ADVERTISEMENT

Go Woke, Go Broke: THE UPDATE

Part of me thinks it will blow over soon, the temper tantrum has registered and that will be enough.

On the other hand...the product is just not that great, so I don't know what happens when people have switched for a month to something else.
Brands definitely need to consider the cost of offending their major user base before launching an ad campaign. The primary drinker of Bud Light has been Men who bleed Merica... aka Right Wingers. While I think it's an absolutely insane thing to get this worked up over, people have a right to vote with their pocket books. I've certainly endorsed other boycotts based on businesses engaged in unethical ideals. Bud Light has always tried to appeal to the labor worker, more low-income, All-American type. I certainly understand trying to expand your appeal to other groups while your product is actually losing market share... But I do wonder if someone did the calculus to understand just how butthurt their primary market gets over things like that.

It's a difficult time right now to be in business because of how political everything is, and even choosing not to engage in the political fights is a political decision that can come back to bite you.
 
  • Like
Reactions: Chuck C
Brands definitely need to consider the cost of offending their major user base before launching an ad campaign. The primary drinker of Bud Light has been Men who bleed Merica... aka Right Wingers. While I think it's an absolutely insane thing to get this worked up over, people have a right to vote with their pocket books. I've certainly endorsed other boycotts based on businesses engaged in unethical ideals. Bud Light has always tried to appeal to the labor worker, more low-income, All-American type. I certainly understand trying to expand your appeal to other groups while your product is actually losing market share... But I do wonder if someone did the calculus to understand just how butthurt their primary market gets over things like that.

It's a difficult time right now to be in business because of how political everything is, and even choosing not to engage in the political fights is a political decision that can come back to bite you.

It's just a head scratching move.

One addition...Bud Light is huge among American Hispanics...at least not long ago, it was the most consumed beer by Hispanics in the US. Fits perfectly with their working class/middle class brand. It's not a specifically right wing brand at all. Another stupid reason for their marketing person to portray it as "fratty."
 
  • Like
Reactions: Chuck C and abby97
It's just a head scratching move.

One addition...Bud Light is huge among American Hispanics...at least not long ago, it was the most consumed beer by Hispanics in the US. Fits perfectly with their working class/middle class brand. It's not a specifically right wing brand at all. Another stupid reason for their marketing person to portray it as "fratty."
Right, what would a marketing person at the company know about the demographics of their purchasers? Online speculation is bound to be much more accurate!
 
52 week high: 67.10

Currently: 66.10
I'm not sure what point you are trying to make. I never said the stock price was down or the company was bleeding money. Simply shared what a bar manager told me that was really surprising to me. I didn't say it was the industry standard.
 
Up about 8% from March 1st.
That’s because it went up 11.4% between March 1 and March 31, when it hit its 52-week high of $67.09.

The Dylan Mulvaney video was posted the next day, on April 1. As I type this post right now, the price is $65.75. That means it’s down 2% from what it was the day before the video went online.
 
  • Haha
Reactions: abby97
That’s because it went up 11.4% between March 1 and March 31, when it hit its 52-week high of $67.09.

The Dylan Mulvaney video was posted the next day, on April 1. As I type this post right now, the price is $65.75. That means it’s down 2% from what it was the day before the video went online.
you think a 2% decline in stock price is a signal of financial ruin?
 
Brands definitely need to consider the cost of offending their major user base before launching an ad campaign. The primary drinker of Bud Light has been Men who bleed Merica... aka Right Wingers
Actually, it's more likely college kids.

Which is why they target so much advertising to college sports stuff.
 
Right now the boycott is picking up momentum in its second week. Bud light sales are down 17% year over year in terms of dollars. Volume is even worse; down about 21.1% year over year. Miller Lite and Coors Light are gaining most of that share.
Not affecting other AB InBev brands yet. For the most part those other brands are flat, so Bud Light drinkers aren’t switching to other AB InBev brands.
 
Right now the boycott is picking up momentum in its second week. Bud light sales are down 17% year over year in terms of dollars. Volume is even worse; down about 21.1% year over year. Miller Lite and Coors Light are gaining most of that share.
Not affecting other AB InBev brands yet. For the most part those other brands are flat, so Bud Light drinkers aren’t switching to other AB InBev brands.
I think we'll see Bud Light's numbers drop even more as the product is pulled from taps and inventories pile up.

