Cannabis Surge Causes Alcohol Sales Drop

Cannabis Surge Shakes Alcohol Industry as Drinking Rates Hit 30-Year Low

A new market report from Constellation Brands has revealed a dramatic shift in consumer behavior that could reshape the alcohol industry. The liquor and beer giant projects steep declines in alcohol sales over the next year — a clear reflection of the nationwide cannabis surge transforming social and recreational habits.

According to Constellation's analysis, beer sales are expected to drop by $185 million, while wine and spirits could fall by another $253 million. This downturn coincides with three major societal changes: the denormalization of drinking, the normalization of non-drinking lifestyles, and the growing preference for cannabis products. Together, these forces have fueled a powerful cannabis surge that is steadily overtaking alcohol in popularity, particularly among younger consumers.

Recent studies show that only 54% of Americans reported using alcohol in 2025, down from 67% in 2022. Meanwhile, the cannabis surge continues to accelerate as more people embrace legal marijuana products for recreation and wellness. The National Library of Medicine found that adolescents and young adults are drinking less, getting intoxicated less frequently, and often choosing cannabis instead signaling a profound cultural shift.

Wicked Dispensary's General Manager, Adam Ciluffo, attributes the cannabis surge to growing health and environmental awareness. "There's a big push toward health and wellness," Ciluffo explained. "Cannabis is a natural plant, and many people see it as better for both personal health and the planet."

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