- The “Dylan Mulvaney case” hit Bud Light hard, with an estimated 25% decline in sales.
- It also lost first place in US sales to Modelo.
- Although brand consideration among regular consumers was relatively stable, those who did not buy Bud Light prior to the case decreased their consideration by 40%.
The “Dylan Mulvaney case” hit (and hard) at Bud Light. The brand sought to get out of “normality” and entered a “war” of cracks from which, hard data proves it, it lost.
Suffice to say, America’s best-selling brand faced a decline in sales estimated at 25% for a few weeks in 2023and which was displaced from first place in that market by its rival, Modelo.
However, before the scandal, Bud Light was already facing problems: it had been losing market share and needed to attract young drinkers to secure its future.
He tried it with Mulvaney, but it backfired. But let’s see in detail.
Bud Light sales after the campaign with Mulvaney
According to data from The Drumbrand consideration among regular Bud Light consumers had been relatively stable over the last 12 months, although it admittedly began to decline in early 2023, coinciding with the decline in market share.
However, on the positive side, it appears that the brand still has a loyal core of consumers unaffected by the scandal. The data suggests that those who did not buy Bud Light prior to the case have only marginally dropped their regard for the brand.
The real concern lies with those consumers who are not regular Bud Light consumers, those who sporadically bought the brand and whose purchase is based on price or location on supermarket shelves.
Consideration of the Bud Light brand for this group of consumers, according to The Drum, experienced a dramatic drop of about 40% in just a few monthsjust as the marketing campaign with Mulvaney was launched.
These consumers are key to the growth of the brand, since they represent the majority and make decisions that significantly impact the future of the company.
Lessons and challenges
The lesson for Bud Light and other brands is clear: Before speaking out on political or controversial issues, it’s critical have a strategy that anticipates the response to massive consumer reactions.
You cannot try to defuse a controversy without a well-defined plan in advance, because this can result in significant damage to your reputation (and sales, of course).
Brands must focus on their identity and effectively communicate with the masses on the move, those consumers who determine the long-term growth and success of the company.
Other cases
Throughout history, there have been several cases in which marketing and advertising actions have failed, causing serious financial consequences for the brands involved.
A notable example is the case of New Coke in 1985when The Coca-Cola Company decided to change the formula of its drink, which resulted in a negative reaction from the public and a drop in sales.
The company was forced to reintroduce the original formula as Coca-Cola Classic.
Another example is the case of Samsung with the Galaxy Note 7 in 2016when the company was forced to recall millions of devices due to safety issues with the batteries that caused fires.
The recall of the product and the costs negatively affected the image of the brand and its sales.
In both cases, brands had to deal with the financial consequences of their actions and learn important lessons about the importance of maintaining consistency and consumer trust.
It is crucial for companies to have a solid strategy in the event of a possible reaction from consumers.
Now read:
New Bud Light ad leaves Mulvaney issues behind (what do you think?)
Bud Light donates money to LGBTQ+ companies to calm criticism
Bud Light sells 26% less after the disastrous partnership with Dylan Mulvaney