According to recent reports, Modelo Especial remained the best-selling beer over Bud Light in June. This is the second-consecutive month Modelo has beaten out the woke beer that has been hemorrhaging market share since early April when Bud Light disastrously partnered with Dylan Mulvaney.
Bump Williams Williams Consulting, a firm at the forefront of analyzing the data behind the Bud Light boycott, found that Modelo Especial remained in first place during June after analyzing sales data from Nielson. According to the consulting firm, Bud Light held the title for over two decades since 2001 but then lost it thanks to the Mulvaney ad and resulting sales crash.
According to Fox Business, “The most recent data shows that Modelo Especial saw an 11.4% increase in dollar sales and a 5.7% increase in volume in the week ending July 1. Over that same time, Bud Light saw a 28.5% decline in sales dollars and a 32% dip in volume, the data showed.” According to the data, Modelo Especial is generating more dollar sales than any other beer in America.
However, despite the steep declines in Bud Light sales that have continued month-over-month, the woke beer still remains the largest dollar and volume beer company looking at the data year-to-date. However, Bud Light’s year-to-date market share is roughly 8.7 percent, while Modelo sits at 8.1 percent. The Mexican beer has been consistently nipping at the heels of Bud Light, closing the gap.
CEO of Bump Williams Consulting, Bump Williams, told Fox Business that if trends continue throughout the year, Modelo Especial could overtake Bud Light as the number one beer on an annualized basis. “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,” the CEO said.
Constellation Brands own Modelo Especial’s U.S. operations, although Anheuser-Busch does own the beer’s international operations. Constellation Brands CEO Bill Newlands stated that Modelo overtaking Bud Light came sooner than the company had anticipated. The company further stated it had anticipated becoming the number-one beer over the next few years, but not within 2023. The Bud Light boycott has undoubtedly expedited this trend.
Constellation Brands’ beer business reported first-quarter net sales of $2.1 billion compared to $1.9 billion a year ago, representing almost an 11 percent increase. Bud Light’s competitors have seized market share the woke beer has lost amid the boycott, as evidenced by Modelo Especial.
Anheuser-Busch has lost billions in market capitalization for its shareholders. Earlier in June, the American Tribune reported that Bud Light had lost $27 billion in market value at the time of the article. This put the Bud Light parent company’s stock in bear market territory.
A beverage analyst at JPMorgan Chase & Co. gave a dire outlook for Bud Light and Anheuser-Busch in light of the boycott, stating, “We believe there is a subset of American consumers who will not drink a Bud Light for the foreseeable future. We believe a 12% to 13% volume decline on an annualized basis would be a reasonable assumption.”
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