companies have the opportunity to pivot their offerings to align with these new preferences.
The Rise of Low-Alcohol and Non-Alcoholic Beverages
As part of Gen Z’s mindful approach to drinking, there has been a surge in demand for low-alcohol and non-alcoholic beverages. This generation is more health-conscious and aware of the potential risks associated with alcohol consumption. Brands that can provide flavorful, lower-alcohol options or alcohol-free alternatives are well-positioned to capture this market.
Suntory, known for its iconic brands like Jim Beam and Maker’s Mark, has already responded to this trend by introducing lighter, more versatile drinks that align with Gen Z’s preferences. Low-alcohol cocktails and options that provide the same social enjoyment as traditional drinks, without the heavy intoxication, are growing in popularity. This shift away from traditional heavy spirits to more balanced drinks has opened a new market segment for beverage companies to explore.
A New Approach to Drinking and Socializing
While Gen Z may not be flocking to high-energy nightclubs in the same way that previous generations did, they still have a strong desire for socializing and connecting with others over drinks. What has changed is how and where these interactions take place. The emphasis is on finding a balance between enjoying a good drink and maintaining a more mindful, health-conscious lifestyle. In addition to picnics and intimate gatherings, new formats such as outdoor movie nights, backyard parties, and even virtual drinking events are becoming increasingly popular.
In many ways, the shift towards more low-key, health-conscious drinking experiences aligns with broader societal changes. There is a growing awareness of the negative impacts of excessive alcohol consumption on mental and physical health, especially among younger people. As such, brands that can tap into these new, low-key drinking experiences while offering products that are perceived as healthier or more mindful are likely to see success.
The Opportunity for the Alcohol Industry
Despite the shifting trends in Gen Z’s drinking habits, Mertoglu believes there is still ample opportunity for growth in the alcohol industry. Rather than seeing the decline in traditional alcohol consumption as a challenge, she views it as a chance for the industry to evolve. By embracing the new consumption patterns and creating innovative products that cater to the evolving needs of young drinkers, brands can successfully meet the demand for more thoughtful and varied drinking experiences.
In the long run, the key to staying relevant will be offering products that fit seamlessly into the social environments that Gen Z is gravitating toward—whether that’s at a low-key picnic in the park, a themed micro-club event, or a laid-back house party. The focus will need to be on providing experiences that resonate with Gen Z’s values of health, mindfulness, and personal connection.
Conclusion
Gen Z’s approach to drinking is a far cry from the high-energy nightclub culture that once defined youth socializing. With an emphasis on low-energy spaces, smaller gatherings, and a shift toward mindful consumption, this generation is redefining what it means to enjoy a drink. For the alcohol industry, this represents both a challenge and an opportunity. By adapting to these new preferences and offering lower-alcohol or non-alcoholic options, companies can ensure their place in the changing drinking landscape.
