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Bud Light may soon be flying off the shelves once again. That’s the good news.
The bad news? It may not be consumers who are buying it.
A former Anheuser-Busch executive sounded the alarm earlier this week in the wake of more terrible sales numbers for Bud Light, pointing to early September as a date to watch.
“[Retailers] generally take sales data from April, May, June, July, and then based off of that data in that time period, they will reallocate shelf space,” Anson Frericks told the Daily Mail, adding that retailers generally use Labor Day as a reset for the rest of the year.
“That shelf space will be allocated to Miller Lite, Coors Light, Yuengling, and some of the other brands that have taken share from them,” he added.
“That almost permanently then locks in this as the new norm of where their sales will be, and what their share of the beer category will be.”
Whooooooof. A lot to dive into there, and none of it is particularly pretty for Bud Light and Anheuser-Busch.
Basically, if sales continue to take a nosedive, retailers are gonna stop using premium shelf space for Bud Light.
It’s been pretty well chronicled over the past two months that AB has pushed Bud Light to the fronts of stores across the country at a shiny discounted price, but — so far — nobody is biting.
The once-popular beer sat untouched over the Memorial Day holiday weekend late last month, and that wasn’t exactly an outlier.
In case you need some more examples …
Speaking of things that aren’t great — the latest numbers are in for Bud Light. Fortunately for the marketing folks over at AB, the latest drop isn’t quite as bad as last week.
Unfortunately, it’s still a steeeeeeeep plunge.
Sales were down 23.9% on a dollar basis for the week ending May 27 compared to last year, which was slightly better than the nearly 26% drop last week.
Meanwhile, Anheuser-Busch’s stock is down nearly 20%, with experts warning of a continued drop throughout the rest of the fiscal year.
Combine all of that with a looming “reset” in the retail industry, and Bud Light could soon head to the back of beer cooler in stores across the US.