Saturday, July 15, 2023

When consumers boycott your product

The drama around the #1 marketing disaster of the decade continues.

In case you missed it, here's the long story short:

Bud Light's core consumer base didn't like its transgender ad campaign, and the brand finally dropped out of America's "Top 10 beer brands" list after a multi-month boycott.

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The brand's stock has been range bound for a while. But we won't know the extent of the damage until its parent company Anheuser-Busch releases earnings on July 27th. 

The truth is Anheuser-Busch is the world's #1 brewer and sells more than 100 beer brands in the U.S. alone. So, I don't think the boycott will hit the company hard. 

Still, if earnings reveal lower-than-expected numbers for the Budweiser division… 

There'll be a few profit opportunities as big money flows in and out of companies based on their decision to include or exclude L.G.B.T.Q communities in their ads.

If you're interested, here's a breakdown of how we leverage such opportunities.

To your trading success,

Steve Place

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