Budweiser maker continues to feel pain of Bud Light boycott
Budweiser maker AB InBev said its US sales and profits plunged during the second quarter, as Bud Light fell out of favour with customers.
Earlier this year, the beer giant chose transgender influencer Dylan Mulvaney to promote the alcoholic drink, sparking outrage from American conservative commentators, celebrities and anti-trans hate groups.
The hashtag #BoycottBudLight went viral on social media and right-wing country singer Kid Rock filmed himself shooting three cases of Bud Light with a gun.
Its controversial marketing move was reflected in results published today, with US revenues declining 10.5 per cent in the second quarter and ebitda contracting by 28.2 per cent.
Sales-to-retailers declined by 14 per cent which AB InBev said was “primarily due to the volume decline of Bud Light”.
However, revenues across the entire group rose 7.2 per cent and saw a 18.4 per cent increase in combined revenues of its global brands which include Budweiser, Stella Artois and Corona.
Shares in the group jumped four per cent after the update.
Following the scandal, chief of Anheuser-Busch Brendan Whitworth said that the business “never intended to be part of a discussion that divides people”.
“As CEO of Anheuser-Busch, I am focused on building and protecting our remarkable history and heritage. I care deeply about this country, this company, our brands and our partners.”
“Our business delivered another quarter of profitable growth. Revenue increased by 7.2 per cent with an ebitda increase of five per cent. We continue to invest in our strategic priorities for the long-term,” Michel Doukeris, global chief at AB InBev, said.