In a surprising turn of events, popular beer brand Bud Light experienced a significant setback as its weekly sales revenue plummeted by 26.8% in the week ending June 10, as revealed by new data.
The data, provided by Bump Williams Consulting and NielsenIQ, indicated that Bud Light’s financial struggles persisted in June following customer opposition to its partnership with activist Dylan Mulvaney, who identifies as transgender.
Bump Williams expressed the challenging week Bud Light faced, noting that the decline in beer sales was not limited to Bud Light alone. Other brands such as Budweiser (10%), Natural Light (2.3%), and Michelob Ultra (2.4%) also experienced a decline in sales during the same week.
This decline marked a new low for Bud Light, surpassing the previous highest weekly drop of 25.7% recorded on May 20. While Bud Light had maintained its position as the top-selling beer overall throughout the year, it was recently displaced by Modelo Especial as the best-selling beer for the month of May. However, the long-term dominance of Modelo Especial as the nation’s favorite beer remains uncertain, according to Bump Williams, as trends may vary across different regions.
Modelo Especial, a Mexican beer brand, is owned by Constellation Brands in North America, while Anheuser-Busch owns it outside of the region.
Based on the data, Modelo Especial accounted for 8.4% of retail beer sales, surpassing Bud Light, which accounted for 7.3% of retail beer sales in the week ending June 3, as reported by CNBC. Bud Light sales experienced a substantial decline of 24.6%, while Modelo Especial witnessed a growth of 10.2% compared to the same period last year.
The partnership with Mulvaney has caused Bud Light to suffer a significant loss in market value, with an astounding $15.7 billion loss reported at the end of May.
Anheuser-Busch CEO Brendan Whitworth indirectly acknowledged the impact of the backlash the company has faced, admitting that it has affected consumers, business partners, and employees. In a statement, he emphasized their focus on brewing great beer and reaffirmed Bud Light’s attributes as an easy-to-drink and enjoyable brand. The upcoming summer advertising campaign aims to reinforce the aspects that consumers have always loved about the brand and its role in significant moments for consumers.