Anheuser-Busch took a Mike Tyson punch to the gut in the second quarter, losing a staggering $390 million in U.S. sales after its ill-fate...
Anheuser-Busch took a Mike Tyson punch to the gut in the second quarter, losing a staggering $390 million in U.S. sales after its ill-fated partnership with transgender influencer Dylan Mulvaney.
Figures revealed a staggering 10.5% drop in total U.S. revenue during the April-to-June period compared to the previous year. The company attributed the grim financials to the dwindling popularity of its Bud Light brand, admitting a “volume decline” in the brew’s second-quarter profits.
VP of Marketing Alissa Heinerscheid, 39, and VP for Mainstream Brands Daniel Blake, 34, both took a voluntary leave of absence following the backlash.
Anheuser-Busch tried to extinguish the flames shortly after the debacle began in April, sending a letter directed toward customers and distributors.
“This was one single can given to one social media influencer,” the letter said in May. “It was not made for production or sale to the general public. This can is not a formal campaign or advertisement.”
“Anheuser-Busch did not intend to create controversy or make a political statement,” the letter read. “In reality, the Bud Light can posted by a social media influencer that sparked all the conversation was provided by an outside agency without Anheuser-Busch management awareness or approval.”
In the latest numbers, the brewing behemoth revealed a massive 14% plunge in sales to U.S. retailers, saying it “underperformed the industry.” It was a clear consequence of linking their brand to Mulvaney.
In the second quarter of 2022, Anheuser Busch raked in a sumptuous $2.73 billion from beer sales to retailers. However, that number tanked to a dismal $2.35 billion in the second quarter of 2023 – a staggering loss of $390 million in just one year.
Addressing the adverse consequences, the company attributed the plummeting sales to the severe backlash it faced for partnering with Mulvaney, who received a unique can marking “365 days of being a girl” – the influencer’s self-described transition from male to female.
Mulvaney hasn’t helped. In a post to 1.8 million followers, Mulvaney talked about “waiting for the brand to reach out to me, but they never did. I’ve been scared to leave my house.”
“For a company to hire a trans person and then not publicly stand by them is worse than not hiring a trans person at all. I have been ridiculed in public, I’ve been followed and I have felt a loneliness that I wouldn’t wish on anyone,” Mulvaney said.
After Mulvaney went public with the criticism, Anheuser-Busch hit back to say it was “committed to the programs and partnerships” they have forged with the LGBTQ+ community.
“As we move forward, we will focus on what we do best – brewing great beer for everyone and earning our place in moments that matter to our consumers,” the company said.
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