Beer Marketer's Insights - Michelob Ultra At 16 Share in 1 State, Under 6 in 20; Gained 6K Taps; Ultra Zero #2 NA

Michelob Ultra is gaining share in all 50 states YTD, said ceo Michel Doukeris on ABI conference call this morn. Michel gave new details on Ultra share to show it still has lotsa room to run. Ultra has a 16 share in its highest share state, Michel said, compared to an 8 share nationally. At same time, it's still under 6 share in 20 states. That's a "significant opportunity," said Michel. Meanwhile, Michelob Ultra Zero is already 2d largest NA brand, he added. Michelob Ultra itself is #1 beer brand by volume both on-premise and off, "selling 50% more in the on-premise than the next closest competitor and gaining 6,000 taps," said AB. AB's also #2 fastest growing spirits supplier, co said. And Cutwater is a top 10 spirits brand, with revs approaching half a bil in annualized retail sales, according to Michell. It was "built from scratch," said Michel, "very patiently," since AB bought it in 2019. AB built it in a "very relevant way," with consistency, the right price point, the right occasions and now the brand "has reached a tipping point," Michel said. (Michel didn't mention Cutwater challenge that went viral, exploding on social media but not in way any supplier could encourage.)Beyond Beer and NAs Each Up 27% Globally in Q3 ABI remains very high on Beyond Beer, up 27% in Q3 and growing to be 2% of its volume. It's a "huge addressable market" that is "bigger than beer" and "highly incremental," according to Michel. On avg, beyond beer products "sold at higher prices than the beer we have," so it has "higher" profit per hectolitre and per SKU. NA beers also grew 27% globally, ABI said. It has 3 of the top 5 brands in US and is the #1 player in the segment.Then too, Phorm Energy is finally an energy drink where "we are the majority owners," said Michel. Previously, ABI an "important component" for "some very successful brands" (Monster, Ghost) but never "majority owners." So now it's "very exciting," with "incredible partners" and "a great launch" but "just the beginning." As majority owner, AB can provide "commitment" and "investment," long-term. Phorm is now available in 13K c-stores nationwide, AB said separately, "supported by an additional $1 million investment to ramp up production at our Los Angeles brewery."

Michelob Ultra At 16 Share in 1 State, Under 6 in 20; Gained 6K Taps; Ultra Zero #2 NA

Publishing Info