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Why America’s top-selling beer is no longer American as Bud Light loses the tag of most favourite beer?

ByPaurush Omar
Jun 14, 2023 07:04 PM IST

This dramatic shift in popularity has shed light on the troubles that Anheuser-Busch, the maker of Bud Light, is currently facing

In a surprising turn of events, America's long-reigning favorite beer, Bud Light, has been toppled from its throne by an unexpected contender. Modelo Especial, the Mexican lager brewed by Constellation Brands, has claimed the title of the top-selling beer in the US, leaving Bud Light in its frothy wake. This dramatic shift in popularity has shed light on the troubles that Anheuser-Busch, the maker of Bud Light, is currently facing, exacerbated by a controversial Instagram post from transgender influencer Dylan Mulvaney.

In a surprising turn of events, America's long-reigning favorite beer, Bud Light, has been toppled from its throne by an unexpected contender. Modelo Especial.
In a surprising turn of events, America's long-reigning favorite beer, Bud Light, has been toppled from its throne by an unexpected contender. Modelo Especial.

According to data from NIQ, Modelo captured 8.4% of US retail beer sales in May, surpassing Bud Light's 7.3% share. The numbers don't lie, as Bud Light experienced a staggering 24.4% decline in sales during the same period, while Modelo's sales enjoyed a robust growth of 12.2%. The outlook for Bud Light doesn't appear to be improving either, as Modelo Especial continues to gain momentum, particularly with the introduction of its low-carb beer, Modelo Oro.

So, why has Modelo claimed the throne? Industry experts point to several factors, including strong retailer support, compelling advertising campaigns, eye-catching packaging, and a boost from the Cinco de Mayo celebration that carried over into the summer. In recent years, Mexican beers and spirits, such as tequila and mezcal, have gained popularity among drinkers, leading to a shift in preferences.

Greg Gallagher, vice president of brand marketing for Constellation, expressed their excitement over Modelo's success and their aim to expand its reach beyond the Hispanic market.While Bud Light maintains its position as the top-selling beer on a year-to-date basis, the recent controversies surrounding the brand, including the partnership with Mulvaney and the brand's inadequate response to LGBTQ+ concerns, have undoubtedly impacted sales. Right-wing media backlash and transphobic comments on social media have also contributed to Bud Light's recent sales decline, with weekly drops of around 25%.

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As Bud Light grapples with these challenges, Modelo Especial basks in its newfound glory, capitalizing on its success and aiming to attract a broader customer base. The beer landscape is evolving, and with Mexican brews gaining favor among consumers, Bud Light may need to pour some extra effort into regaining its lost crown.

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