Bud Light Boycott Drives US Sales Down for Beer Maker AB-InBev

A conservative boycott of Bud Light helped drive overall sales of parent company AB-InBev down sharply in the second quarter.

Overall sales in the U.S. fell by 10.5%, the company said in releasing its most-recent earnings statement Thursday. Overall sales to U.S. retailers were hit especially hard, falling 14%, which the company said underperformed the industry and was attributed to a decline in Bud Light sales.

Even as revenue fell in the United States, it grew in nearly every other country singled out in the earnings report. Anheuser-Busch's year-over-year revenue grew 9.4% in Brazil and 19.4% in China, for instance.

The beer giant is battling a conservative backlash after a promotional campaign with transgender influencer Dylan Mulvaney.

In April, Mulvaney posted a video that shared a customized can Bud Light sent her on the first anniversary of her transition.

Conservative commentators and politicians were quick to condemn the beer maker, while right-wing media personalities led a boycott of the brand. Meanwhile, prominent LGBTQ figures accused the Anheuser-Busch of failing to support their community after Mulvaney said the company ghosted her.

Two bottling plants in the South that supplied Bud Light bottles shut down during the quarter, and the company laid off 2% of its U.S. staff.

Competitors, meanwhile, have boasted that their products were outselling Bud Light for the first time in years.

In a conference call with investors, Anheuser-Busch executives said they are working to restore the consumers' trust.

CEO Michel Doukeris stressed the results of a survey of 170,000 customers that found 80% of consumers had a favorable or neutral view of Bud Light.

The results of that survey showed that customers want the brand to focus on partnerships with brands they love such as the NFL.

Bud Light sales have picked up recently, Doukeris said.

"We see a more stable share over the last couple of weeks," he said.

Sales of the company's other beers, which includes Stella Artois and craft beers Goose Island and Red Hook, helped boost revenue which grew 7.2% to $15.1 billion from $14.8 billion during the same three months last year. Total sales volume grew by 1.4%

Higher prices also helped the beer maker's profits, which climbed 5.5% to $8.1 billion.

The beer maker reported earnings per share of 72 cents, compared to 73 cents in the second quarter of 2022.