10:26 am today

Kiwis drinking the same amount of beer, but reaching for lower alcohol options

10:26 am today
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Beer magazine editor Michael Donaldson thought the shift was being driven by low-carb beers. Photo: Unsplash / Josh Olalde

Kiwis have been knocking back more lower-alcohol beers, but it's less about the alcohol and more about their waistlines, one expert says.

New Stats NZ data for the year to September showed while Kiwis are drinking almost the same amount of beer overall, those drinking mid-strength drafts are on the increase.

For the year ending September 2025, overall beer volumes fell only marginally, from 281.6 million litres to 279.0 million litres.

But within that total, the most significant change was a major shift away from higher-strength beers and a rapid rise in moderate-strength and lower-ABV [alcohol-by-volume] options.

Beer magazine editor Michael Donaldson told Morning Report he thought the shift was being driven by low-carb beers, which is now the biggest category within beer.

"A lot of those beers sit around 4.2 percent and I think you can't separate out the two of them that there's a choice being made for low carb and it just happens to fall in that lower ABV band.

"On top of that, you're also getting a shift in consumer spend in terms of people thinking about their dollars, higher alcohol beers cost more.

"Certainly lower alcohol beers generally cost less because the excise tax is a little bit lower and there is a third factor in there, which is the rise and rise of Guinness.

"That's been a massive growth everywhere in the world over the last few years and Guinness is another beer that sits at 4.2 percent," he said.

Key findings (YE September 2025):

  • Beer between 2.5% and 4.35% ABV increased sharply to 105.0 million litres, up from 76.4 million litres the previous year.
  • Higher-strength beer (4.35%-5.0% ABV) fell to 143.0 million litres, down from 165.3 million litres.
  • Beer above 5% ABV dropped significantly, from 34.4 million litres to 25.5 million litres.
  • Total beer volumes have flattened, falling only 0.9% year-on-year.

Brewers Association of New Zealand Executive Director Dylan Firth said the shift reflects growing consumer interest in moderation, without giving up flavour or enjoyment.

"This fresh Stats NZ data shows that Kiwis are still enjoying nearly the same amount of beer as last year, they're simply choosing versions with less alcohol.

"The big story this year isn't about volume; it's about strength. More New Zealanders are moving back to mid-strength beers and lower-ABV options. That's a strong indicator of more moderate drinking habits, and beer is perfectly placed to offer great flavour at those levels,"

Firth said brewers have invested heavily in expanding quality options at the lower and mid ABV range, and the trend suggested consumers are responding.

"Beer is unique in offering moderation and taste together. The growth of 2.5-4.3 percent beers shows New Zealanders are choosing products that balance enjoyment with responsibility.

"We have also seen this shift to moderation in the growth of the 0 percent category, with a huge range of options available for those who still want a beer, but are choosing to not to drink alcohol, or moderate their consumption."

Firth said while the long-term consumption continues to trend downward, the clear shift towards moderate-strength beer represents a positive development for consumers, retailers, and hospitality businesses leading into the summer months.

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