I also expect to see some more spillover effect to the other AB brands, though not as steep as Bud Light.

I'm actually a huge fan of this if it means the end of Bud Light. Why? I hate Bud Light but I really like Michelob Light. No, not Michelob Ultra or Michelob Golden Light, the original Michelob Light that I can't find anywhere near me. If Bud Light gets destroyed it would force AB to push another light beer alternative. Hoping that is Michelob Light.
 
  • Haha
Reactions: BelemNole
I think we'll see Bud Light's numbers drop even more as the product is pulled from taps and inventories pile up.

I also expect to see some more spillover effect to the other AB brands, though not as steep as Bud Light.

I'm actually a huge fan of this if it means the end of Bud Light. Why? I hate Bud Light but I really like Michelob Light. No, not Michelob Ultra or Michelob Golden Light, the original Michelob Light that I can't find anywhere near me. If Bud Light gets destroyed it would force AB to push another light beer alternative. Hoping that is Michelob Light.

Delusional
 
I think we'll see Bud Light's numbers drop even more as the product is pulled from taps and inventories pile up.

I also expect to see some more spillover effect to the other AB brands, though not as steep as Bud Light.

I'm actually a huge fan of this if it means the end of Bud Light. Why? I hate Bud Light but I really like Michelob Light. No, not Michelob Ultra or Michelob Golden Light, the original Michelob Light that I can't find anywhere near me. If Bud Light gets destroyed it would force AB to push another light beer alternative. Hoping that is Michelob Light.
It will be interesting. In their brand ladder Michelob Ultra is their only other product in the premium light beer category. I wonder if they’ll try to get Bud Light sales back through that brand or try a different strategy.
 
But the boycott hasn't affected Anheuser-Busch stock because those rubes just switched to Busch Light or Ultra.
Busch Light and Ultra sales have been mainly flat. Coors Light and Miller Lite are up year-to-year by similar numbers as Bud Light is down. Interestingly, an article I read said Bud Light is in danger of not being the #1 beer brand in the U.S. if this sales trend continue.
 
Down 26%

Digging into this a little deeper, the 26% references off-premise sales, so basically liquor stores. I haven’t seen any numbers for on-premise sales, which would be taps at bars/restaurants. If AB InBev starts losing taps those sales could take longer to recover.
 
What date?
Friday, March 31 - the stock price closed at $67.09.

The next day, Saturday April 1 (day of the Final Four), Dylan Mulvaney posted the video of her special edition cans on social media.

As I type this message, the current stock price is $63.74 - a decrease of exactly 5%.
 
  • Like
Reactions: earn8981
In general, companies should stay away from politics and religion. The exception is when they have specific products that cater to targeted groups.
 
  • Like
Reactions: Chuck C
March 31 - when it closed right at their 52 week high. It's up about 40% since September of 22. Certainly there is some profit taking going on.
Some of it can probably be attributed to profit taking. The timing suggests profit taking coupled with a general sense of “I think I’ll sit on the sidelines and see what becomes of this Dylan Mulvaney controversy.”
 
Some of it can probably be attributed to profit taking. The timing suggests profit taking coupled with a general sense of “I think I’ll sit on the sidelines and see what becomes of this Dylan Mulvaney controversy.”
A couple of things. Dylan Mulvaney tweeted about the can on Saturday April 1. That following Monday AB closed at $66.57. The protest started a couple of days later when it closed at $66.50. It needs to be said that on 4/27, the stock closed at $66.19.
If the stock fell 5% right away then your point would be stronger.
 
A couple of things. Dylan Mulvaney tweeted about the can on Saturday April 1. That following Monday AB closed at $66.57. The protest started a couple of days later when it closed at $66.50. It needs to be said that on 4/27, the stock closed at $66.19.
If the stock fell 5% right away then your point would be stronger.
Yes. Those who would be spooked by the potential impact of a boycott would get out quick. But that's not the narrative du jour.
 
  • Like
Reactions: DFSNOLE
ADVERTISEMENT
ADVERTISEMENT