Written by Joseph Gesmer
What was once a night out dancing with friends and strangers in packed bars and nightclubs has now become an evening tucked in at home binge-watching Severance. The United States has historically been a center of partying and clubbing, particularly in cities like New York, Miami, and Las Vegas, but the pastime is losing its appeal among young people. Even with the rise of house music and social media promotion, more nightclubs are closing shop, and the hundreds of thousands of people who work in the industry are at risk of losing their livelihood.
There are a million reasons why this is happening, but there are a few prominent ones that may explain why young Americans are losing interest in having a night out. One of the biggest reasons is young Americans are drinking less in general, leading to a decline in alcohol sales for venues, which can make it harder to run a profitable business. Gen Z is increasingly cognizant of their health, especially with more studies revealing the health risks associated with drinking (McLymore, 2025). According to Gallup, which has surveyed and tracked U.S. alcohol consumption since 1939, “62% of adults under 35 say they drink, down from 72% two decades ago” (Saad, 2023). Gallup also revealed that younger people who do drink have fewer drinks than previous generations, and younger generations drink less often as well. This pattern is further supported by the survey’s finding that “the 61% who most recently reported having a drink in the past week is down from 64% in 2011-2013 and 67% in 2001-2003.” With more young Americans disinterested in drinking culture altogether, more nightclubs will struggle to fill themselves with thirsty twenty–somethings looking to party. While there are another million reasons why young people are choosing to drink less, the impact on the nightclub industry is undeniable, and this downward trend shows no sign of reversing.
It’s not just changing drinking habits that are hurting club culture; it’s also the sheer cost of a night out. Most of this is due to rising rent, drink, and food costs that fall on consumers. Between March 2020 and March 2025, the consumer price index (CPI) rose almost 24% for all items in the U.S. (Federal Reserve Bank of St. Louis, 2025). The consumer price index, which measures the average change in prices paid by consumers for a fixed basket of goods, helps us understand how the cost of components of a night out–like dining and drinks–has changed over time. Since the COVID-19 pandemic, these costs have risen significantly for venues all over the world, prompting nightclubs to increase prices on entry fees and other goods too. Additionally, many venues are facing higher labor expenses as they raise wages to retain staff. Transportation costs getting to and from nightclubs have also climbed. The median price of an Uber or Lyft ride in the U.S. has increased 7.2% over the past year (Lung, 2025). Add up food, drinks, a ride, and cover charge, and suddenly you’re spending like it’s a weekend getaway–not a night on the town. As nightclubs raise prices, many are facing massive losses and operating at a net negative on days they used to break even or profit. With constant losses and taking on debt, many venues have had no choice but to close their doors.
If young adults are spending less time going to nightclubs and drinking, what are they doing in their free time? Well, they might not be doing much of anything. Even in the post-pandemic era, people are spending less time with friends and family than they did before the lockdowns. Young people are spending more time alone at home–a trend that has been steadily growing over the last 20 years. Those between the ages of 15 and 34 have spent roughly two hours more at home per day in 2022 compared to 2003 (Kaysen et al., 2024). A 2024 Harvard report revealed that 21% of adults in the U.S. feel lonely, with many respondents feeling disconnected from friends and family (Batanova et al., 2024). Many of the respondents of the report found themselves dealing with anxiety and depression, and many thought their work and technology hindered their social life. Consequently, young adults are finding it harder to make friendships and make going–out plans, leading to more disinterest in bar and club activities.
Club culture might not be dying, it might just be evolving. Even with nightclub closures across the country, there are more nightlife options than ever before. In the U.K., more venues are exploring sober nights, daytime parties, and “integrating art exhibitions with nightlife” (Hendy, 2023). This trend of incorporating different activities into nightlife and offering various types of events is becoming evident in venues across major U.S. cities as they try to appeal to a broader audience. Many clubgoers also cannot afford to go out two or three nights a week, so they’re going to be more selective and pick the biggest events at the biggest venues (Hendy, 2023). As a result, nightclubs without high–profile guests, and unique events and spaces are likely to shut down. Club culture might be just going through growing pains and experimenting with what appeals to the newest generation of legal age. There might never be as many nightclubs as there were decades ago, but today there is an exhaustive array of unique venues and events. Nevertheless, it is unclear whether these changes will offset rising prices and help the industry recover to pre-pandemic profit levels in the future.
Profits for the nightclub industry have been trending downward in recent years, taking a huge hit due to the pandemic. Clubbing culture is a force that has brought people together through music and dance for decades, and it continues to appeal to partiers across the world. However, the pastime that our parents and grandparents knew is changing dramatically. It has become more than just a dark, crowded room filled with people looking to hear groovy music; it is an expensive extravaganza blending art and social media movements. If nightclubs have any chance of surviving this cultural shift, they must change to appeal to the masses and be more inclusive of this generation’s bold young adults.
References
Batanova, M., Weissbourd, R., & McIntyre, J. (2024, October). Loneliness in America: Just the Tip of the Iceberg? Harvard Graduate School of Education. https://mcc.gse.harvard.edu/reports/loneliness-in-america-2024
Federal Reserve Bank of St. Louis. (2025, March 1). Consumer Price Index for All Urban Consumers: All Items in U.S. City Average. https://fred.stlouisfed.org/series/CPIAUCSL
Hendy, E. (2023, December 19). Club Culture Isn’t Dead – It’s Evolving. Vice News. https://www.vice.com/en/article/club-culture-isnt-dead-its-evolving/
Kaysen, R., & Parlapiano, A. (2024, August 5). A Nation of Homebodies. The New York Times. https://www.nytimes.com/2024/10/05/upshot/americans-homebodies-alone-census.html
Lung, N. (2025, February 19). Uber, Lyft risk losing customers as fares jump 7.2%, report says. Los Angeles Times. https://www.latimes.com/business/story/2025-02-19/uber-lyft-risk-losing-customers-as-fares-jump-7-2-report-says
Malagalabombonera. (2015, April 22). Space Ibiza Main Room. Wikipedia Commons. https://commons.wikimedia.org/wiki/File:Wikipedia_space_ibiza%2803%29.jpg
McLymore, A. (2025, January 4). Even before US alcohol warning, younger Americans were turning to mocktails. Reuters. https://www.reuters.com/world/us/even-before-us-alcohol-warning-younger-americans-were-turning-mocktails-2025-01-04/
Saad, L. (2023, August 22). Young Adults in U.S. Drinking Less Than in Prior Decades. Gallup. https://news.gallup.com/poll/509690/young-adults-drinking-less-prior-decades.aspx