Modelo Especial takes the lead as the best-selling beer brand in the United States.

In May, Bud Light experienced a significant decline in sales, causing it to lose its position as the top-selling beer brand in the nation. According to consumer behavior data analytics firm Circana, parent company Anheuser-Busch InBev (ABI) sold $297 million worth of Bud Light for the four weeks ending May 28, a 23% drop compared to the previous year. In contrast, Modelo Especial claimed the top spot in May with $333 million in sales, representing a 15% increase from 2022.

The decline in Bud Light sales can be attributed to a promotion debacle involving TikTok star Dylan Mulvaney, who is a trans rights activist and actress. This sparked outrage among conservatives, including Kid Rock and Travis Tritt, who called for a boycott of the popular beer. Anheuser-Busch’s Global CEO, Michel Doukeris, mentioned on an investor call that Budweiser continued to face backlash related to the episode, partly due to the public mistakenly believing the brand had a long-term partnership with the social media influencer.

Following the controversy, Anheuser-Busch faced further backlash from the LGBTQ+ community when the company attempted to distance itself from the campaign. Some bars even removed all Anheuser-Busch products from their menus. An immediate response from ABI was not available at the time of the request for comment.

Achieving a “Serious Course Correction”

Despite experiencing a decline in sales, Bud Light remains a highly popular beer brand and has sold more cases than any competitor so far this year. However, the Mulvaney fiasco puts its leading position at risk, according to Bump Williams Consulting, an alcohol industry tracking firm. Dave Williams, Vice President of Analytics and Insights at Bump Williams Consulting, explained that unless Bud Light can successfully turn its performance around and win back consumers, its stronghold on the top rank will continue to weaken. However, Williams emphasized that if Bud Light manages to reverse its sales decline, the brand stands a chance of regaining its top spot.

Modelo Especial, a pilsner-style lager with roots dating back nearly 100 years in Mexico, ranked first in May. Constellation Brands acquired Modelo from ABI in 2013 and has since prioritized its sales, ensuring stores never run out of stock, according to Williams.

According to Circana, the top-selling beer brands in the U.S. in May were:

• Modelo Especial ($333.1 million)
• Bud Light ($297.3 million)
• Michelob Ultra ($267.6 million)
• Coors Light ($241 million)
• Miller Lite ($216.4 million)

Constellation plans to further increase Modelo’s sales by introducing the brand to new consumers through enhanced distribution and increased presence at retail.

Summer Sales and Competition

The upcoming summer months will be crucial for Bud Light’s sales as they coincide with more holidays and increased beer consumption. Breweries typically leverage this season to enhance their in-store displays at grocers and gas stations. Bump Williams Consulting’s Dave Williams stated that companies invest significantly in being prominently displayed and top of mind during this season, as there is limited floor space, consumer spending, and beer occasions to fulfill. Failing to seize these opportunities makes it nearly impossible to fully recover the lost potential for the rest of the year.

One place where Bud Light will not face shortage is Friends in Low Places, a bar in Nashville owned by country music singer Garth Brooks. During a live Q&A event with Billboard, Brooks declared that they would serve every brand of beer, emphasizing their commitment to inclusive behavior. Anyone unwilling to comply is encouraged to take their business elsewhere.