NA Beers are Taking Off. Local Breweries are Taking Notice.

Smug Brewing launched its Unfazed nonalcoholic line last year. (Photo courtesy of Smug Brewing)

When Smug Brewing opened its doors in 2018, craft brewing was still ramping up in Rhode Island. Taprooms were quickly overtaking bars as neighborhood hangouts, and new breweries were opening throughout the state offering everything from stouts to saisons to imperial IPAs.

Smug, located in a former mill in Pawtucket, carved out a name for itself with its trademark sours and cleverly named brews. Demand was strong for craft beer, so it was hard to imagine that in only six years, the brewery would be putting out a very different kind of product: nonalcoholic beer.

“We thought, why not?” says Stephen David, who co-founded the brewery alongside Rob and Emily DaRosa and David’s wife Dianna. “Rob did some research on how we might do it with the equipment that we had. We gave it a try, we did some testing, and we really were happy about the way that they came out.”

In 2024, the brewery launched Unfazed, a new line of nonalcoholic beers. The styles are made at the brewery and marketed under their own brand. The line includes three sours — a fiery mango jalapeno, peachy keen peach and wicked blueberry — and a wild citrus hops IPA.

David says the idea came about when the owners noticed that younger generations are drinking less. He attributes the change at least in part to a greater interest in health. While their previous customers rarely asked about nutrition information, he says, those who purchase the NA line are often curious about calories, carbohydrates and sugar.

“There’s definitely a movement toward less alcohol consumption, and specifically nonalcoholic options,” he says. “And that’s especially true with a younger generation, to be more health conscious. They want to have that option available to them at social functions.”

They’re not the only ones who’ve noticed. The Guild, also based in Pawtucket, launched its first-ever NA beer in January. Jeremy Duffy, The Guild’s co-founder, says NA styles began to take off in the past decade after Connecticut-based Athletic Brewing Company, a fully nonalcoholic producer, began brewing in 2017. Previously marketed to those who abstained from alcohol entirely, Athletic helped changed the narrative around NA beer as a healthier option for discerning craft beer drinkers.

“Athletic flipped it on its head and said, ‘This is a lifestyle play. We want to drink this when we’re boating and we’re exercising and we’re really looking for that craft beer taste.’ They’re now in the top ten craft brewing producers in the United States,” Duffy says.

The Guild’s NA beer is an American Pale Ale style, though Duffy notes they’re still tweaking the formula. It’s currently available on draft at the brewery’s Pawtucket and Warren locations.

Like David, he points to the changing demands of consumers.

“Our job is to follow the consumer, and the consumer’s changing all the time,” he says. “We’ve seen the softening of craft beer nationally, and we need to as entrepreneurs and small business owners continue to adapt to those trends and see where the customer’s going.”

In 2023, Rhode Island saw the launch of its first fully NA brewery, Beaglepuss Brewing. The brand prides itself on a hop-heavy style that’s not immediately obvious as NA. Legally, NA beers can contain up to .5 percent ABV, so breweries are able to mimic a traditional brewing approach as long as they keep the alcohol content within the limit. This has led to the terminology, among some consumers, of “near beer” instead of “alcohol-free.”

Both David and Duffy say their traditional brews remain the bigger sellers in the taproom, but the NA beers appeal to a niche market less interested in drinking. In addition to offering Unfazed in the taproom, Smug cans the product and makes it available to retailers and consumers for direct purchase online. As of April, the brand has seen sales across the country, including to exclusively NA bottle shops.

“I don’t think there’s a secret that there was a wild increase in popularity of craft brewing some years ago, and it has gotten quite crowded in the industry,” David says. “I think what’s important in these circumstances is to adapt. When we see emerging trends like nonalcoholics and health consciousness, we’re in a position to provide some options that consumers want.”

“When an industry’s under pressure, it forces them to innovate, and what it can create for them is some great new product offerings,” he adds.

The Unfazed sour line. (Photo courtesy of Smug Brewing)

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