Boycott of Bud Light having an effect

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Bud Light sales dropped for a third week in April following backlash over a partnership between the beer brand and a transgender influencer, according to industry monitors.

Figures from trade newsletter Beer Business Daily, cited by Barron's, show sales of the beer outside of hospitality premises fell 26 percent in the week ending April 22, compared with the same time a year ago.

This follows reports last week that Bud Light had seen a 17 percent decline in sales revenue since the controversy began, with beer sales volume contracting 11 percent in the week ending April 8 and 21 percent in the week ending April 15.

Those who have called for a boycott of the brand have celebrated the news as a further sign that their action was having an impact on the company, which has faced accusations of alienating its traditional customer base.

On April 2, Mulvaney posted a video to her 1.7 million Instagram followers in which she explained that Bud Light had sent her a personalized can with her face on to commemorate 365 days of being a woman. Mulvaney promoted the beer on her social media channels in other videos.

Following the boycott calls, supporters of Kari Lake, the Donald Trump-backed GOP candidate for Arizona Governor in 2022, refused to drink the beer at an open bar at a rally in Iowa. Elsewhere, a bar owner in Kentucky said he had noticed the drink sparking rows between patrons. Other licensed venues have withdrawn the beer from sale.

Bud Light and its parent company, Anheuser-Busch, have made few public interventions since the controversy began, and two top marketing executives have taken a leave of absence. In an April 14 statement, Brendan Whitworth, the brewery's CEO, said: "We never intended to be part of a discussion that divides people."

While marketing strategists have said there is little the company can do to weather the backlash at present, industry figures suggest that the decline in sales of Bud Light in recent weeks had been absorbed by its competitors: as the beer brand's dollar revenue dropped 17 percent, sales in Coors Light and Miller Lite rose by a similar amount, Beer Marketer's Insights reported.

Beer Business Daily said Sunday the latest results revealed a "shocking deterioration" in Bud Light's market share, adding: "We've never seen such a dramatic shift in national share in such a short period of time."

While many have linked the recent drop in sales to the backlash over Bud Light's partnership with Mulvaney, there may be other contributing factors. In a story on Friday, the Washington Post argued the "real reason" sales were dropping was because of a massive rise in Mexican beer imports, which it said had been facilitated by an Obama-era anti-trust action that limited Anheuser-Busch's domination of the market.

A recent poll conducted on behalf of Newsweek showed the vast majority of Bud Light drinkers would continue to purchase the beer—however, 12 percent said they wouldn't, which would mark a potentially sizeable hit to sales.

Any opinion on Duff, Pawtucket, or Alamo?

BRB, gonna spend my entire paycheck on Bud Light to own the cons

Critics of Bud Light burned empty beer boxes and fired bullets at cans as part of an anti-trans backlash against the brand that erupted early last month. Since then, the anger has grown.

Sales of Bud Light have recorded declines for six consecutive weeks after a product endorsement from Dylan Mulvaney, a transgender influencer, set off ire among many conservatives.

Consumer boycotts typically fizzle but this one has expanded for an array of reasons: a hot-button political controversy over a product with ample alternatives, outcry from political figures and celebrities and amplification on social media, experts told ABC News.

The boycott grew even larger, meanwhile, after the initial response from the company was perceived as conciliatory by some LGBTQ advocates, prompting a wave of frustration on the left, the experts added.

"Generally, boycotts get called and have very little effect," Gerald Davis, a professor of organizational behavior at the University of Michigan Graduate School of Business. "For now, everybody is mad."

Sales of Bud Light fell nearly 25% over the week ending on May 13 compared to the same period a year ago, according to data from Bump Williams Consulting and Nielsen NIQ obtained by ABC News.

The most recent decline showed a deepening of losses after a drop of some 23% the week prior compared to a year ago and a roughly 7% year-over-year drop for the week ending on April 9, soon after the boycott began, the data showed.

Meanwhile, sales of rival beers have surged. Sales of Coors Light jumped almost 23% over the week ending on May 13 compared to a year ago; while sales of Miller Lite climbed 21% over that period, the data showed.

"In the beer world, there are thousands of other options readily available at similar price points," Anson Frericks, a former Anheuser-Busch executive, told ABC News. "Every grocery store and bar usually has the other options."

In all, the stock price for Anheuser-Busch InBev, the maker of Bud Light, has fallen about 11% since Mulvaney posted the brief Instagram endorsement video that sparked the backlash.

The company also placed two executives who oversaw the endorsement of Mulvaney's Instagram post on leave, the Wall Street Journal reported last month.

The response drew sharp criticism from some LGBTQ advocates who considered it a capitulation to the backlash. The Human Rights Campaign, the nation's largest LGBTQ advocacy organization, suspended the company's Corporate Equality Index score, USA Today reported on Thursday. Previously, the company scored 100, the top rating.

