Minneapolis, Minn., (July 10, 2025) — Distilled Spirits achieved its 27th consecutive year of steady volume growth in 2024, albeit at a decelerated pace versus the prior year’s performance. The category advanced by +1.9% to 306.2 million 9-liter cases. Despite the overall slowdown, spirits were the growth engine for the adult beverage market in 2024 as the category continued outperforming wine and beer.
Innovation, line extensions that resonate with consumers’ interest and changing tastes, and premium offerings, along with an increased focus on aged expressions continue to help elevate the category. The spirits segment has increased 5.0% on average in just the last five years
Domestic spirits consumption in 2024 was up 4.4% while imported spirits went down
by -1.9%. Total American whiskey consumption was challenged (-2.8%) as was total imported whiskey consumption (-2.9%). Growth for total non-whiskey segments was 3.3%.
Just two categories realized growth and gained share of the entire distilled spirits market. The only segment to attain double digit growth was Ready-to-Drink beverages (RTDs) which increased +23.0%. Although tequila/mezcal was the second fastest-growing spirits category of 2024, growth momentum (+2.4%) slowed significantly versus prior years. Excluding the significant growth impact of the RTD segment, the spirits business would have declined by a projected -2.5% in 2024
The notable increase in volume consumption for RTDs solidified its position as the second-largest spirits category, behind vodka. At 21.1% share, RTDs were comfortably ahead of tequila and straight whiskey volume consumption for 2024. For perspective, versus just 10 years ago (2014), RTDs represented just 2.4% of the entire spirits industry. Beyond the convenience factor, lower alcohol content, innovative flavors and quality alternatives have been key consumer drivers.
This past year has been tricky to navigate for all levels of the industry as all segments contended with a challenging 2024 sales environment. A number of headwinds have pressured sales while complicating the business environment. Consumer behavior has shifted, especially among younger LDA customers, who increasingly drink less alcohol. Conscious of both their health and their wallets — and coming of age during the Covid lockdowns and sweeping marijuana legalization — Gen Z generically prefers to stay home and consume cannabis. This is a significant change from Baby Boomers, who love wine and spirits, and Millennials, who reach for whiskey and craft beer.
About the 2025 Liquor Handbook
The Beverage Information Group’s 2025 Liquor Handbook is a comprehensive source of information on U.S. spirits and sales trends. It includes consumption and projection information by category and by market, tracks leading brands, and reports historical data.
You may order the 2025 Liquor Handbook here or by contacting Sherai Falcon at sfalcon@epgacceleration.com or 763-383-4400 ext. 4423.
