What Might Be On Tap For Drinkers After Purchase
A-B InBev has successfully tapped into SABMiller with a mega-deal worth $104 billion, combining two once-bitter rivals to create a “super brewery” that makes 30% of the world’s beer.
That’s a lot to swallow. And is this deal a good one for beer lovers?
It’s way to early to know for sure, but it carries potential ramifications well beyond what you’ll find stacked in the grocery stores and on tap at bars.
In The Bars & Sponsorship Affects
But we’ll start with the latter – what you’ll find on tap at the bars. Since Bud and Miller are no longer competing with each other, will they take one of those Bud Light or Miller Light taps and put in one of the craft beers, which both breweries have been buying of late?
That would be a winner for beer lovers. In fact, with craft beers a real thorn in the side for the big breweries, which has led to several acquisitions, you may see a lot more of them in bars at what were Bud-Miller tap handles.
And talk to anyone on the beer business and they will tell you that having tap handles in bars are a key to their sales. It’s the beer equivalent to shelf space in a grocery store to food products.
The A-B Miller deal could also affect advertising and sponsorship. Will the company be fighting for billboards in ballparks now that it has effectively eliminated the competition?
What affect will this have on sponsorship of local events? Will they be as aggressive as in the past to have their brands the exclusive beers at festivals? Both companies sponsor thousands of community events across the USA.
What about advertising? Will we see more In-Bev ads about all its brands rather than those for Bud, MIller Light and Bud Light?
And, of course, what does this monopoly mean for beer prices? In Bev still has to be competitive and with Heineken still a major player and Miller likely having to sell off Coors leaves that beer as a competitor.
This is definitely something of interest for beer lovers, because it could have a major impact on pricing and choices.