Dance Music’s Reliance on Alcohol: Are There Alternative Models?
For a long time, alcohol has quietly bankrolled the dance music economy. From late-night clubs to weekend festivals, it’s the revenue driver that’s kept the lights on, typically paying for artists, security, sound, and everything in between. In a lot of cases, alcohol wasn’t just part of the scene, it was the business model.
But it doesn’t have to be.
More and more, we’re seeing dance music break free from this model. DJs are popping up in coffee shops. Daytime parties are selling out without a single shot of vodka in sight. And a new kind of dance floor is taking shape: one that doesn’t depend on the bar tab to survive. At Remix Growth, we love this expansion of dance music into a broader scene that includes drinkers and non drinkers alike, while helping grow revenue for hard working artists.
Why the Old Model Is Starting to Change
For some context, revenue models for dance music events vary, but a common one works like this: ticket sales cover the core costs, while alcohol sales and sponsorships make up much of the profit. That income is typically split between the venue, promoter, artist and their team, and the ticketing platform. This is also why many dance music venues are 21+ and why you’ll often see alcohol brands like Smirnoff, Absolut, or Heineken featured on event posters; these sponsors are some of the biggest financial backers of the scene. We’ll dive deeper into how live show business models work, and how each player takes their share, in a future post.
Is there a downside to the reliance on alcohol as a revenue driver? In a sense, it boxes everything in. It limits who can come, what kind of events get programmed, what time of day and setting, and who feels like they belong. And as more people, especially younger audiences, are drinking less while the cost of goods sold for alcoholic drinks are rising, this business model is being squeezed from both ends with artists and our cherished local spaces paying the price.
The Rise of New Spaces (and New Energy)
One of the clearest signs things are shifting is that dance music is showing up in places it never used to.
One example is Cafetón, a Chicago-based reggaeton dance party held at Recess in the West Loop. Unlike traditional nightlife events, Cafetón takes place during the day and centers around coffee rather than alcohol, drawing thousands of attendees. The event is all-ages and positions itself as a high-energy alternative to the typical club experience.
Similar models are emerging in cities like Austin and San Antonio, where events such as The Morning Spin and Sunrise Saturdays are turning coffee shops into early-morning dance venues. These gatherings typically feature live DJ sets starting around 10 a.m., attracting a wide demographic that includes families, solo attendees, and those seeking a wellness-focused alternative to conventional nightlife.
Another trend gaining momentum is the rise of listening bars, inspired by Japan’s jazz kissa culture. These venues prioritize sound quality and music curation over alcohol sales. Promoters and event series such as AM.radio in Los Angeles, which is growing quickly and sparking a nationwide trend, sit alongside Public Records in Brooklyn and Brilliant Corners in London which have all cultivated dedicated communities by offering focused, audio-centric environments where patrons come primarily to listen, not to drink.
The narrative shift around dance music is clear: the dance floor doesn’t NEED to revolve around alcohol. It can be a morning ritual, a mindful experience, or even a sober social space.
Okay, But How Do These Events Make Money?
That’s a fair question and the truth is, the model is still figuring it out. That said, these events are finding success by tapping into alternative revenue streams:
Ticket sales: have increased, which shows that people are willing to pay for thoughtful, well-curated experiences (even small ones). Gen Z, for example, spend more on concerts and festivals than the average consumer ($38/month vs. $31 for concerts, $23 vs. $13 for festivals). And even with economic uncertainty, Live Nation reports record ticket demand and attendance.
Food and coffee: These partnerships with local vendors often help both sides win.
Merch, memberships, and livestreams: Community-first events create loyal followings that support in creative ways. People are excited to help out local businesses and artists.
Sponsorships that align with the vibe: Beyond alcohol brands, sponsors now include wellness products, audio gear companies, music education and music economy platforms, fashion labels, and even coffee roasters
The best part? There's actual demand. Gen Z is drinking less, but they still want to go out, move their bodies, and be part of something real. They’re just not interested in scenes that feel exclusive or centered around getting wasted.
So, What’s Next?
Alcohol will, of course, always have a place to play in the clubbing scene. But we believe there is a way to grow dance music’s revenue generating capabilities far beyond the traditional model. We see this growth happening in cafés, parks, art spaces, even living rooms. And it’s making space for more people, more ideas, and more possibilities.
At Remix Growth, we’re especially excited about this shift. We believe the future of music is built around artists, communities, and the creative freedom to reimagine how music lives and thrives. We’re actively looking for businesses and platforms that are building with this in mind, whether it’s rethinking revenue streams, expanding access, or creating space for music-first experiences.
If you know of a company, venue, or project working in this space, we’d love to hear about it. Reach out.
At its core, dance music is about joy, movement, connection and community. If we build spaces that center those things, we’ll create a scene that’s more sustainable, more inclusive, and way more impactful.
