Non-Alcoholic Beer Gains Ground in Mexico

Mexico’s non-alcoholic beer market is showing strong growth potential, analysts say. The trend follows patterns seen in developed countries, as consumers increasingly seek healthier, more mindful drinking options.

Felipe Ambra, Vice President of Marketing, Grupo Modelo, pointed out that in developed countries, non-alcoholic beer accounts for between 6% and 10% of the total beer market. In contrast, in Mexico, non-alcoholic beer currently represents just 0.6% of the national beer market. Ambra believes this segment has the potential to grow at least tenfold in the coming years.

During the launch of Grupo Modelo’s new line of non-alcoholic beers, Ambra emphasized that while the beer industry in Mexico grows at an average annual rate of 3%, the non-alcoholic beer segment has grown by 30% on average each year between 2019 and 2024. Moreover, between 2015 and 2024, sales increased by 64%.

Ambra added that 50 out of every 100 adult Mexicans consume beer, and among these, five choose the non-alcoholic version. Furthermore, 70% of non-alcoholic beer consumers are traditional beer drinkers, while the remaining 30% are new consumers drawn to this more mindful consumption trend.

Several factors have contributed to the growth of the category, among them taste, which closely resembles that of traditional beer, and the COVID-19 pandemic, during which non-alcoholic beer gained popularity due to the dry law restrictions imposed across much of the country. On a broader level, another key factor has been the shift in habits among younger generations, who are increasingly health-conscious and view excessive alcohol consumption as undesirable. In fact, over the past two decades, the percentage of people aged 18 to 34 in the United States who say they occasionally drink alcohol has dropped from 72% to 62%, according to a Gallup survey. Similarly, a study in the United Kingdom found that 36% of people under 25 reported not drinking alcohol at all.

Ambra believes that for non-alcoholic beer to truly take off and become a significant volume driver in the Mexican industry, certain myths need to be debunked, such as the perception that "non-alcoholic beer does not taste like beer" or that it is "only for people with health restrictions." In this regard, Grupo Modelo has spent over a year developing a range of beers that retain the traditional sensory profile and flavor, just without the alcohol.

Raúl Escalante, Vice President of Corporate Affairs, Grupo Modelo, explained that the company is investing in the non-alcoholic beer segment in alignment with a global movement toward moderation and wellness. “Our objective is clear: we want our consumers to always have a positive experience and for our products to be part of every special moment, responsibly and safely,” he said. He added that this innovation complements other initiatives and campaigns reinforcing the company’s commitment to reducing harmful alcohol consumption, with a focus on promoting zero alcohol consumption among minors, encouraging moderation, and improving road safety.

Additionally, Escalante recalled that Grupo Modelo has joined the federal government's Made in Mexico initiative, aimed at boosting national development and positioning the country among the world’s Top 10 economies. “More than 70% of the inputs we currently use are sourced domestically, and our goal is to increase this percentage,” he noted.