Two of Anheuser-Busch InBev’s top marketing executives are on leave amid conservatives’ call to boycott the Bud Light brand for a marketing activation with social media influencer and transwoman Dylan Mulvaney during March Madness.
Alissa Heinerscheid, Bud Light’s vice president of marketing, and Daniel Blake, group VP of marketing for mainstream brands at ABI, were both placed on a leave of absence from the company, an A-B spokesperson confirmed to Brewbound.
The Wall Street Journal quoted an A-B spokesperson who said “Alissa has decided to take a leave of absence which we support” and “Daniel has also decided to take a leave of absence.” However, the publication, citing unnamed “people familiar with the matter,” reported that “the decision to take a leave wasn’t voluntary.”
A-B shared the management moves with its internal teams and wholesaler partners late last week. The company also appointed Todd Allen, VP of global marketing for Budweiser, to Heinerscheid’s former post as VP of Bud Light. He will report directly to Benoit Garbe, A-B’s U.S. CMO.
“First, we made it clear that the safety and welfare of our employees and our partners is our top priority,” an Anheuser-Busch spokesperson shared in a media statement.
“[W]e have made some adjustments to streamline the structure of our marketing function to reduce layers so that our most senior marketers are more closely connected to every aspect of our brands’ activities,” the spokesperson’s statement continued. “These steps will help us maintain focus on the things we do best: brewing great beer for all consumers, while always making a positive impact in our communities and on our country.”
The management changes follow accelerated declines in off-premise packaged retail sales and market share for Bud Light, the top-selling packaged beer in the U.S.
The calls to boycott Bud Light were sparked April 1 after Mulvaney posted about receiving commemorative cans of Bud Light with her depiction on the label. The gifted cans picturing Mulvaney were never offered in retail outlets.
In scan data, Bud Light experienced “a notable acceleration of sales declines,” according to Bump Williams Consulting (BWC) VP of analytics and insights Dave Williams.
Off-premise dollar sales of Bud Light declined -17% for the week ending April 15, according to NIQ data shared by BWC. The brand’s dollar share of the premium beer segment declined -6.7% during that time.
Bud Light’s off-premise volume sales declined at an even steeper rate (-21.1%). The brand’s share of premium volume declined -6.5%.
Both Coors Light and Miller Lite’s off-premise dollar sales increased +17.6%, slightly outpacing Bud Light’s decline, in the same week, compared to last year. Coors Light’s dollar share increased +3.5%, while Miller Lite’s increased +3.1%. In volume, Coors Light increased +10.6% and Miller Lite increased +11.5%.
At 32.7% of premium segment dollars, Bud Light’s share surpasses both Coors Light (23%) and Miller Lite (20.5%) by nearly double-digits, according to NIQ data shared by BWC.
“Bud Light still owns quite an advantage over its peers in the premium segment on a running YTD [year-to-date] basis, though that advantage has been chipped away at over these recent weeks,” Williams told Brewbound. “Through YTD 2023, the sum of both Coors Light and Miller Lite is basically equivalent to Bud Light on its own”
Both Bud Light’s dollar sales decline and share loss accelerated considerably compared to the week ending April 8, when the brand’s dollar sales declined -6.9%, and it lost -3.7% in dollar share of the premium segment.
Steep losses have yet to reach some of A-B’s other beer brands, including Michelob Ultra (+0.4% in dollar sales, +2.2% in domestic super premium dollar share for the week ending April 15), Busch Light (+3.6% in dollar sales, +0.1% in below premium dollar share), and Natural Light (-0.9% in dollar sales, -0.8% in below premium dollar share).
In the below premium segment, off-premise dollar sales of Molson Coors-owned Keystone Light (+10.6%) and Miller High Life (+7.8%) both increased in the week ending April 15, but neither gained a significant amount of share (+0.6% and +0.4%, respectively). Pabst Blue Ribbon also increased dollar sales (+20.3%) and received a small share gain (+0.7%).
In the on-premise channel, Bud Light’s volume declined -34.7% between April 2-15 compared to sales between March 18-April 1, according to data from draft sales data firm BeerBoard. Light lagers, the style that includes Bud Light, declined -19.9% in the same period.
Michelob Ultra was the No. 1 beer on draft for both survey periods, but Bud Light dropped from No. 3 in the first two-week period to No. 4 in the second, swapping places with Coors Light.
During the March 18-April 1 survey period, which included the NCAA basketball tournament – a major driver of on-premise traffic – Bud Light outperformed overall light lager rate of sale by +15%, according to BeerBoard. During the April 2-15 period, when conservative boycotts began, it trailed light lager’s rate of sale by -6%.