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Bud Light fumbles, but experts say inclusive ads will stay

Bud Light may have fumbled its attempt to broaden its customer base by partnering with a transgender influencer. But experts say inclusive marketing is simply good business 含羞草研究社 and it含羞草研究社檚 here to stay.

Bud Light may have fumbled its attempt to broaden its customer base by partnering with a transgender influencer. But experts say inclusive marketing is simply good business 含羞草研究社 and it含羞草研究社檚 here to stay.

含羞草研究社淎 few years from now, we will look back on this 含羞草研究社榗ontroversy含羞草研究社 with the same embarrassment that we feel when we look back at 含羞草研究社榗ontroversies含羞草研究社 from the past surrounding things like interracial couples in advertising,含羞草研究社 said Sarah Reynolds, the chief marketing officer for the human resources platform HiBob, who identifies as queer.

On April 1, transgender influencer Dylan Mulvaney posted a video of herself cracking open a Bud Light on her Instagram page. She showed off a can with her face on it that Bud Light sent her 含羞草研究社 one of many corporate freebies she gets and shares with her millions of followers.

But unlike the dress from Rent the Runway or the trip to Denmark from skincare brand Ole Henriksen, Bud Light含羞草研究社檚 partnership with Mulvaney angered some customers and hurt sales, while the brand含羞草研究社檚 lack of support for the influencer infuriated the very people it was trying to reach.

Three days after Mulvaney含羞草研究社檚 post, Kid Rock posted a video of himself shooting cases of Bud Light. Shares of Bud Light含羞草研究社檚 parent, AB InBev, temporarily plunged and the company issued a terse statement in response to the controversy.

This week, Anheuser-Busch 含羞草研究社 AB InBev含羞草研究社檚 U.S. subsidiary 含羞草研究社 confirmed that Alissa Heinerscheid, its vice president of marketing, and her boss, Daniel Blake, are . The company won含羞草研究社檛 say when they will return or whether they含羞草研究社檙e being paid.

For some, the partnership went too far at a time when transgender issues 含羞草研究社 including and 含羞草研究社 are a .

含羞草研究社淲hether the issue is trans people or anything else, the majority of consumers are pretty vocal about the fact they don含羞草研究社檛 want brands lecturing them or stuffing politics or social issues down their throat,含羞草研究社 said John Frigo, the head of digital marketing for Best Price Nutrition. 含羞草研究社淚f you sell beer, just make beer and leave it at that.含羞草研究社

But others 含羞草研究社 including Heinerscheid herself 含羞草研究社 say reaching out to younger and more diverse consumers is crucial. According to a 2021 Gallup poll, 21% of people in Generation Z identify as lesbian, gay, bisexual or transgender, compared to 3% of Baby Boomers. Gallup has also found that younger consumers are the most likely to want brands to promote diversity and take a stand on social issues.

含羞草研究社淚 had a really clear job to do when I took over Bud Light. And it was, this brand is in decline. It含羞草研究社檚 been in decline for a very long time. And if we do not attract young drinkers to come and drink this brand, there will be no future for Bud Light,含羞草研究社 Heinerscheid said last month in an episode of Apple含羞草研究社檚 含羞草研究社淢ake Yourself at Home含羞草研究社 podcast.

Bud Light and Mulvaney declined requests to talk to The Associated Press for this story.

Bud Light has long been America含羞草研究社檚 best-selling beer. But its U.S. sales are down 2% so far this year, part of a long-running decline as younger consumers flock to sparking seltzers and other drinks, according to Bump Williams Consulting. Those sales declines in April. The week ending April 15, Bud Light含羞草研究社檚 sales dropped 17% compared to the same week a year ago. Meanwhile, rivals Miller Lite and Coors Lite both saw their sales jump more than 17%.

Marketing experts say it含羞草研究社檚 possible Bud Light含羞草研究社檚 experience will cause other brands to rethink using transgender people in their advertising. Joanna Schwartz, a professor at Georgia College and State University who teaches a course on LGBTQ+ marketing, said companies will still want to reach transgender consumers and their supporters, but might shift to social media and more targeted ads.

含羞草研究社淭hey含羞草研究社檙e walking an extremely fine line. They want to appeal to everyone, but that includes people who don含羞草研究社檛 like each other,含羞草研究社 Schwartz said of Bud Light.

Still, Schwartz said, there are plenty of brands that have successfully featured transgender or non-binary people in their marketing. In 2016, Secret deodorant ran an ad featuring a transgender woman in a bathroom stall, debating whether to walk out and face other women at the sink. Pantene shampoo has run ads and short films supporting transgender people in 2021 as part of its Hair Has No Gender project. And Coca-Cola含羞草研究社檚 2018 Super Bowl ad featured young people using different pronouns to describe themselves.

Thomas Murphy, an associate professor of branding at Clark University, said he tells brands that want to be inclusive to run ads with real people who can talk about the company含羞草研究社檚 efforts.

含羞草研究社淭hey can have employees who say, 含羞草研究社業 love Bud Light. I have worked here for 20 years, there are inclusive programs and I came here because I wanted a company that would embrace me,含羞草研究社櫤卟菅芯可鐫 he said. 含羞草研究社淲ho couldn含羞草研究社檛 see and hear that person and say, 含羞草研究社榃hat a great company含羞草研究社?含羞草研究社

Instead, Bud Light wound up alienating even transgender customers because it didn含羞草研究社檛 support Mulvaney after the boycott calls began, Schwartz said. Anheuser-Busch CEO Brendan Whitworth issued a statement on April 14 but it didn含羞草研究社檛 specifically mention the controversy.

含羞草研究社淲e never intended to be part of a discussion that divides people,含羞草研究社 Whitworth said.

By comparison, Nike 含羞草研究社 which also faced some boycott threats after sending workout clothes to Mulvaney 含羞草研究社 supported the transgender community in an Instagram post, encouraging followers to be kind and inclusive. Nike didn含羞草研究社檛 respond to requests for comment.

Manveer Mann, an associate professor of marketing at the Feliciano School of Business at Montclair State University, said Bud Light should have anticipated the backlash and had a plan in place to handle it.

Nike learned that lesson in 2018, when it 含羞草研究社 who had protested police brutality by kneeling during the national anthem 含羞草研究社 in its ads. Mann said Nike briefly faced boycott threats, but it stood by Kaepernick and its sales quickly recovered.

Mann thinks Bud Light含羞草研究社檚 sales will ultimately recover, too. But in the meantime, it含羞草研究社檚 alienating everyone, she said.

含羞草研究社淭he communication from Bud Light is not clear. Is this coming from your value set or are these things just trending?含羞草研究社 Mann said. 含羞草研究社淵ou have to know what your values are and what are the values of the customers you are trying to reach.含羞草研究社

Dee-ann Durbin, The Associated Press

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