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  • Bud Light sales keep slipping. But it remains America’s top-selling beer | CNN Business

    Bud Light sales keep slipping. But it remains America’s top-selling beer | CNN Business

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    New York
    CNN
     — 

    Roughly two months after Bud Light endured a self-induced injury that torpedoed sales, the brand continues to lose ground to its competition. But there are signs the worst might be over.

    Sales for the week leading into Memorial Day weekend fell 23.9% from the same period a year ago. That constitutes a slight improvement compared to the week prior when sales were 25.7% lower than a year earlier. That could indicate that the “bottom has been hit and we are seeing a turn-around in performance,” according to Bump Williams, an alcohol industry expert.

    For the past several weeks, Bud Light sales declines have hovered around 25% weekly because of customer revolt following an Instagram partnership with transgender influencer Dylan Mulvaney. A single can bearing her face was given to her for a post, but some right-wing media attacked the brand, and some social media posts spewed transphobic comments.

    Anheuser-Busch’s tepid statement about the controversy also angered some LGBTQ+ groups.

    In response, Anheuser-Busch

    (BUD)     said it was bolstering marketing on Bud Light and would offer rebates to customers. Last weekend, the company offered $15 back on 15-packs of beer, leading to cases priced as low as $1.50 in some states, which Williams said contributed to part of its minor turnaround.

    Still, Bud Light remains the top-selling beer in America, according to NIQ data provided to CNN by Williams. NIQ measures sales at convenience, liquor and grocery stores across the United States. Bud Light has made up 35.1% of domestic beer sales this year (through May 27), according to NIQ. That easily beats No. 2 Coors Light, which controls 21.6% of the market.

    Although Bud Light’s share of the domestic beer market has slipped considerably over the past couple months, it remains in the lead. In the week ended May 27, Bud Light controlled 28.8% of the market, compared to Coors Light, which made up 25.6% of overall sales, NIQ reported.

    The biggest beneficiaries of Bud Light’s slipping sales continue to be MolsonCoors’ Miller Light and Coors Light, with sales up a whopping 26% and 23% respectively, according to NIQ. Beer Business Daily reported Monday that some distributors are reporting shortages, but a company spokesperson told CNN that its supply is strong for the summer.

    Another bright spot is Modelo, distributed by Constellation Brands

    (STZ)    . Sales of its Modelo Especial and its recently launched low-carb beer Modelo Oro are strong, with sales up 9.5% and its share of the total beer category surpassing Bud Light last week, Williams said. He added that it’s “not a surprise” because of a halo effect from Cinco de Mayo and heavy advertising supporting its Oro launch.

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  • Molson Coors’ funny ad went too far, regulator says | CNN Business

    Molson Coors’ funny ad went too far, regulator says | CNN Business

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    New York
    CNN
     — 

    Beer ads try to be funny, but a regulatory group has determined that Molson Coors went too far with a recent ad that compares rivals’ light beer to water.

    The National Advertising Division, which is part of the Better Business Bureau, sided with Anheuser-Busch, which challenged a 2022 ad for Miller Lite that uses the phrase “light beer shouldn’t taste like water, it should taste like beer.” The agency said that Molson Coors should “discontinue” the ad because is “not puffery or a mere opinion.”

    In the 15-second spot, a cyclist takes a break from riding uphill, cracks open a beer and douses himself with it. No specific beers were mentioned, however the beer uses a similar blue color that adorns Bud Light packaging. NAD said that it “determined that tasting ‘like water’ is a measurable attribute” and that customers might “reasonably expect that the statement is supported by such evidence.”

    NAD said the ad should be discontinued because Molson Coors “did not submit evidence supporting the claim that any other light beers ‘taste like water.’”

    In response, Anheuser-Busch said it “appreciates” NAD’s decision.

    “True stewards of the beer industry should be working together to strengthen the beer category instead of resorting to misleading attacks that denigrate products enjoyed by millions of beer drinkers,” an Anheuser- Busch spokesperson said in a statement.

    Molson Coors is appealing the decision, saying it “vehemently disagrees with this decision because we believe light beer should taste like beer, not water, and we are well within our right to share that belief.” A spokesperson also questioned to Anheuser-Busch’s “sudden concern” with the ad since it hasn’t aired since last August.

    NAD’s decisions aren’t legally binding, however most advertisers comply with their decision. If an advertiser doesn’t comply, the ads are referred to the Federal Trade Commission for further scrutiny.

    This isn’t the first time Molson Coors and Anheuser-Busch, which are the top-selling beer makers in the US, have challenged each other. Molson Coors sued Anheuser-Busch in 2019 over Super Bowl ads that accused the Miller Lite and Coors Light maker for saying its beer was sweetened with rice rather than corn syrup. The case was dismissed.

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