The issue:

Anson Frericks, a former executive at Anheuser-Busch InBev, reflects on the downfall of Bud Light, which had been America’s top-selling beer for over two decades. The company’s shift towards “woke” marketing and corporate policies, particularly following the death of George Floyd and during the pandemic, culminated in a controversial social media campaign featuring transgender activist Dylan Mulvaney on April 1, 2023. The backlash resulted in a significant consumer boycott, causing Bud Light’s sales to plummet and its reputation to suffer. Frericks argues that this incident is indicative of a broader trend where corporations prioritize social goals over profits, leading to loss of trust among stakeholders. Despite efforts to rebrand and reconnect with its customer base, Bud Light struggles to regain its former status in a highly polarized political environment.

Insights:

The shift towards “woke” marketing at Anheuser-Busch InBev coincided with societal changes, impacting its core customer base.

Anheuser-Busch’s emphasis on ESG and DEI policies was seen as a diversion from its traditional focus on shareholder value and product innovation.

The company’s leadership changes and marketing strategies were driven by pressures from institutional investors favoring progressive policies.

Bud Light’s identity as an apolitical brand was compromised, alienating customers who preferred to keep politics separate from their choice of beer.

Questions raised:

• What led to Bud Light’s decline in sales?

The decline was primarily triggered by a controversial marketing campaign featuring Dylan Mulvaney, which alienated a significant portion of its customer base and led to a widespread boycott.

• What was the consumer reaction to the Mulvaney campaign?

The consumer reaction was overwhelmingly negative, leading to one of the largest boycotts against Bud Light, which resulted in a drastic drop in sales.

• Can Bud Light recover from its current sales slump?

Analysts express skepticism about Bud Light’s ability to regain its former popularity, citing ongoing political polarization and the brand’s compromised identity.

Opinion:

Money talks, bs walks…