Like everyone else who follows the brewing industry in North America, I knew that Budweiser has been haemorrhaging market share in the U.S. for years now. But even I was surprised by the numbers contained in this St. Louis Post-Dispatch story.
Anheuser-Busch knows it has a Budweiser problem. The beer’s share of the U.S. market peaked in 1988 at 26 percent, sinking to 9.3 percent last year. Even more troubling for A-B is that Budweiser seems at risk of being forgotten by an entire generation. Four out of 10 people in their mid-20s have never even tried Budweiser — a rate 2.5 times higher than when it reigned supreme, according to the company.
That’s going to be a long road back if, as he says he is, A-B President Dave Peacock is intent on turning around the brand.
Read the full story here.
2 Replies to “Budweiser Stats and the Decline of an Icon”
I’ve long said that Bud (and other macros) are entertainment companies, not breweries. Buy a 12, no- a 24, no- a 30 pack, get some buddies together, and get beered up. It’s cheap entertainment! Look at Bud website if you disagree. Sections on soccer, car racing, Clydesdales, other sports, pop music, etc, etc. And.. oh…something about beer, too. If you look hard enough.
There’s nothing wrong with this business approach, it just isn’t about beer. And with last year’s takeover, it is now all about banking. I.e., how fast can they cost-cut their way to higher profits?
Don’t be surprised if AB withers deeper and faster in the US. The Brazilian/Belgian mafia don’t care. They can sell trillions of barrels to unsuspecting billions of people in other parts of the world before those folks wise up.
That last stat is amazing. Four out of ten have never even tried it. The numbers for ABIB’s mainstay brands are just not encouraging for them. Someone’s drinking their milkshake, and I think we know who.