November 22, 2024

The beer that has bested Bud in the US is almost a double agent for Ab-Inbev | a job

3 min read
The beer that has bested Bud in the US is almost a double agent for Ab-Inbev |  a job

The most consumed beer in the United States is no longer the emblematic Bud Lite, but the Mexican modelo beer. The shift in leadership came months after a boycott promoted by angry right-wing groups of an ad campaign for the brand starring influencer Dylan Mulvaney. What is curious is that the new leader also belongs to Ab-Invev – but not in the country.

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In 2013, a year after Ab-Inbev acquired Modelo Group for US$20 billion, US market regulators specified that in order for the deal to be approved, the holding company must sell the rights to the brand as well as to the brand in the US. Corona states, the highlight of the acquiring company’s portfolio. Since then, the labels have been part of the Constellation Brands group.

However, in other countries, Ab-Inbev brands have followed suit, as in Mexico itself as well as in Brazil. In other words, Bud has lost his grip in the US to a competitor who’s almost a double agent: He plays on a rival team in the US market, but overseas he’s part of the same group.

The situation, by the way, led to a lawsuit in a New York court, in March of this year, when Ab-Inbev, through the Modelo Group, sued Constellation for creating new product lines under the brand. However, as the court understood, the rights holder did not breach the contract by marketing Corona Hard Seltzer and Modelo Ranch Water, two alcoholic beverages new to the portfolio.

A special model knocks out Bud Lite from the lead in beer in the US – Image: website/reproduction

It was around this time that Mulvaney broke the post with a custom box, infuriating some Bud consumers. However, the boycott lasted months until the chief was deposed. Published earlier, a survey by consulting firm Bump Williams, based on data from Nielsen, showed that in the four weeks ending June 3, Modelo accounted for 8.4% of beer sales in US retail, versus Bud Light’s 7.3%.

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Bud Light sales fell 24% over the same period, according to the survey. According to sources heard by The Wall Street Journal, Ab-Inbev has committed to buying back cans of beer that have rung off inventory and are expiring from distributors. During this period, the holding company also began working on new advertisements for the brand, with football and country music.

It is also sold in Brazil, including through Zé Delivery, the delivery app from Brazil AmpifModelo production began in 1925, in Tacuba, Mexico, but it only began to be marketed in the United States in 1990. A pilsner-style lager, it has a recipe inspired by German production processes, according to the brand. In an interview with ABC News, Modelo Group’s global marketing director, Jim Sabia, revealed that the brand has grown at a double-digit annual pace over the past 15 years. Last year, Modelo sold 35 million boxes (with 24 units) in the United States.

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