Why is there a Budweiser ad in BYO mag?

Alright I just went to my mailbox and found this months (July/Aug 2008) BYO magazine. Score! So after I made myself some lunch I sat down and started reading... On page 7 there is a full page Budweiser "The Great American Lager" ad! At first I thought it was knock off ad or something that was supposed to look like a Bud ad, but no. Then I thought maybe it was a joke, but April Fools was a couple months ago. Is BYO hurting for ad space or money that bad?

DrinksWellWithOthers said:

Alright I just went to my mailbox and found this months (July/Aug 2008) BYO magazine. Score! So after I made myself some lunch I sat down and started reading... On page 7 there is a full page Budweiser "The Great American Lager" ad! At first I thought it was knock off ad or something that was supposed to look like a Bud ad, but no. Then I thought maybe it was a joke, but April Fools was a couple months ago. Is BYO hurting for ad space or money that bad?

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I guess because Anheuser Busch is the Leading advertiser for beer in the world. The always have money to throw around.

If AB wants to pay for the ad space, why would BYO turn them down?

money talks

Although most of us avoid BMC, there are times when you are forced into it. They'd rather you chose them over M or C or something from InBev, etc.

They also know that Homebrewers are opinion makers, so any goodwill we can throw their way can help their bottom line.

Sort of in the vein of saying to your BMC buddies, "Well if you're going to drink a commercial mainstream beer at least drink the Michelobe Amber..." ect.

I just found it odd that the one brewing co to have ad space in BYO would be Budweiser. I wasn't trying to come off as bent out of shape or anything. I don't really care who advertises; I subscribe for the content of the magazine. Just thought it was a little weird.

I was taken aback a bit too until I thought about it. Bud is not having a good year.

If it keeps the cost down, so be it! I saw that and the whole "American Lager" thing and kind of laughed, but it also made me think about American Premium Lager and how I would go about making one, so it served its purpose! I just hope they charged them an arm and a leg for the ad.

What difference does it make if they advertise? Lowers costs for us, lets them spend money. And you know 90% of those reading aren't going to drink it so...

DrinksWellWithOthers said:

Why is there a Budweiser ad in BYO mag?

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Maybe they want to support homebrewers and the beer industry?

They do more than brew bud/bud light. They are part owners of Red Hook. They own distributors that distribute micro/craft brews.

They've actually been advertising in BYO and other mags for a few years under the radar. HeresToBeer.com is run/owned by AB.

I think the "Great American Lager" campaign is to get you ready for the "Bud American Ale" campaign coming this fall. Also if I drink a BMC it is an AB product or something they distribute - when I can't find something more interesting that is!

I'd take their money. The Great American Lager brewed by a Belgian company!

The BMC companies spend a lot of money lobbying lawmakers to keep alcohol taxes low, fight sales restrictions, and generally keep the neoprohibitionists and anti-alcohol religeous conservatives at bay. Do you think Dog Fish Head or Russian River has that kind of clout? Nope. I won't drink BMC beer, but I'm glad they are there and I don't mind looking at their ads.

I can totally understand being surprised (I would be too), but magazine profits are based on advertising revenue, not subscription rates. If I was responsible for selling ad space at BYO I would want Bud as a sponsor, they can pay more for premium ad placement and if they get a good response from running the ad they are likely to pay for longer term placement as well.

I think it was a poor choice to advertise Bud in BYO as most of those customers are not Bud customers but why wouldn't BYO take the money.

However I do enjoy AB commercials. They are usually the best ones to watch during football season which is the only time I will sit through a commercial.

Craig

Beerrific said:

Maybe they want to support homebrewers and the beer industry?

They do more than brew bud/bud light. They are part owners of Red Hook. They own distributors that distribute micro/craft brews.

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I agree. Their distribution network only helps craft beers that manage to get into it. Also, I believe the ad said something along the lines of "when you're going to drink an american lager make it bud..." or something like that. They're not saying only drink Bud. They are actually recognizing that readers don't usually drink light beer, and saying, when you do...drink ours. Nothing wrong with that.

Beerrific said:

Maybe they want to support homebrewers and the beer industry?

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Hey, maybe they will release their massive excess of panic bought Czech Hops for sale to craftbrewers!

But Coors owns Blue Moon.

What difference does it make who advertises in the pages? Do you read BYO for the ad's? Will you stop reading because Budweiser has leaked through?

The real quaestion here is why haven't I gotten my copy yet?

Beerrific said:

They own distributors that distribute micro/craft brews.

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Technically, they don't own any distributors. But given their market share (and marketing budget), AB wields a lot of clout with their wholesalers and distributors.

money talks bullsh*t walks. They dont care who puts an ad in there as long as its paid for.

I noticed that! I was kind of thinking that too. I like how the ad got really in-depth into how they brew their beer and the quality ingredients they use, etc., like they really were trying to sell it to the craft brew crowd.

Brewmando said:

I think the "Great American Lager" campaign is to get you ready for the "Bud American Ale" campaign coming this fall.

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Why does this wording remind me of the episode of Family Guy where Lois runs for mayor?

