Furthering the NoLo advantage this festive season

As we head into the festive season, the latest consumptions trends and hacks — such as ‘zebra striping’, ‘damp drinking’ and being a ‘good host’ — highlight how more Australians are now drinking in moderation.

While our love of a tipple shows no signs of waning, with eight in 10 Australians counting themselves as alcohol drinkers, consumer purchasing decisions reflect the growing popularity of mid-strength, low-alcohol and no-alcohol (NoLo) alternatives.¹

Globally, NoLo beverages grew by double digits in the world’s 10 biggest drinks markets in 2024.² The trend is mirrored at home, with more than a third of Australian drinkers reducing their alcohol intake in the past year.³

Global research from Nielsen IQ shows that more than 90% of consumers buying non-alcoholic beverages simultaneously purchase alcoholic drinks,⁴ while a purchase occasion that’s becoming better understood is the ‘good host’ — that is, providing options for the non-drinkers at social events. Zebra striping is alternating between alcoholic and non-alcoholic drinks, and damp drinking is reducing alcohol consumption without cutting it out altogether.

A new industry research paper — ‘Toasting the future: Pioneering flavour in no-alcohol, low-alcohol, and mid-strength wines’ — was released last week by Treasury Wine Estates (TWE) and the Australian Wine Research Institute, focusing on the future outlook for Australian NoLo wines. The report explores the technical challenges of making tasty NoLo wines, and how TWE’s proprietary dealcoholisation process is helping winemakers retain a wine’s flavour and mouthfeel while lowering alcohol levels.

This release of the report follows the launch of TWE’s $15m NoLo wine production facility earlier this year. Located in the Barossa Valley, it features state-of-the-art dealcoholisation technology and the ‘Flavour Lock’ patent-pending process that’s producing the next generation of NoLo wines for brands in TWE’s global portfolio including Squealing Pig, Pepperjack, Matua and 19 Crimes.

TWE Chief Supply & Sustainability Officer Kerrin Petty said the investment cements TWE’s focus on crafting wines that tap into growing consumer demand.

“The way consumers are drinking wine is changing — the increasing appetite for NoLo wines is broadening the overall wine category, creating dual buying and consumption habits.”

The full report is available here.

^{1. https://drinkwise.org.au/wp-content/uploads/DrinkWise-Australian-Drinking-Trends-Report-2024.pdf
2. https://www.theiwsr.com/insight/more-than-moderation-the-long-term-rise-of-no-and-low/
3. https://nielseniq.com/global/en/insights/analysis/2025/no-and-low-alcohol-drinks-in-focus-as-apacs-mindful-consumers-moderatealcohol/
4. https://nielseniq.com/global/en/insights/analysis/2024/non-alcohol-a-mindful-moderator-in-the-us/}