- Title: Japan liquor businesses turn to non-alcoholic drinks to attract Gen Z
- Date: 12th September 2022
- Summary: TOKYO, JAPAN (RECENT - SEPTEMBER 2, 2022) (REUTERS) BARTENDER PLACING NON-ALCOHOLIC COCKTAIL ON COASTER WAITER CARRYING ZERO-ALCOHOL COCKTAILS / PLACING COCKTAILS ON TRAY WAITER DELIVERING DRINKS TO CUSTOMERS SEATED AT TABLE (SOUNDBITE) (Japanese) 20-YEAR-OLD UNIVERSITY STUDENT, KURUMI TAKAHASHI, SAYING: "There are fewer drinking parties at my university club, so I don't hear about drinking opportunities nowadays. Maybe that's why there are fewer people drinking." CUSTOMERS STIRRING ZERO-ALCOHOL COCKTAILS CUSTOMER DRINKING / REACTING POSITIVELY TO THE TASTE SOUNDBITE (Japanese) 20 YEAR-OLD UNIVERSITY STUDENT, AOI TSUCHIYA, SAYING: "Alcoholic beverages have a strong taste of alcohol. I can't drink that much so non-alcohol drinks are easier (for me) to drink." BARTENDER POURING INGREDIENTS INTO A GLASS BARTENDER BARTENDER'S HANDS POURING SODA WATER OVER A BALL OF CANDY FLOSS TO MAKE A DRINK VARIOUS OF CUSTOMERS SEATED (SOUNDBITE) (Japanese) GENERAL MANAGER OF NEW VALUE CREATION DEPARTMENT AT ASAHI GROUP HOLDINGS, MIZUHO KAJIURA, SAYING: "Before, there used to be a culture where after you are hired by a company, you go out drinking with senior colleagues and learn how to drink. But now, there are fewer opportunities to do this and we cannot actually do it (due to COVID-19 pandemic)." STAFF WORKING BEHIND BAR (SOUNDBITE) (Japanese) GENERAL MANAGER OF NEW VALUE CREATION DEPARTMENT AT ASAHI GROUP HOLDINGS, MIZUHO KAJIURA, SAYING: "The aim of this bar is to value customers who cannot drink so that they can happily come here with people that do drink. If other restaurants and bars (that buy Asahi drinks) can understand our aim, I think they would get more customers so we would like to recommend this (business strategy)." EXTERIOR OF SUMADORI BAR IN SHIBUYA TOKYO, JAPAN (RECENT - AUGUST 26, 2022) (REUTERS) PEOPLE AT A SUNTORY NON-ALCOHOLIC DRINKS EVENT IN ROPPONGI VARIOUS OF BARTENDER POURING NON-ALCOHOLIC BEER CUSTOMERS COLLECTING FOOD AND DRINKS CUSTOMER DRINKING TRAY WITH FOOD AND DRINK (SOUNDBITE) (Japanese) 22-YEAR-OLD UNIVERSITY STUDENT, MANAKA OKAMOTO, SAYING: "If I have to get up early, and think 'Oh, I should hold off on drinking,' but I still want to drink and want to feel like I'm drinking, then, I'll go for a non-alcohol drink when I'm drinking alone. And of course, when hanging out with friends who don't drink, I'll drink it so that we can have something to toast with" CUSTOMERS AT TABLE CLINKING GLASSES CUSTOMERS DRINKING (SOUNDBITE) (Japanese) 43-YEAR-OLD OFFICE WORKER, KEIKO TAKIKAWA, SAYING: "I like (non-alcoholic) plum wine. I think it tastes similar to real plum wine. It's smooth with a sweet taste. You would like it if you like plum wine." VARIOUS OF SUNTORY BUSINESS STRATEGY DIVISION GENERAL MANAGER, MASAKO KOURA, POURING A GLASS OF NON-ALCOHOLIC WINE LINEUP OF SUNTORY NON-ALCOHOLIC DRINKS; (FROM LEFT TO RIGHT) PLUM WINE, LEMON SOUR (COCKTAIL), RED WINE, WHITE WINE (SOUNDBITE) (Japanese) GENERAL MANAGER OF BUSINESS STRATEGY DIVISION AT SUNTORY, MASAKO KOURA, SAYING: "Consumers are not enjoying just alcoholic beverages. We think they value more of the communication that's generated when drinking or would like to enjoy the atmosphere of the place they drink at. We would like to recommend to consumers the value of our beverages including non-alcoholic drinks for those occasions." CUSTOMER COLLECTING DRINKS FROM BARTENDER WOMAN LOOKING AT CAN OF ZERO ALCOHOL GRAPE SOUR COUPLE TAKING PHOTOS OF DRINKS TOKYO, JAPAN (RECENT - AUGUST 31, 2022) (REUTERS) (NIGHT SHOTS) PEOPLE SITTING AT TABLES OUTSIDE TRADITIONAL JAPANESE IZAKAYA PUBS PEOPLE EATING AND DRINKING (SOUNDBITE) (Japanese) 61-YEAR-OLD MUSICIAN, SATSUKI MATSUZAKI, SAYING: "Oh no, I cannot believe there are less people drinking! The people around me all drink." MAN DRINKING BEER HAND HOLDING DRINK (SOUNDBITE) (Japanese) 59-YEAR-OLD CONTRACT WORKER, SHIGENOBU KUROMASU, SAYING: "I guess people who don't have the opportunity to drink just don't drink anymore. Regardless, people that do want to drink will continue drinking." MEN SITTING AT TABLE PAPER LANTERNS WITH LOGO OF ORION BEER
