Blended Perspectives
A Take on Wine, Spirits, and What Comes Next from a Brewers Perspective
Prologue
As some of you may know, I have been working on my MBA with UC Davis, primarily to enhance my career in the alcohol sector. With their history and focus on viticulture, enology and brewing science, I felt this program would be best suited to expand my knowledge and connections in this field.
While it’s been a difficult road so far, I have had the opportunity to start exploring beyond beer in my first consulting project last week with our counterparts at the Burgundy School of Wines and Spirits, and Wines of Chile, culminating in a week of interviews and meetings with influential folks in the wine and spirits industry in New York City. Here are some insights from my week amongst the other alc-bev categories.
Insights and Commonalities
There were a few themes that were apparent in each discussion: everyone is worried about the evolution of the alcohol industry. While we in the beer industry tend to focus on our own microsphere of the greater beverage alcohol industry, the same concerns exist in wine, spirits, and RTD categories.
Reflecting on this past week, I’ve been struck by how closely the beer world parallels its wine and spirits counterparts. Despite distinct differences in product and process, the underlying challenges and strategies converge significantly, providing valuable insights and opportunities for collaboration across our industries.
A common thread weaving throughout my conversations and presentations was the emphasis on sustainability and responsibility. Whether it was discussing innovative hybrid grape cultivation in the Finger Lakes with Chepika from the incredible force that is Pascaline Lepeltier or exploring meticulous botanical selection for gin in the South of France with the team behind The Gardener Gin, every industry player is intensely focused on sustainability not just as a buzzword but as a foundational strategy for long-term survival and relevance. Sustainability should no longer be siloed in marketing departments or innovation teams; the wine and spirits industries are showing how integrated and transparent sustainability practices are becoming non-negotiable for brand trust. In beer, some have similarly prioritized sustainable practices, from regenerative hop farming to efficient water usage in breweries, however it’s clear there is a wide gap in the storytelling that occurs. It’s clear that sustainability is now the baseline expectation for credibility across the beverage alcohol spectrum.
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Family ownership and legacy preservation also surfaced as critical narratives. Vineyard Brands’ dedication to family-run wineries like Famille Perrin mirrors the ethos found in craft beer, where family-operated breweries continue to drive both tradition and innovation. This shared value speaks to an industry-wide appreciation for authenticity and heritage, something that today’s consumers increasingly seek out in meaningful ways, and something I believe the craft beer industry particularly rested its laurels on for a long time.
Another standout theme was the shared investment in education and the consumer experience. Wine and spirits producers emphasized storytelling and hands-on interaction, evident in LVMH and Krug Grand Cuvée’s annual single-ingredient culinary program and its partnerships with over 200 chefs globally. In craft beer, we’ve long embraced taproom education, sensory training, and brewery immersion as core elements of the drinking experience. At the end of the day, an engaged, informed drinker is a loyal one, and that truth transcends category.
The complexity of the U.S. market, particularly the constraints of the three-tier system, came up in every conversation, especially with LVMH and Vineyard Brands. Beer industry folks know this dance well: managing distributor relationships, regulatory fragmentation, and intense shelf-space competition. But rather than slow us down, these challenges have spurred innovation across all segments. We’ve seen more brands leaning into DTC models, experiential activations, and digital storytelling. As frustrating as those barriers can be, they’ve shaped some of the most creative solutions I’ve seen, solutions we should be sharing more freely across categories.
Perhaps most compelling is our shared future outlook. Across wine and spirits, there’s a pronounced trend toward premiumization, cultural relevance, and a demand for authenticity. Beer has long embodied those elements through style diversity, craftsmanship, and storytelling. It’s exciting to see those same values show up in companies like Krug, Hennessy, and others under the Moët Hennessy–LVMH umbrella.
The Shared Pain
While I write about the commonalities, I think there is still a substantial barrier: the share of the alcohol consumer pie. One thing I heard from nearly everyone this week, and a topic that’s not unfamiliar to those of us in beer, is the growing reality that younger consumers entering drinking age simply aren’t drinking.
An observation I have to commend my partners at BSWB for discussing so thoughtfully is the shift in consumer buying power. When Boomers and some Gen Xers were in their twenties, they were able to purchase homes and build wealth earlier. Millennials, on the other hand, are hitting their stride later (some of us anyways) more in their 30s, which is why so many of us gravitate toward craft beer and quality wines in our late twenties and beyond. Gen Z however are not at a stage in life where they want to spend the little disposable income they have on a $20 four-pack or a $30 bottle of wine. The youngest Gen Z is 13 in 2025 and we need to start remembering that as an industry. With a growing number of accessible alternatives like our friends in THC, it’s no surprise they’re opting for cheaper, more familiar options. In fact, it’s not just Gen Z- Millennials, (1981-1996) consume the largest share of recreational cannabis users at 46.2%, with Gen X (1965-1980) consuming 34% and boomers (1946-1964) consuming 22%.
We shouldn’t be blaming Gen Z for choosing THC over alcohol, especially when the data shows Millennials and Gen X are driving the majority of cannabis consumption; instead, we should be asking why younger generations facing financial strain and abundant alternatives might feel less connected to traditional drinking culture in the first place.
What I’ve noticed across every corner of the industry is finger-pointing around cannibalization: beer is eating into wine, wine into spirits, spirits into RTDs, RTDs into THC, but in truth, we’re all feeling the pressure. It’s not category-on-category cannibalization; it’s a shift in socioeconomic status, consumer priorities, and global forces that are reshaping spending habits and lifestyle choices. The bigger picture isn’t about who’s stealing share, it’s about how we all adapt to a changing world.
Cross Partnerships for the Future
This week reinforced my belief in the power of cross-industry collaboration and knowledge sharing. While beer, wine, and spirits each have their own cultures and histories, the common challenges we face, sustainability, market complexity, consumer education, and evolving tastes unite us more deeply than ever. The insights gained from one segment invariably enrich the others.
Moving forward, I believe more intentional dialogue and partnership across the alcohol industry will be necessary. Not all of us operate in a silo, but there are still distinct gaps between our categories. By embracing our shared challenges and learning from one another, we just might have a chance at building an alcohol industry that not only coexists but thrives together.
References:
Crescent Canna (2023). Which Generation Consumes the Most Cannabis?
https://www.crescentcanna.com/which-generation-consumes-the-most-cannabis/
Sanctuary Wellness Institute (2023). Marijuana Use Statistics by Generation.
https://sanctuarywellnessinstitute.com/blog/marijuana-statistics-use-by-generation/
Statista (2024). Alcohol Consumption by Generation in the U.S.