Lots of losers and few winners coming out of the Bud Light marketing fiasco. As a retired ad agency pro, I review how this ad/marketing campaign impacts CMO's (Chief Marketing Officers), creative talents, the A-B channel partners and one of the few winners - Modelo. It will be a case study that's going to be reviewed for decades in b-school. https://www.linkedin.com/pulse/4-cs-bud-light-fiasco-cmos-creativity-channel-bill-field
Bud Light - Four Months Later - An Ex Ad Agency/Marketeers Perspective Opinion Piece
- Thread starter CT Pirate
- Start date
Great article.
I don’t have any data, as this is not my industry, but can we attribute this marketing attempt as a Hail Mary? What I mean is if I did a ‘what if’ analysis, and did nothing, would I still lose 25% of my workforce? This may have hastened things, but I would assume there were a few years of lagging sales numbers because of your mentioned demographic shift. Again, I know zero about the beverage or advertising industry, but found your write up insightful.
I don’t have any data, as this is not my industry, but can we attribute this marketing attempt as a Hail Mary? What I mean is if I did a ‘what if’ analysis, and did nothing, would I still lose 25% of my workforce? This may have hastened things, but I would assume there were a few years of lagging sales numbers because of your mentioned demographic shift. Again, I know zero about the beverage or advertising industry, but found your write up insightful.
AB made a huge mistake by forgetting who their audience was. Trying to focus on a small market segment at the expense of their core customer blew up in their face. The thing that is interesting about this boycott, is that beer in this massive category is a product that when switched to a competitor (Modelo) in this case, will never come back as the consumer is now settled on that brand and price point.
Most beer in this category is consumed in a group setting (parties, sporting events, etc.). No one wants to be the guy holding the BL can now and in that hangover period, they've switched to others and have stayed with it even though BL is offering insane discounts.
So I don't think it's a matter of stifling creativity, but being true to your customer and not caving to small segments that could do harm if you don't do your homework.
Most beer in this category is consumed in a group setting (parties, sporting events, etc.). No one wants to be the guy holding the BL can now and in that hangover period, they've switched to others and have stayed with it even though BL is offering insane discounts.
So I don't think it's a matter of stifling creativity, but being true to your customer and not caving to small segments that could do harm if you don't do your homework.
They have been losing market share but not at the 25% level. The strategy to attract new consumers, the execution failed. The largest issue is Modelo has been kickin their ass with highly target audience specific strategies and ads that resonate. It's part boycott fallout and part declining brand loyalty.
Very valid points. The troubling aspect for A-B is the lose of share to Modelo. Bud Light is rapidly becoming dead brand walking.
i used to drink either Bud Light or Miller Lite but now if I want to drink lager style beer I only choose Miller Lite
No one at the bars orders bud light anymore
No one at the bars orders bud light anymore
Regarding the Bud Light fiasco, I heard one theory that the impetus behind it was to increase their ESG score. Overall, a bad move that cost them much more than any gain in ESG.
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It was a complete lack of self awareness. They alienated their brand loyalists in an attempt to win over a new demographic. Now to be fair, that younger demographic likely is key to long term success, but the problem is that Bud Light's brand of being "too fratty" or whatever has nothing to do with why that demographic isn't drinking Bud Light. They're not losing those people to Coors and Miller, they're losing them to craft brewers. This generation grew up with a much wider selection of more interesting and, frankly, better tasting beers and thus have no interest in Bud Light. They can position their brand however they want, but it won't help win over those people because the product is the problem. Now they're trying to backtrack, but the damage was done.
I don't think they were trying to go after a demographic.
Was Bud Light’s Dylan Mulvaney Decision About ESG?
Budweiser, owned by Anheuser-Busch InBev, featured transgender influencer Dylan Mulvaney on a Bud Light can, was that decision driven by ESG?
www.forbes.com
Well said. It gets to the core of the issue - the product itself. Craft brewers repositioned the "big beers" as being inferior in taste. Inisghtful perspective.