The scale and longevity of the backlash also underscore the intensity of anti-trans sentiment among conservatives, experts said.

As of last week, more than 520 anti-LGBTQ bills had been introduced in state legislatures, including over 220 bills specifically targeting transgender and non-binary people, the Human Rights Campaign found.

"This anti-woke agenda and the idea of trans rights broadly has become a wedge issue," Maurice Schweitzer, a professor at the University of Pennsylvania's Wharton School of Business who studies consumer movements, told ABC News. "It has gained and attracted a great deal of attention."

Anheuser-Busch InBev stands in a difficult position as it faces frustration on both sides of the political spectrum, said Davis, of the University of Michigan.

"A dynamic has been set in motion that's going to be very complicated for the company to navigate," Davis said. "What stance could they take now that would make one side or the other say, 'Oh, OK'?"

What a bizarre way for people to out themselves as hateful bigots.

Salespeople promoting Bud Light for a Florida–based distributor have grown accustomed to car horns, middle fingers and jokes amid a weekslong boycott, but say they have struggled to ignore thousands of dollars in lost commission pay, two sales supervisors at the distributor told ABC News.

A typical salesperson at the distributor made roughly $2,000 less in May than he or she would have over each of the previous two years, suffering primarily from a decline in Bud Light sales that reached as much as 60% over the week ending on Memorial Day, the sales supervisors said.

"This has really, really killed a lot of the guys who are commission-based. That's who it's really hurting," one supervisor said. "There's nothing they could've done -- this was thrown in their faces."

A consumer boycott of Anheuser-Busch InBev over a promotion in April from a trans influencer has pummeled the company's stock, but it has also brought financial pain for thousands of salespeople at independent distributors nationwide, many of whom depend largely on performance-based pay, former Anheuser-Busch InBev executive Anson Frericks told ABC News.

Sales of Bud Light have recorded declines for seven consecutive weeks after a product endorsement from Dylan Mulvaney, a transgender influencer, sparked backlash among many conservatives.

Those losses have slashed the income of salespeople who work for roughly 500 independent wholesalers that sell Anheuser-Busch beverages to restaurants, bars and grocery stores, according to interviews with two distributors, two sales supervisors and Frericks.

The sales supervisors and distributors declined to share their names because they didn't want to be publicly identified speaking about the financial consequences of the boycott.

Compensation for salespeople differs widely between different distributors, but a typical salesperson makes about $60,000 a year, including $20,000 in variable pay that depends largely on commission, said Frericks, who left Anheuser-Busch InBev last year.

"Good people are going to start leaving because they aren't making money," Frericks told ABC News.

On an earnings call last month, Anheuser-Busch InBev CEO Michel Doukeris acknowledged the strain that the boycott has placed on workers in the field.

"This situation has impacted our people and especially our frontline workers: The delivery drivers, sales representatives, our wholesalers, Bud owners and servers," Doukeris said.

"These people are the fabric of our business. They are our neighbors, family members, and friends. They are in every community in America," Doukeris added. "We've been doing everything we can to support our teams."

Anheuser-Busch said in a statement to ABC News that the boycott has had an impact but they remained committed to bringing people together.

Sales of Bud Light across the U.S. fell nearly 26% over the week ending on May 20 compared to the same period a year ago, according to data from Bump Williams Consulting and Nielsen NIQ reviewed by ABC News.

At an Anheuser-Busch distributor in the Midwest, nine salespeople rely on commission for roughly two-thirds of their pay, the president of the distributor told ABC News.

The salespeople sustained overall sales declines in May of between 6% and 26% compared to the same month a year prior, which translates into losses ranging from $200 to $900, the president added.

At a meeting with the salespeople earlier this month, the president told them, "None of this is your fault and none of this is my fault," he recounted. He vowed to pay them each a lump sum that would put their income for last month at or above where it would have stood without the losses.

"I'm frustrated that this has [dragged] on as long as it has," the president of the distributor said. "I'm hopeful that we're moving in the right direction."

Anheuser-Busch InBev also provided financial support for frontline workers at independent distributors, Doukeris said on the earnings call last month. The company provided $500 for each employee and additional ad spending last month, the Wall Street Journal reported.

To be sure, some Anheuser-Busch salespeople at independent distributors depend on little or no sales commission.

The owner of a different distributor in the Midwest said the company previously paid salespeople entirely on commission but stopped the practice in recent years because sales varied significantly between the strong summer months and weak winter ones.

"My employees haven't been hurt that bad on it," the owner said, referring to the boycott.

Maurice Schweitzer, a professor at the University of Pennsylvania's Wharton School of Business who studies consumer movements, said the losses for some salespeople at Anheuser-Busch distributors mark an unanticipated result of the consumer boycott.

"This has a disproportionate effect on a handful of people who had little or nothing to do with the decision that triggered people to be upset," Schweitzer told ABC News. "It has this cascade of unintended consequences."