Budweiser sees sales slump in US after trans influencer backlash
Stella Artois and Budweiser maker AB InBev has announced a slump in sales across North America after being hit by a right wing consumer boycott of Bud Light over the brand’s partnership with a transgender influencer.
The world’s largest brewer, AB InBev said that North American revenues slumped 10.5 per cent in the three months to June 30, with sales to retailers and wholesalers down 14 per cent and 15 per cent respectively “primarily due to the volume decline of Bud Light”.
AB InBev has been hit by a backlash among right wing Americans against the Bud Light brand since April after transgender influencer Dylan Mulvaney promoted the beer on social media.
Bud Light lost its spot as the top-selling US beer as a result, with Constellation Brands’ Mexican lager Modelo Especial overtaking it to take pole position in June.
AB InBev said the impact saw its total share of the US beer market fall over the quarter.
But it added: “Since April, we actively engaged with over 170 000 consumers across the country through a third-party research firm and the data shows that most consumers surveyed are favourable towards the Bud Light brand and approximately 80 per cent are favourable or neutral.”
Overall, AB InBev, which also makes Corona and Leffe, offset the Bud Light hit to its US arm to increase second quarter revenues by 7.2 per cent thanks to price rises and a switch to premium tipples.
This helped counter a 1.4 per cent fall in sales by volume across the group, weighed on by the US Bud Light boycott.
Pre-tax profits rose 3.5 per cent to $3.8 billion (£3 billion) for the first half of 2023, up from $.7 billion (£2.9 billion) a year earlier.
Across Europe and including the UK, it said half-year sales by volume fell by “low single digits” but pricing and trend for trading-up to more expensive brands helped drive double-digit revenues growth.
It said “premium and super premium brands delivered double-digit revenue growth this quarter, led by Corona and Budweiser”.
