Anheuser-Busch is claiming bragging rights in the beer business. Its popular brand Michelob Ultra became the No. 1 selling beer in America over the past 52 weeks.
How Anheuser-Busch became No. 1
Ultra overtook Modelo for the top spot, according to data provided by technology platform Circana, which tracks packaged goods sales. Circana’s report said that Ultra “stands out as the growth leader in the industry” and shows no signs of slowing down.
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Anheuser-Busch introduced Michelob Ultra in 2002 and has gained over 2% of market share in the last five years.
Recovery from Bud Light backlash
The top billing marks a big turnaround for Anheuser-Busch, which suffered from consumer backlash in 2023 after launching a campaign for its Bud Light brand, centered on transgender influencer Dylan Mulvaney. Some conservative groups and beer drinkers initiated a boycott of Bud Light, which saw sales plummet. At the time, Bud Light was America’s top-selling beer.
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According to Anheuser-Busch, Michelob Ultra sales have grown by 15% and the company has gained 2% of the market in the last 5 years, overtaking Modelo to become America’s most popular beer.
Modelo’s fall
Michelob Ultra’s No. 1 billing is also a blow to Constellation, which owns Modelo and Corona. Modelo had owned the top spot since June 2023, after it knocked Bud Light from its two-decade perch as top dog.
However, Constellation has also run into some headwinds. Analysts say about half of Constellation’s sales are to Hispanic customers. The company recently cited a “challenging macroeconomic environment” in assessing its full-year outlook. More specifically, Constellation believes that falling beer sales are due in part to the Trump administration’s crackdown on immigration, resulting in fewer trips to the grocery store and thus fewer beer sales to its customers.
Looking ahead
Looking ahead, Anheuser-Busch aims to capitalize on its momentum with the recent launch of Michelob Ultra Zero, a nonalcoholic beer.
