The objective of a communications campaign is action. We want to influence consumers’ perceptions and ultimately their behaviour – to get them to buy, take up a cause, or even just add our offering to their short-list.
When the quantum of a campaign’s response is flashed around the world, it intrigues me, as a communications professional, to find out the story behind the numbers. If you haven’t guessed yet, I’m talking about the Bud Light fiasco which is reported to have cost its parent company US$395 million in lost sales, caused Anheuser-Busch’s profit in the US to plunge nearly 30% and toppled the brand from its No 1. Spot in US beer sales.
What happened in a nutshell
Bud Light’s vice president of marketing at the time, Alissa Heinerscheid, is quoted as saying that America’s best-selling beer – which was in decline at the time -had an image that was “too fratty”.
As part of the brand’s March Madness sports campaign, a partnership was struck with a transgender social media influencer with millions of followers, Dylan Mulvaney. Mulvaney had shared her transition story with fans on social media and, in celebration of one full year since the start of her transition journey, the company sent her a six-pack of beer with her likeness on it. The cans were not commercially available and it’s a promo gimmick the beer company’s done with many influencers.
Mulvaney was identified as an influencer who would introduce the beer to a younger market. The deal was that Mulvaney would compose a 50-second Instagram video and an Instagram story post that disappeared after 24 hours – as part of a larger campaign as part of the partnership.
The partnership wasn’t a big deal as Anheuser-Busch says it works with hundreds of influencers across its brands as one of many ways to authentically connect with audiences across various demographics.
The reaction of conservatives who support the brand was swift, dramatic and public. For example, Kid Rock posted a video of himself shooting cans of Bud Light and country stars shunned the beer.
The brand fell silent, until, fifteen days after the posts, Anheuser-Busch CEO Brendan Whitworth issued a public statement which included the line, ‘We never intended to be part of a discussion that divides people. We are in the business of bringing people together over a beer.”
The Bud Light Case Study will spawn many lessons, a few quick takeouts spring to my mind:
- There are some mutually exclusive market segments and sometimes you have to choose.
- How the company handles a controversy is often as critical as the incident itself.
- Think upfront about whether something could spark controversy – and have a plan as to how you will react.
- Choose influencers that represent your brand – and not just because you want your message broadcast to their millions of followers. Under scrutiny – do the influencer’s and company’s values align? If they do, the company should be prepared to back them under fire.
- React quickly, things don’t always “blow over”.
- Respond at the appropriate level – the CEO addressed the issue as the impact went beyond the single brand.
- To prevent elevating the controversy, a crisis statement should include specific actions the company plans to take to remedy the situation.
Communication is a mighty tool, if you need help to use it to your company’s advantage, give me a call.
