Japan's Gen Z shunning alcohol

The popularity of low- and non-alcoholic drinks has risen worldwide. The global market value for the segment rose to just under $10 billion in 2021 from $7.8 billion in 2018, according to researcher IWSR. The effect has been especially pronounced in Japan, where the population is shrinking and younger people drink far less than in previous decades. Just 7.8% of Japanese people in their 20s were regular drinkers in 2019 compared with 20.3% of that age group in 1999, according to government surveys. Facing a steady decline in revenue from alcohol sales, Japan's tax office in July launched a contest seeking ideas on how to stimulate demand among younger people.

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Beer gardens are a summer tradition in Japan, but this one - promoted by Suntory and broadcaster TV Asahi - skipped the beer, offering patrons a lineup of mocktails and non-alcohol wine instead. "Consumers are not enjoying just alcoholic beverages. We think they value more of the communication that's generated when drinking or would like to enjoy the atmosphere of the place where they drink," said Suntory general manager Masako Koura.

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