Will takeover force Bud to cut sports support?
LOUISVILLE, Ky. — Is the King of Beers ready to punt away its crown?
For years, the folks at Anheuser-Busch have spent lavishly to remind fans that nothing goes better while watching the big game than a 6-pack brought to you by (insert Harry Caray impersonation here) "your good friends at Budweiser."
Spuds MacKenzie. The Whassup Guys. Those creepy lizards. The Clydesdales. For decades, countless timeouts during every major sporting event from the Super Bowl to the Daytona 500 have featured classic commercials that are sometimes more memorable than the games themselves.
Yet in the wake of Anheuser-Busch's $52 billion deal with InBev SA, there's some speculation the thrifty Belgium-based company could slash some of the sports sponsorship and advertising deals that have made Anheuser-Busch brands a fixture in stadiums, living rooms and refrigerators across the country.
While InBev, whose corporate leaders opt to fly in economy rather than first class, tends to make money by finding ways to cut costs, experts don't think it would be wise to pull out of a sports market Anheuser-Busch has dominated for years.
"If they decide to go in a different direction, they could be playing with fire with the brand's long-term success," said Steve Solomon, a former TV executive who now helps run a New York-based sports entertainment company.
Anheuser-Busch has been quiet since the deal was announced earlier this week. A spokesman for Anheuser-Busch said Tony Ponturo, vice president of Global Media and Sports Marketing for Anheuser-Busch, declined to comment.
InBev Chief Executive Officer Carlos Brito said Monday he knows his new company's ability to reach consumers through sports is one of the reasons it's such an attractive brand.
"What we see in Anheuser-Busch is its marketing expertise, and that's one of the pillars of why they built such great brands," Brito said.
It's hard to imagine a Super Bowl without a series of often hilarious spots from Budweiser. While Coors Light is the official beer of the NFL, Budweiser invests heavily on advertising during NFL games and ran seven spots during the February Super Bowl at a cost of more than $21 million.
With an audience of nearly 100 million, advertising during the Super Bowl is money well spent.
NASCAR spokesman Ramsey Poston said it's "premature" to speculate about how Budweiser's future in the sport could be affected by the purchase.
The Budweiser Shootout at Daytona International Speedway each February is the unofficial kickoff of the season, and the company's familiar red is splashed across the front of the No. 9 car driven by Kasey Kahne, and team owner Gillett Evernham Motorsports doesn't expect that to change, CEO Tom Reddin said.
Officials at the major professional sports agree. The company will remain the official beer of the National Hockey League, and beer vendors at some Major League Baseball parks will continue to invite fans to get their cold Bud here.
MLB president and chief operating officer Bob DuPuy said he's encouraged by InBev's comments about Anheuser-Busch's future and looks "forward to the relationship continuing to prosper."