Nine...... Eleven!

It is one of the BJCP styles. I noticed Hoegaarden picked up a full page ad as well.

Whatever keeps the subscription rate low works for me.

I think I have purged BMC from my conciousness because I never noticed the ad.

I talked to a Bud sales rep at a beer tasting here in town. They have come out with a bunch of "micro" brews to penetrate the market. They have correctly identified the specialty beer market as the fastest growing segment of the business. The ad seems perfectly in line with what the market is doing.

Aubie Stout said:

I talked to a Bud sales rep at a beer tasting here in town. They have come out with a bunch of "micro" brews to penetrate the market. They have correctly identified the specialty beer market as the fastest growing segment of the business. The ad seems perfectly in line with what the market is doing.

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+1. I think this is just the beginning of seeing AB in craft/homebrew circles. I can see their marketing team meetings... "We're losing X% of the market every year to craft brewers. We need to invade craft brew circles and get back our market share!"

3-5 years from now, you'll see posts on this forum like, "Have you tried the new Bud Kolsch? It's not bad!"

This is all fine. We just need to be careful so AB doesn't become the Microsoft of beer.
(EDIT: or is it InBev now, or Grupo Modelo?)

I talked to a Bud sales rep at a beer tasting here in town. They have come out with a bunch of "micro" brews to penetrate the market. They have correctly identified the specialty beer market as the fastest growing segment of the business. The ad seems perfectly in line with what the market is doing.

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I think if Bud wants to advertise in BYO then fine, but I don't think they should be trying to advertise The Great American Lager and include paragraphs trying to make it sound like it was craft brewed. I think its a waste of advertising money; we've all had Budweiser and know what it tastes like. However, it would make more sense if they were advertising some "Micros" they've been working on. Beers like that would be more relevant to the homebrewing crowd.

DrinksWellWithOthers said:

I think if Bud wants to advertise in BYO then fine, but I don't think they should be trying to advertise The Great American Lager and include paragraphs trying to make it sound like it was craft brewed. I think its a waste of advertising money; we've all had Budweiser and know what it tastes like. However, it would make more sense if they were advertising some "Micros" they've been working on. Beers like that would be more relevant to the homebrewing crowd.

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Regardless of what you happen to think, I can assure you, beyond a shadow of a doubt, AB has done more market research than you can imagine, and their advertising department has figured this one out down to the last tiny detail, even the font type.

Evan! said:

Regardless of what you happen to think, I can assure you, beyond a shadow of a doubt, AB has done more market research than you can imagine, and their advertising department has figured this one out down to the last tiny detail, even the font type.

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Just look at all the EAC buzz they have created here.
We all just secured someone's bonus.

Evan! said:

Regardless of what you happen to think, I can assure you, beyond a shadow of a doubt, AB has done more market research than you can imagine, and their advertising department has figured this one out down to the last tiny detail, even the font type.

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I think you are right about that. I'm convinced that they are more concerned with "branding", "product placement", and "market penetration" than they are with producing a beer of character that will actually be enjoyed by people who know good beer.

Personally, I don't think that you can make the automatic assumption that hombrewer= exclusive craft beer enthusiast. Many homebrewers I know (and many here) drink BMC products on a regular basis..hell, I drink my fair share of miller lite during the summer. We are a market to be persuaded/marketed to just like any other.

Laurel said:

But Coors owns Blue Moon.

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Doesn't Molson of Canada own Coors???

homebrewer_99 said:

Doesn't Molson of Canada own Coors???

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I dunno. It just says something about Golden Colorado.

If I buy cheap beer, you can bet it's Molson Canadian!

AB knows they are advertising to a 100% audience.

Meaning, 100% of the audience reading the magazine uses/consumes their type of product. Their market research probably indicated the financial payoff is worth the cost.

I think of it like this: They pay for advertising which keeps the price of the magazine down. If I want to get some "American Lager" someday, and if I remember this ad, I'll be more likely to buy an AB product just because their advertisement saved subscribers money.

homebrewer_99 said:

Doesn't Molson of Canada own Coors???

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They merged and are now called MolsonCoors, with dual HQs in Montreal and Golden, IIRC. So I guess you can say they own each other.

I couldn't believe it either ...

we cld all send a letter to the editor I suppose ... I think they must be desperate to be letting them advertise there ... I was disappointed, the same way I always am in the taste of their beer .

But Coors owns Blue Moon.

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Yes

Doesn't Molson of Canada own Coors???

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Yes, they merged in 2005.
Miller is owned by South African Breweries (SAB) who bought them in 2002 and renamed themselves SABMiller.

we cld all send a letter to the editor I suppose ... I think they must be desperate to be letting them advertise there

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That's silly, Why would you send a letter asking them to take an action that would cut their profit leading to either higher subscription prices or lower the quality of their product. They are a business, they exist to make money. AB pays for that space.

kappclark said:

we cld all send a letter to the editor I suppose ... I think they must be desperate to be letting them advertise there ... I was disappointed, the same way I always am in the taste of their beer .

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Why? What horrible offense has been committed that requires protest?