Anheuser-Busch InBev UK launches Budweiser Brew No. ‘66’ – an innovation set to revolutionise the beer category

Anheuser-Busch InBev UK President Stuart MacFarlane has announced the launch of Budweiser Brew No. ‘66’ calling it “a continuation of a winning strategy and our most important business action in 2010.”

MacFarlane outlined the case for innovation in beer – and why Budweiser is the right brand to innovate:

“The opportunity for innovation in beer is huge: consumers, and in particular consumers in their early twenties are looking for something new and different – and it’s up to us to continue providing compelling product offers that reflect their needs and tastes.”

MacFarlane continued, “As a brand that consumers know and love, Budweiser is in a fantastic position to launch such an innovation. Budweiser had a phenomenal year in 2009 – as part of the newly combined Anheuser-Busch InBev, Budweiser grew volume sales by 19 per cent1 and market share by 18.9 per cent2. This is exceptional growth and Budweiser is on track for another fantastic year in 2010, having ended February 2010 with the brand’s highest annual volume share performance in the last 8 years3.”

“More importantly, Budweiser is a great brand, known and loved by consumers as a young brand, a fun brand, and a brand that represents the best elements of its American heritage: easy going sociability and good times with friends. For our target consumer, Budweiser is both engaging and relevant, and we’ll draw on this strength as we launch Bud ‘66’.”

MacFarlane revealed the winning concept: “Bud ‘66’ is the result of extensive research and testing to create a product that will resonate with consumers. It is an ultra refreshing beer specifically developed to appeal to consumers in their early twenties. A lightly carbonated lager brewed with a touch of sweetness for a smooth, easy taste at 4% abv, Bud ‘66’ is a winning concept. Inspired by the lengths our brewmasters go to create the perfect beer, we named it Budweiser Brew No. 66 after the winning recipe number that had the perfect balance of ingredients creating the taste we know consumers will love.”

MacFarlane emphasised as well AB InBev UK’s strong track record of successful innovations: “Over the past several years, AB InBev UK have demonstrated not only the importance of innovation, but also our strength in understanding changing consumer tastes and developing innovations to address consumer needs.”

Over the past few years, AB InBev UK has catered to the premiumisation trend with the launch of Beck’s Vier and Stella Artois 4%.

Beck’s Vier has been an excellent counterpart to Beck’s Bier, and together with Beck’s Blue has supported brand growth since its introduction. In 2009, on-trade distribution of Beck’s Vier grew by 20%, while volume grew by 8%.

Stella Artois 4% was the most successful launch of 2008 and, supported by award winning advertising campaigns, has helped to drive growth for the Stella Artois family.

MacFarlane continued, “I’m proud of the way AB InBev UK have demonstrated the power of innovation in addressing consumer needs, and Bud ‘66’ will be no exception. While Bud ‘66’ will play a different role – as a complement to the master brand, but also as a catalyst for bringing new consumers to the beer category – it will share with these other successful innovations a strong and compelling link to the master brand. And, just like these launches, we anticipate that the “halo effect” from its launch will support continued growth of Budweiser in the UK.”

MacFarlane concluded, “The opportunity here is huge: we know from our research that the industry has more work to do in addressing the changing landscape of our industry in order to keep consumers interested in variety loyal to our brands. With Bud ‘66’, we’re confident we’ve created a product that consumers will love.”

Later this year, AB InBev UK will unveil more detail around multi-million pound launch programme for Bud ‘66’, designed to engage consumers and drive trial and sales.

Launching this summer, Budweiser Brew No. ‘66’ is set to be the big news story in beer this year.