Bud Light Falls to Third Place: Modelo and Michelob Ultra Lead the Pack
Bud Light, long America's best-selling beer, has fallen to third place. Modelo and Michelob Ultra now lead the market, reflecting a shift in beer preferences.
The bigger they are, the harder they fall. Once the reigning champion of American beers, Bud Light has been dethroned. Modelo Especial now holds the title of America’s best-selling beer, leaving Bud Light in its wake. Instead of reclaiming its top spot, Bud Light has continued to lose ground.
Recent sales data reveals Modelo dominates with 9.7 percent of the market share, followed by Michelob Ultra at 7.3 percent. Bud Light now sits in third place with 6.5 percent.
A Shift in Beer Preferences
It’s easy to blame Bud Light’s decline on the anti-trans backlash from a Instagram post featuring Dylan Mulvaney. However, this view overlooks a broader trend in American beer consumption.
In April, Bud Light faced a boycott led by conservative figures like Kid Rock after sponsoring Mulvaney’s post. Despite this, another Anheuser-Busch brand, Michelob Ultra, has seen a rise in popularity. Its success points to a growing preference for health-conscious, low-carb alternatives among American beer drinkers.
The Rise of Hard Seltzers and Non-Alcoholic Options
The beer market isn’t just changing within traditional categories. Hard seltzers have captured a significant portion of the market, diverting drinkers from beer. With numerous brands jumping on the hard seltzer trend, the category has remained strong, generating nearly $20 billion annually even after peaking in 2021. Some reports even suggest hard seltzers are the top choice among NFL fans.
Meanwhile, non-alcoholic beers are experiencing a surge in popularity. Sales during Dry January have soared from $13.5 million in 2020 to $42.7 million in 2024. Brands like Athletic Brewing are leading this charge. Athletic Brewing, which specializes in non-alcoholic beer, recently doubled its valuation to $800 million, proving that the non-alcoholic trend is here to stay.
What's Next for Bud Light?
Despite its slip to third place, Bud Light still accounts for 6.5 percent of all beer sales, indicating millions of loyal drinkers. However, its fall suggests a shift in consumer preferences towards beverages that are low in carbs, calories, and alcohol.
As American drinkers continue to seek healthier alternatives, Bud Light’s future remains uncertain. Will it adapt to these changing tastes, or will it continue to lose ground? Only time will tell.
