September 30, 2025
Hannah Dray
Chief Marketing Officer
Tap reset: How Lagunitas is redefining beer culture with non-alc brews
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The craft beer industry stands at an inflection point. For decades, breweries competed primarily on taste, strength, and heritage. Today, a seismic shift in consumer behavior is forcing even the most established brands to reimagine their entire value proposition. Lagunitas Brewing Company, the iconic Petaluma-based brewery founded in 1993, is leading this transformation by embracing a counterintuitive strategy: expanding its legacy while championing non-alcoholic innovation.
In Episode 213 of the Speed of Culture Podcast, hosted by Matt Britton, founder and CEO of Suzy, the AI-powered consumer intelligence platform, Hannah Dray, Chief Marketing Officer at Lagunitas, shares how the brand is navigating this cultural reset.
Companies that thrive are those willing to embrace discomfort, challenge industry conventions, and recognize that “innovation through ‘and, not or’” isn’t just a marketing slogan—it’s a survival strategy.
Dray's journey to Lagunitas tells a story about calculated risk-taking. After spending over a decade at Heineken, where she rose to brand director for Dos Equis and spearheaded tequila-based innovations and disruptive campaigns, she joined Lagunitas as senior brand director in 2023. Within two years, she advanced to CMO, tasked with a mission: restore the brand's “mojo” and position it as a relevant player in an industry being transformed by wellness trends, shifting demographics, and changing social behaviors.
The challenge was substantial. Data revealed a troubling reality: only 4% of Americans actively socialize on weekends—a metric Lagunitas frames as the “American party crisis.” Simultaneously, consumer interest in non-alcoholic and low-alcohol options surged more than 80% in just two years. Over 45% of American adults have purchased a non-alcoholic beer.
The non-alcoholic beer market, valued at USD 24 billion in 2025, is projected to grow at a compound annual rate of 7.8% through 2035. These numbers represent more than a trend; they signal a fundamental reimagining of what beer means to consumers.
Dray's approach has been audacious. Rather than viewing non-alcoholic products as a niche segment, she positioned them as a core growth engine. Products like Hoppy Refresher—a hop-infused sparkling water with zero alcohol, zero carbs, and zero calories—captured the number one position in its category. Hazy IPNA introduced hop-forward complexity to the non-alcoholic space.
Through unconventional activations like the nationwide “Party Legend” search and wedding-crashing events, Lagunitas proved that culture-driven marketing outperforms traditional paid media. The results speak for themselves: Lagunitas reached its highest share of the craft beer market since before the pandemic in 2024, climbing to 4.51%, with Lagunitas IPA seeing a 4.2% increase in sales.
This conversation offers a masterclass in how legacy brands can remain relevant by respecting their heritage while embracing strategic transformation. For marketing leaders, brand strategists, and anyone interested in the future of consumer culture, Dray's insights illuminate the path forward in an industry redefined by changing values, technologies, and consumer consciousness.
The genesis of Lagunitas' strategic transformation begins with a surprising statistic: only 4% of Americans actively socialize on weekends. This data point, which Dray identifies as the “American party crisis,” signals a profound shift in how consumers approach leisure, community, and social bonding.
This isn't about people avoiding social interaction entirely. Rather, it reflects a fundamental redefinition of what socialization looks like. Younger consumers prioritize quality over quantity in their social experiences and are more mindful about alcohol consumption.
The pandemic accelerated these trends, normalizing remote work, hybrid lifestyles, and distributed social networks. For Lagunitas, this crisis presented an opportunity. The brand recognized that its future didn't depend on convincing consumers to drink more beer—it depended on expanding the definition of what Lagunitas offers.
This consumer reality explains why the non-alcoholic and low-alcohol segments have exploded. U.S. non-alcoholic beer sales jumped 111% by volume from 2021 to 2025. On-premise, non-alcoholic beer experienced 33.7% growth year-over-year.
Non-alcoholic IPA sales surged 170%, while non-alcoholic stouts climbed 130%. These aren't incremental increases; they're market-shifting explosions.
Craft represented 31% of non-alcoholic sales volume and 36% of non-alcoholic dollar sales in 2025, compared with craft's roughly 13% share of beer overall. Brand counts expanded rapidly, rising from 173 tracked brands in 2021 to 484 by 2025.
Lagunitas' competitive advantage stems from understanding that addressing the party crisis doesn't mean abandoning beer culture—it means expanding it.
One of Dray's most powerful concepts is the phrase “innovation through ‘and, not or’”—a philosophy that fundamentally separates Lagunitas' approach from competitors. This principle acknowledges that consumers don't choose between traditional beer or non-alcoholic options; they choose both, depending on context, occasion, and personal priorities.
