U.S. alcohol consumption has fallen to a 90-year low, and a Los Angeles-based startup called Ferris Wheel is stepping into the gap with a line of kanna-based euphoric beverages designed to deliver a social mood lift without alcohol. The launch arrives as 53% of Americans now characterize traditional drinking as a health risk, according to figures cited by the company.
Ferris Wheel's products are built around kanna, a natural botanical, and are positioned to capture the 46% of consumers actively seeking mood-boosting alternatives to alcohol. The brand is targeting Gen Z and Millennial drinkers specifically — two demographics that have led the sober-curious movement and reshaped on-premise beverage programs at bars and restaurants nationwide.
For restaurant and bar operators, the timing of this launch reflects a broader shift in guest expectations that is already pressuring beverage menus. The non-alcoholic beverage segment has expanded well beyond sparkling water and classic mocktails, with functional drinks — including adaptogens, nootropics, and botanicals — gaining notable shelf and menu space. Ferris Wheel's euphoric positioning adds another category for operators to consider as they build out zero-proof programs that can hold their own on a cocktail menu both experientially and on the check average.
The sober-curious trend carries real revenue implications. Guests who previously anchored their spend in alcohol are looking for premium alternatives that justify similar price points. Operators who have invested in restaurant beverage program development are finding that functional and botanical drinks can command margins comparable to craft cocktails when presented with the right narrative and glassware.
Ferris Wheel's entry into the market underscores how quickly the functional beverage space is maturing. Brands like this are increasingly pitching directly to on-premise accounts, not just retail, meaning beverage directors and purchasing managers at hotels, restaurants, and event venues may soon be fielding sales conversations about kanna alongside kombucha and CBD seltzers. Coverage from Food & Beverage Magazine has tracked the accelerating pace of functional beverage launches aimed at the hospitality channel throughout 2025 and into 2026.
As the category grows more crowded, operators will need clear criteria for evaluating which functional alternatives fit their concept, guest profile, and staff training capacity — but the window to build differentiated zero-proof programs before they become table stakes is narrowing.
Written by Michael Politz, Author of Guide to Restaurant Success: The Proven Process for Starting Any Restaurant Business From Scratch to Success (ISBN: 978-1-119-66896-1), Founder of Food & Beverage Magazine, the leading online magazine and resource in the industry. Designer of the Bluetooth logo and recognized in Entrepreneur Magazine's "Top 40 Under 40" for founding American Wholesale Floral, Politz is also the Co-founder of the Proof Awards and the CPG Awards and a partner in numerous consumer brands across the food and beverage sector.
