Business of Drinks

69: Bev-Alc Debate Club: What’s Wrong With the Alcohol Industry? - Business of Drinks

Jun 18, 2025
Bourcard Nesin, VP of Beverage Research at Rabobank, and Jim Watson, Senior Beverage Analyst at Rabobank, dive into the pressing issues plaguing the alcohol industry. They explore the Joe Rogan Effect and its influence on health perceptions, revealing a significant culture shift among young drinkers. The duo debates whether inflation or evolving consumer preferences are the actual causes of declining sales. They also touch on the challenges faced by smaller brands in a consolidating market and the rise of THC drinks, illustrating the complex landscape of modern alcohol consumption.
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INSIGHT

Cultural Shift on Alcohol Health Risks

  • Cultural perception of alcohol's health risks is shifting dramatically among young adults. - This shift is influenced by authority warnings and popular influencers like Joe Rogan discouraging alcohol use.
INSIGHT

Health Awareness vs Behavior Gap

  • Many know alcohol is unhealthy but don't change habits, viewing risks as one of many minor worries. - This gap between knowledge and behavior questions the actual impact of health messaging on drinking.
INSIGHT

Economic Factors Affect Alcohol Use

  • Inflation and reduced disposable income post-COVID likely contribute to drinking declines. - However, previous worse economic downturns didn't cause similar declines, suggesting inflation plays a major role.
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