Bud Light sales decline is now affecting Anheuser-Busch's other brands, according to new data
By Lisa Fickenscher
Bud Light was in a downward spiral before the Dylan Mulvaney controversy -- and the damage has begun to spill into Anheuser-Busch's other megabrands, according to the New York Post, citing a beer-industry consultant.
Nationwide retail sales of Bud Light were down 23.4% versus a year ago in the week of April 29 -- worse than the 21.4% decline it suffered a week earlier, according to Bump Williams Consulting and NielsenIQ data.
Bud Light remains far and away the U.S.'s leading beer brand, observed the St. Louis Post-Dispatch, citing Bump Williams data.
Context:A Bud Light backlash is not the biggest problem for Anheuser-Busch's parent company
Also read:Anheuser-Busch InBev CEO says beer shouldn't be focus of debate as Bud Light sales deteriorate
Meanwhile, as beer drinkers recognize how many other beer brands fall under the A-B InBev (ABI.BT) and Anheuser-Busch umbrellas, the backlash is widening, fresh data suggest.
The company's flagship Budweiser brand took an 11.4% sales hit for the week ended April 29. Sales of Anheuser-Busch's Michelob Ultra brand -- the third-biggest-selling in the U.S. behind No. 1 Bud Light and No. 2 Modelo Especial -- were down 4.4%, according to Bump Williams data.
"It's not just a Bud Light issue," said Bump Williams, chief executive of the consultancy. "It's an Anheuser-Busch portfolio problem now."
Anheuser-Busch's other U.S. brands also got dinged, with its Natural Light brand down 5.2% and its Busch Light seeing a 1.8% drop.
The widening sales declines mark a painful hit for the dominant U.S. beer business. Last year, sales of Bud Light topped $4.8 billion, according to the Connecticut-based firm. Modelo Especial had $3.75 billion in sales, while Michelob Ultra generated $3.3 billion in sales.
Budweiser came in at No. 7 last year with $1.83 billion in sales.
To date in 2023, Bud Light and Budweiser are the only top 10 U.S. beers whose sales have dropped, with declines of 3% and 0.4%, respectively.
"If Bud Light doesn't fix its trend by the end of this month, it will continue to lose market share because it will lose Memorial Day. That kicks off the summer season," beer consultant Williams told the New York Post. "There has to be a sense of urgency for InBev to correct these trends."
It's the fourth consecutive week of double-digit sales drops linked to Anheuser-Busch's brief online marketing tie-up with the transgender influencer, which began on April 1 when Mulvaney posted videos of herself in a bubble bath drinking Bud Light.
"Anecdotally we are hearing that sales of Bud Light are declining more rapidly at bars and restaurants where some consumers don't want to be seen drinking it or they are getting into arguments over the brand," said Benj Steinman, editor of Beer Marketer's Insights.
Don't miss:Nike teams up with trans activist Dylan Mulvaney from the buzzy Budweiser promo
Also read: Dylan Mulvaney's partnership with Maybelline yields a new round of boycott calls
The company reportedly did not immediately respond to a New York Post for comment about the sales declines.
Anheuser-Busch told distributors that an outside ad agency was responsible for tapping Mulvaney to promote the Bud Light brand to the LGBTQ community, but has stopped short of naming the marketing firm.
A version of this report has appeared on NYPost.com
Read on:How a conservative boycott of Bud Light could create a backlash to the backlash
-Lisa Fickenscher
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
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05-11-23 0826ET
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