Alcohol sales underperform during Cinco de Mayo, Derby weekend

We keep hearing that interest in alcohol is declining. Gen Z is drinking less. Holiday consumption was down. And now BeerBoard reports that alcohol sales were down year-over-year during the extended weekend that included the Kentucky Derby and Cinco de Mayo (May 2–5, 2025).

Now, Cinco de Mayo fell on a Sunday in 2024 and it was on a Monday this year, but still: total beverage alcohol sales declined -7.3% year-over-year (YoY) across on-premise locations. “The results highlight key shifts in consumer preferences, with bright spots in draft imports, RTD cocktails, and non-alcoholic options, even as broader declines impacted packaged and spirits categories,” the BeerBoard team states.

BeerBoard is a technology solutions provider for the hospitality industry, enabling retailers, distributors and suppliers. The company manages more than $1 billion in alcohol sales and 100,000 products through its platform, and produces a ton of data for breweries and bar owners to analyze. Let’s take a closer look at the broad results from the weekend …

Draft Beer

Draft beer held relatively steady with only a -1.6% YoY decline in volume, showing resilience amid larger packaged beer declines. Mexican Lagers were a standout, increasing +4.3% in poured kegs and +6% in volume share, driven by strong consumer demand.

Top 5 Draft Brands (by volume):

Michelob Ultra
Modelo Especial
Coors Light
Miller Lite
Bud Light

Modelo Especial surged to the #2 position in draft brands, up from #4 in 2024. It posted a +9.5% increase in poured kegs and a +11.5% increase in volume share. Mexican Lagers were +4.3% in poured kegs but +6% in volume share

Draft style highlights:

Light Lagers: -0.7% poured kegs / +0.9% volume share
American Ales: +38% poured kegs / +40.1% volume share
Lagers (including Mexican Lagers): -0.2% poured kegs / +1.5% volume share

Packaged Beer

Packaged beer, in contrast, faced a significant drop with -17% YoY decline in volume.

Domestic Packaged: -15.5% units sold / +1.8% volume share
Craft Packaged: -13% units sold / +4.9% volume share
Import Packaged: -20.3% units sold / -4% volume share

Canned Cocktails, Hard Seltzers, Non-Alc)

Beyond Beer remained a growth driver, seeing +14.1% growth in volume share.

RTD Cocktails rose +6.3% in units sold and +28.5% in volume share
Non-Alcoholic Beverages were a breakout performer, increasing +19.6% in units sold and +38.6% in volume share
Hard Seltzers declined overall (-17.5% units sold, -0.8% volume share), though individual brands like White Claw Black Cherry bucked the trend, up nearly +9% in volume share

Top packaged performers:

Heineken 0.0: +4.4% units sold / +25.6% volume share
Surfside Iced Tea + Lemonade + Vodka: +3.8% units sold / +23.4% volume share
Although Hard Seltzers were down, White Claw Hard Seltzer Black Cherry was up nearly 9% in volume share

Spirits

Spirits faced significant headwinds over the weekend, with total sales down -30.2% YoY.

Bourbon sales dropped slightly in volume (-2.3%) but increased significantly in volume share (+39%), suggesting a focus on premium pours. Notably, Bourbon is the key ingredient in the Mint Julep, the signature cocktail of the Kentucky Derby.

Top Bourbon Brands:

Maker’s Mark
Bulleit
Buffalo Trace

Tequila saw a steep -37% decline in volume, but only a -9.6% drop in volume share, indicating fewer but higher-value pours. Tequila is the base of the Margarita, a go-to cocktail for Cinco de Mayo celebrations.

Top Tequila Brands:

Lunazul
Sauza
Patrón

Trends & Takeaways

While total alcohol sales softened, the data reveals distinct trends:

Imports and Mexican-style lagers are gaining ground in draft.
Premiumization in spirits is evident, particularly in bourbon.
RTD cocktails and non-alcoholic options are winning favor with consumers seeking convenience and moderation.
Brand-specific momentum, like Modelo Especial and Heineken 0.0, signals shifting loyalties toward quality and lifestyle choices.