Innovation through “and, not or” isn’t about cannibalization—it’s about expansion.
IPNA, Lagunitas' flagship non-alcoholic IPA, was engineered to deliver the hop complexity, bitterness, and satisfaction of a full-strength IPA. It was positioned as craft-grade, not a compromise.
Hoppy Refresher stretched the definition of beer entirely. As a hop-infused sparkling water with zero alcohol, zero carbs, and zero calories, it occupied a novel category while retaining hop-forward identity.
The “and, not or” philosophy also influenced channel strategy. When launching Hazy IPNA, Lagunitas prioritized bar distribution first, understanding that on-premise consumption required different messaging than retail.
The data supported this perspective. Lagunitas' core IPA saw a 4.2% increase in sales in 2024, while non-alcoholic products grew substantially. The brand wasn't cannibalizing itself; it was expanding its total addressable market.
Between 2021 and 2025, brand proliferation in the non-alcoholic space grew 180%, suggesting innovation is driving category expansion.
Dray inherited a brand at a crossroads. Lagunitas had built an exceptional legacy through pioneering IPA culture and irreverent marketing. Yet by the early 2020s, competitive pressure and changing cultural contexts had muted the brand's distinctive voice.
The solution emerged through visual and emotional repositioning. Lagunitas revived nostalgic branding elements, particularly the iconic pin-up character associated with “Little Sumpin' Sumpin'” IPA.
The packaging transformation emphasized visual clarity, color saturation, and bold typography that commanded shelf space. In retail environments, where decisions happen in milliseconds, packaging became strategic asset.
Complementing packaging was a disruptive PR strategy. The nationwide “Party Legend” search and wedding-crashing events generated outsized media buzz through unconventional activation.
Lagunitas reached its highest craft beer market share since before the pandemic in 2024, climbing to 4.51%. This resurgence was achieved through cultural relevance rather than budget dominance.
Lagunitas' journey from IPNA to Hoppy Refresher to Hazy IPNA represents an intentional progression grounded in evolving consumer needs.
Hoppy Refresher became the number one craft non-alcoholic product nationally, attracting younger and female consumers who might not traditionally consume beer.
Craft represented 31% of non-alcoholic sales volume and 36% of dollar sales in 2025. Brand counts expanded from 173 to 484 between 2021 and 2025, signaling both opportunity and competitive intensity.
Dray's personal philosophy: “take the leap, believe in yourself, and treat discomfort as a growth engine.” When Lagunitas invested heavily in non-alcoholic products, traditional frameworks might have recommended caution.
Similarly, culture-driven marketing strategies like wedding crashes required confidence that earned media would deliver returns exceeding paid spend.
Yet boldness was grounded in insight. She invested in non-alcoholic because consumer data revealed sustained growth. She emphasized authentic storytelling because research revealed skepticism toward AI-generated and heavily polished content.
Boldness, grounded in insight, became sustainable strategy.
Lagunitas operates as a craft-premium brand emphasizing quality craftsmanship and authentic flavor profiles. Competitors include Anheuser-Busch (Budweiser Zero), Molson Coors, Guinness Zero, and Carlsberg Sober. Lagunitas ranks second or third among non-alcoholic producers by volume while maintaining premium positioning.
Gen Z and younger millennials drive growth due to wellness consciousness, skepticism toward excessive alcohol consumption, and preference for functional products. Their values suggest non-alcoholic growth is a durable market shift.
Most craft breweries entered non-alcoholic defensively. Lagunitas adopted an offensive posture, treating it as a core growth engine and allocating resources accordingly.
Non-alcoholic beer sales jumped 111% by volume from 2021 to 2025. On-premise growth reached 33.7%. IPA sales surged 170%. Over 45% of American adults have purchased non-alcoholic beer. These metrics demonstrate sustained expansion.
The “party crisis” reflects a broader cultural shift toward mindful drinking and diversified social occasions. Younger generations legitimize non-alcoholic consumption as sophisticated rather than compromising.
Lagunitas' journey—from iconic IPA brewer to multi-category lifestyle brand—offers a template. The brand honored heritage while expanding relevance, responding to fundamental consumer behavior shifts with authentic innovation.
To explore more conversations on cultural transformation, visit the Speed of Culture Podcast. For deeper consumer insights driving strategy, explore Suzy. For insights on AI shaping business, read Generation AI. For speaking engagements, visit AI Keynote Speaker or explore Speaker HQ. To inquire about bookings, visit Contact.
