Busch Ad in the Super Bowl; Low, Low Branch Prices in SoCal on Subpremiums

Is subpremium becoming more of a battle ground between AB and MC?  AB will use one of its precious Super Bowl ad slots to advertise subpremium Busch, sources tell INSIGHTS. That’s a big departure from its perennial premium-and-above ad platforms in the Super Bowl. After all, this is very expensive real estate.  So why go there?   At same time, different AB branches in Southern Calif, not exactly a hotbed of subpremium sales, offered exceptionally low prices for 2 weeks 11/28-12/11.  Initially, these prices weren’t even offered to indy distribs, INSIGHTS hears. In response to inquiries, distribs reportedly told that these prices were “experiments.”  All these prices were at least several $$ below what independent distribs were charging. 

In Pomona, AB selling Bud Ice quarts for $14.40/case (12 qts); in Riverside, AB selling Natural Light and Rolling Rock 12-packs for $8.90; in San Diego, AB did all those discounts plus Cobra, Hurricane, Natty 25-oz cans ($11.25 for 15).  Indy-LA area distrib Straub also had 25-oz can promotion at $11.25.  But no other indy distrib so far doing these particular promos as far as INSIGHTS knows.  Meanwhile, both AB branches and indy distribs will have hot $13.20 12-pack premium prices next week and for 2 weeks in Jan.  Unclear at presstime whether these low subpremium prices happening in other geographies, possibly related to inventory or perhaps some other explanation. What’s going on?

Publishing Info

  • Newsletter: INSIGHTS Express
  • Published: 12/06/2016
  • Volume: 18
  • Issue #: 218