Bev/Al Gets a Labor Day Weekend Sales Bump, But it Will Be Gone With the Wind

In the week ended Sept. 5, Total Alcohol saw a remarkable recovery in dollar sales, up 5,1% to $2.2 billion. NIQ says. But sales during the four weeks ended Sept. 5 of $8.4 billion were down 3.7% from a year earlier and case volume of 166 million was off 5.6% from a year earlier.

We'd like to say the weekly result is the start of a major turnaround for the industry, but a look at individual categories shows lingering headwinds clouding the road to recovery.

But NIQ notes the latest performance echoes the vulnerable status of Beverage Alcohol even amid holiday spikes. Beer pressures have not subsided and lead declines. Wine and Spirits show less weakness but continuously fall short of year-earlier standards. Similarly, Prepared Cocktails (BWS) have seen an extended stay in negative territory, with gains limited by alcohol base.

Prepared Cocktails' Dollar sales slipped 1%, while case volume fell 5.1%. This state of stagnancy after previous consistent growth highlights both Prepared Cocktails maturity and the divergent nature of the category as Spirits and Wine-based RTD gains are no longer offsetting Malt RTD declines.

Beer maintained its late summer sales lull, with dollar sales down 4.7% and volume down 5.9%. The category has been most impacted by industry-wide demand weakness as summer closes, experiencing the sharpest losses.

Beer's largest segments continued to weigh on category performance. Domestic Premium posted the steepest declines, with dollar sales down 8.3% and volume down -9.2%, while Craft fell 8.3% in value and 9.4% in volume. Import remained comparatively resilient (-3.1% in value, -4.3% in volume). Domestic Super Premium came closest to returning to growth, with dollar sales slipping just 0.3% and volume down 0.5%.

Meanwhile, the category's limited growth continued to come from outside traditional Beer segments. Cider grew 1.7% in value and 0.5% in cases, while Non-Alcoholic Beer led growth, up 7.8% in value and volume. Ongoing consumer interest in moderation, wellness, and better-for-you alternatives continues to support demand for Non-Alcoholic Beer.

Wine recorded a slower decrease, with dollar sales falling -3.7% and volume dropping -5.1%. Wine’s downturn has held mostly consistent throughout summer, having yet to see a lasting rebound.

Sparkling Wine hovers near growth as Still Wine continues to pressure category performance. During the four weeks ending Sept. 5, Still Wine bore the steepest declines, with dollar sales down 4.2% and volume down 5.4%. Sparkling Wine hovered near growth territory, with dollar sales declining 0.8% and volume slipping 1.9%. Non-Alcoholic Wine sustained growth, with dollar sales increasing 18.1% and volume up 13.3%. The segment's growth trajectory remains strong, even as it accounts for a relatively small share of total Wine sales.

Spirits saw the most stability despite continued declines, as dollar sales dropped -3.3% and volume fell -3.4%.The relative strength shown by Spirits as summer closes offers encouragement for the remaining year.

Across the top Spirits categories, (Vodka, Whiskey, and Tequila), results were divergent. Whiskey continued to post the steepest declines, with dollar sales down 5.7% and volume falling 6.5%. Vodka also remained under pressure, as dollar sales decreased 2.6% and volume dropped 2.9%. Meanwhile, Tequila nearly returned to growth, with dollar sales down just 0.3% while volume increased 3.1%.

Non-Alcoholic Spirits maintained strong momentum, with dollar sales up +20.9% and volume growing +20.5%. All other Spirits segments remained soft, with dollar sales down -3.1% and volume declining -3.8%

Regional performance underscores the scarcity of category strength in the current environment. Michigan reigns among stable markets, however it is offset by states experiencing outsized declines such as Washington. Furthermore, the value-volume divide persists, with New Jersey serving as the latest reminder that achieving balanced momentum is a core limitation in today’s industry, NIQ said.

Michigan emerged as the top performer in value across markets, posting the smallest dollar sales decline at -1.6%. However, volume fell -3.8%, reinforcing the broad consumption challenges seen even in stronger markets.

New Jersey led resiliency in volume, as cases slightly declined -0.3%, whereas dollar sales fell -1.9%. The results exemplify the challenging dynamic where revenue recovery lags volume progress. This dynamic is becoming increasingly relevant as buyers lean toward value-oriented purchases.

Washington continued to deliver the softest volume performance among major states, with cases down -14.3% and dollar sales declining -8.8%.