In a marked change in operating strategy which highlights the recent trend toward focusing on the beer rather than the marketing, Anheuser-Busch is now letting its brewmasters experiment more than ever, and is seemingly preparing several malternative, hard tea, and beer brands for testing or rollout. A-B’s strategy of “letting a thousand flowers bloom” has kicked into high gear this year.
HARD TEA MADE EASY. First, A-B has achieved label approve from the TTB on several hard tea flavors, with an Intensitea line (identifying A-B as the maker) and another line called Evolve (which does not ID A-B as the parent).
HIGH ABV DRAFT BEERS. Recall that historically A-B has always identified itself, and actually used to criticize brewers who make up “fake” names. Today, A-B is clearly experimenting with different alternate names.
For instance, A-B has achieved keg label approval for an 8% abv beer called Frostbite Lager, brewed by Beechwood Brewing Group, St. Louis MO. A-B is also fronting a 12oz bottle of Mxologi Hurricane, a malternative with a whopping 12% abv, with Anheuser-Busch on the label. Another label is for a draft beer called Naughty Twins, a “double pilsner brewed by Anheuser-Busch, Inc.“, and Skipjack Amber Lager, a 5.5% abv with A-B on the label. Another beer is called Tarpon Spoon Bohemian Pilsner, also a draught beer.
It’s been apparent for some time that A-B is letting its brewmasters experiment more freely with different styles and techniques. Many of these may make their way into draught systems around the country.
In addition, A-B will be again fronting a Latino themed package for Bud and Bud Light 16oz aluminum bottles.
A-B / INBEV MERGER RUMORS ON WOBBLY GROUND. In Friday’s issue, we called the A-B / InBev merger talks rumors, based on a report in a Brazilian publication, a whole lot of bunk. While we think a merger could make sense, we don’t see these two talking at the moment. Still, several publications continue to propagate the rumor. But a report in Barron’s points out that in the past 90 days, seven top A-B executives and directors grossed $33 million disposing of nearly 652,200 shares of BUD on the open market. The simple fact remains that if merger talks were pending, it would be legally difficult for these execs and directors to sell shares. So while we may very well see merger talks somewhere down the road between these two gorillas, it’s not likely going on now. And the talk of a hostile takeover of A-B by InBev/Ambev is difficult to reconcile given that A-B’s shares are trading high and there’s not a lot of fat on the bone in St. Louis. InBev would sell the Clydesdales and Shamu, but would that help or hurt BUD long term?
STATE AGs WARN A-B ABOUT BUD.TV, AND SIMULTANEOUSLY HIT NEW LEVELS OF HYPOCRISY. In what I can only describe as typical political posturing, twenty-three state attorneys general, drunk on tobacco money and casting about for the next scapegoat, have written a tough letter to A-B, asking the brewer to step up its policing of consumers gaining access to Bud.TV, their $30 million content-driven website which already has the toughest standards for preventing underage access than any other alcohol website.
The state AGs are proposing several additional safeguards, like sending a postcard to the home or making a phone call to verify age.
COMMENTARY. Give me a break. What strikes me as eminently ridiculous and disingenuous about this letter is that the state AG’s have hardly lifted a finger to prevent underage access to web sites WHICH ACTUALLY SELL ALCOHOL, which have absolutely no or very little age-verification tools. But they will posture and strike a sanctimonious tone, saving our children from the evils of Bud.TV, a website which doesn’t even sell alcohol, but merely has some funny G-rated vignettes which are only benignly tied to beer at all.
THE EXPERIMENT: A TRUE STORY. To prove my point, yesterday afternoon I sat my thirteen year-old son, Harrison, at a computer and asked him to attempt to gain access to Bud.TV. After several tries, he could not gain access to the site. Finally, he figured out he could use my birthday (which he had to ask me) and my name. But again it rejected him because I had already signed up. So, yes, with some conniving he probably eventually would have gained access to, gasp, videos of chimps doing people’s jobs.
Then, I asked him to purchase a bottle of Everclear 190 Proof grain alcohol. After a quick Google search, he found a vendor called InternetWines.com. With his debit card (which he has as a part of his checking account) he purchased a 750ml bottle to be shipped to our house via UPS Ground, and the only age verification was a box that instructed him to “Enter Your Age at your Last Birthday”, to which he entered, 21. Where, I ask, are the Attorneys General now?
But I can rest easy at night knowing that my son will be saved from Vince Vaughn’s bad jokes on Bud.TV thanks to our country’s diligent AGs, but can easily purchase a $25 bottle of grain alcohol (not to mention call up any variety of deviant pornography you could possibly conceive, and some you can’t). No call for postcards sent to the house, no phone calls verifying age. Just the honor system. And yet this is happening with nary a wimper from politicians or judges on access control.
The 23 attorneys general who sent the letter are from Maine, Louisiana, Alaska, Arizona, Connecticut, Delaware, the District of Columbia, Illinois, Iowa, Kansas, Maryland, Nevada, New Mexico, New York, North Carolina, Ohio, Oregon, Puerto Rico, South Carolina, Tennessee, Vermont, West Virginia and Wyoming, and they should all be ashamed of themselves for going after A-B to make an easy political score, because A-B apparently has deeper pockets and a higher profile than InternetWines.com. Oh, deliver me please from the perfidy, the hypocrisy.
Thank goodness there are JUST SIX more days until the BBD Beer Industry Summit in Scottsdale where I can be free from politicians and drink beer with you, my favorite people, on the unlimited BBD Amex card. I am happy to report that we have sold out our fourth summit in a row, thanks to our speakers and our readers’ support, so the Amex should get quite a workout. See you at the Phoenician.”My grandmother is over eighty and still doesn’t need glasses. Drinks right out of the bottle.”
-Henny Youngman
——— Sell Day Calendar ———-
Today’s Sell Day: 14
Sell days this month: 20
Sell days this month last year: 20
This month ends on a: Wed.
This month last year ended on a: Tues
YTD sell days Over/Under: +1
