It has been five months since Bud Light’s disastrous Dylan Mulvaney collaboration created what is perhaps the greatest example of conservative backlash against a woke company. Since early April, sales have plummeted in the double digits, billions of dollars have been erased from Anheuser-Busch’s market value, and Bud Light is predicted to lose the decades-long held title of best-selling beer in America.
It is clear that Bud Light and Anheuser-Busch, by extension, have suffered a massive blow to their brand reputation. In the wake of this disaster, Bud Light’s distributors are realizing the magnitude of the situation. These distributors have a direct line of sight into the Bud Light controversy as they are directly impacted by the plummeting sales.
“Consumers have made a choice,” said an executive at a Texas-based beer distributor who remained anonymous. “They have left [Bud Light] and that’s how it’s going to be. I don’t envision a big percentage of them coming back.”
In the past five months, Bud Light employees have faced hiring freezes, firings, angry consumers have heckled frontline workers, and some beer truck drivers have reported being harassed. As sales have consistently tanked north of 25 percent, these distributors have a bleak outlook for the brand.
“There is an increasing feeling that this [Bud Light] decline rate could last for a while and the distributors are worried about losing those drinkers to other similar brands,” said David Steinmann, executive editor of Beer Marketer’s Insights.
Adding insult to injury, the tanking sales haven’t even been solely confined to Bud Light. Other brands under Anhueser-Busch’s product umbrella have also faced significant declines in sales. However, as consumers are putting down these beer brands, prominent competing beer companies are notching impressive gains in sales.
The American Tribune recently reported how Bud Light’s competitors are stealing customers from the woke beer at an impressive rate. In an earlier sales report in July, Yuenging saw sales increase 25 percent, Coors Light jumped 21.6 percent, and Miller Lite saw growth of 16.9 percent. Modelo, who has been outselling Bud Light since May, saw a sales increase of 13.2 percent in the same time period.
Experts in the beer industry are predicting that Modelo Especial will continue to narrow the gap and overtake Bud Light for the number one position assuming these trends will continue. In the American Tribune’s previous article in July, Bud Light’s market share was 8.7 percent, still higher than Modelo Especial at 8.1 percent.
However, Modelo continues to nip at Bud Light’s heels, where it recently saw market share increase to 8.2 percent while Bud Light fell to 8.4 percent. “If Bud Light continues its double-digit declines for the balance of 2023 and Modelo Especial continues to grow at 10% or greater for the balance of the calendar year, then it’s probable that Modelo Especial surpasses Bud Light as the No. 1 selling beer in America on a calendar basis,” said Bump Williams, CEO of Bump Williams Consulting.
Bump Williams even revised his prediction after new Bud Light sales data showed no sign of the declines slowing down. Williams now thinks Modelo will overtake the woke beer much sooner than many expect.
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