- Embargoed: 26th September 2022 01:57
- Keywords: Asahi Gen Z Japan Suntory alcohol beer cocktail drinking liquor non-alcoholic youth zero alcohol
- Location: TOKYO, JAPAN
- City: TOKYO, JAPAN
- Country: Japan
- Topics: Asia / Pacific,Living/Lifestyle,Society/Social Issues
- Reuters ID: LVA001305006092022RP1
- Aspect Ratio: 16:9
- Story Text:In Tokyo, the newly-opened Sumadori Bar -- a play on the Japanese words for "smart drinking" -- offers elaborate, sugary mocktails or cocktails with alcohol levels of up to 3%.
The bar, managed by Japanese beverage giant Asahi Group Holdings, provides an environment where both boozers and teetotallers can enjoy a drink together.
The popularity of low- and non-alcoholic drinks has risen worldwide, accelerated by the COVID-19 pandemic, which led many people to be more health conscious.
The global market value for the segment rose to just under $10 billion in 2021 from $7.8 billion in 2018, according to market researcher IWSR.
The effect has been especially pronounced in Japan, where the older population -- which tends to drink more -- is shrinking rapidly.
Just 7.8% of Japanese people in their 20s were regular drinkers in 2019 compared with 20.3% of that age group in 1999, according to government surveys.
"There are fewer drinking parties at my university club, so I don't hear about drinking opportunities nowadays. Maybe that's why there are fewer people drinking," said 20-year-old university student Kurumi Takahashi, who was visiting the bar with a friend.
Mizuho Kajiura, a general manager at Asahi, said the pandemic has also played a part, limiting opportunities for colleagues to socialise after work.
Facing a steady decline in revenue from alcohol sales, Japan's tax office in July launched a contest seeking ideas on how to stimulate demand among younger people.
Japan's major drinks makers are also looking outside the country for growth.
The chief of domestic beer leader Asahi Group Holdings told Reuters last month he saw North America as a key market.
Suntory Holdings Group is also looking to expand its canned cocktail business there.
At home, companies are coming up with new ways to improve the bar experience for non-drinkers.
On a recent afternoon in the entertainment district of Roppongi, groups of mostly young women gathered at a no-alcohol "beer garden" set up in the shadow of one of Tokyo's tallest buildings.
Beer gardens are a summer tradition in Japan, but this one -- promoted by Suntory and broadcaster TV Asahi -- skipped the beer, offering patrons a lineup of mocktails and no-alcohol wine instead.
Masako Koura, the general manager of Suntory's business strategy division, said people enjoyed the atmosphere as well as the alcoholic beverage they consume and they hoped to create a space where everyone can enjoy themselves.
Competitor Kirin Holdings Co also offers non-alcoholic wines, cocktails and beer.
The company said sales of its booze-free beer were up more than two-fold in the three months through June compared with a year ago.
But for some, the new trend is a hard sell.
“Oh no, I cannot believe there are less people drinking. The people around me all drink," said 61-year-old Satsuki Matsuzaki.
Traditional bars with lanterns, low lighting and cold beer live on.
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