Alcohol sales decreased by 0.8 percent last year, according to a study by NIQ, a global consumer intelligence company. Wine was hit the hardest with a 4.4 percent sales decrease in 2024.
NIQ reported one of the main reasons for these declines is that Gen Z is drinking less because of health and wellness concerns. These decreasing numbers stand to impact local businesses, such as Butler Winery, just nine miles from downtown Bloomington.
Jim Butler, co-owner of Butler Winery, said the winery has noticed the decrease in wine and alcohol sales in general.
“I think younger people in particular seem to be drinking a little less,” said Butler.
Another reason for these declines is due to a rise in popularity of other types of drinks. When people are drinking, they aren’t drinking beer, wine, or seltzers, but rather CBD-infused drinks and ready-to-drink beverages (RTD), such as Cutwaters and BeatBoxes.
“There’s a shrinkage of shelf space for wine,” said Butler. “We have the CBD beverages, which are taking up space, so the competition for shelf space is just tremendous right now.”
Even though Butler Winery has felt these impacts, it has other elements that keep customers coming back to the vineyard. Butler Winery has always focused on the experience customers receive when they visit the vineyard.
“Wineries, they’re offering a really excellent experience,” Butler said. “It’s locally produced and locally grown. I mean, that’s going to continue to increase.”
Another factor that works in the winery’s favor is the fact that it is not dependent on wholesalers. The winery does not rely on other businesses to buy products in large quantities and, in turn, sell the products to consumers.
“We are not wholesale dependent,” Butler said. “There are some wineries around the state that are pretty wholesale dependent, so they’ve taken a beating in that market.”
Regardless of the unique experience and being independent, Butler said the winery is not exempt from declining alcohol sales. In light of the fluctuating trends in drinking habits, Butler said the vineyard will stick to what they do best—providing a unique space for customers to make memories at the vineyard.
“It’s really the experience that draws people,” he said. “You can go to any liquor store or grocery store and buy wine cheaper than we can make it, but that's a different experience. I guess you could say authenticity.”
Butler Winery is open 7 days a week.
