||This article appears to be written like an advertisement. (January 2015)|
|Country of origin||United States|
|Alcohol by volume||5%|
Introduced in 1876 by Adolphus Busch from St. Louis, Missouri it has grown to become one of the highest selling beers in the United States, and is available in over 80 markets worldwide—though, due to a trademark dispute, cannot necessarily do so under the Budweiser name. It is made with up to 30% rice in addition to hops and barley malt. Budweiser is produced in various breweries located around the world. It is a filtered beer available in draught and packaged forms.
Adolphus Busch left Germany for the United States in 1857. He settled in St. Louis, Missouri, where he eventually established his own brewing supply house. In St. Louis, Busch also met and married Lilly Anheuser. Lilly’s father, Eberhard Anheuser, owned a small brewery that had been making lager beer for some time. In 1864, Busch partnered with his father in-law to form what would eventually become the Anheuser-Busch Company.
Busch traveled extensively in Europe to observe and study the latest brewing techniques. In the 1870s, Anheuser-Busch became the first American brewery to implement pasteurization, which greatly improved the shelf-life and transportability of its beers. In the mid-1800s, most Americans preferred robust, dark ales. Busch had encountered lighter lager beers during his travels and began brewing a light Bohemian lager. Anheuser-Busch introduced this lager in 1876 under the brand name Budweiser.
Budweiser and Anheuser-Busch had two decades of growth, before the onset of prohibition in 1920. Anheuser-Busch had to retool their line of products to survive during the years of prohibition. This included selling a low alcohol "near beer," brewer's yeast, Malt extract, and other raw materials that could be used for home brewing.
When prohibition came to an end in 1933, Anheuser-Busch began brewing Budweiser again. During prohibition, the palate of the beer consumer had changed due to the popularity of sweeter homemade and bootlegged brews. The company dared consumers to drink Budweiser for five days, and if on the sixth day, they still preferred the taste of other beers, they could go back.
Growth was limited by economic conditions in the Great Depression, but thanks in part to the introduction of the metal can in 1936, Budweiser’s sales began to climb again.
During World War II, the company diverted several resources to support the war effort and relinquished its West Coast markets to conserve rail car space. After the war, Budweiser and Anheuser-Busch entered into an era of rapid growth.
August A. Busch Jr. became president of Anheuser-Busch in 1946 and began the creation of a national network of breweries. A new brewery was opened in Newark, New Jersey in 1951, and was the first of nine to open over the next 25 years.
Budweiser is available in over 80 markets.
After the 18 November 2008 InBev takeover, several cost-cutting measures that were implemented have, according to some sources, negatively affected the flavor of the beer. Whole rice grains have now been replaced by broken ones, and the high quality Hallertauer Mittelfrüh hop has been phased out. A former top AB InBev executive says the company saved about $55 million a year substituting cheaper hops in Budweiser and other U.S. beers.
Name origin and dispute
Anheuser–Busch has been involved in a trademark dispute with European beer companies, in particular Budweiser Budvar Brewery, over the trademark rights to the name "Budweiser".
Beer has been brewed in Budweis since it was founded by king Ottokar II of Bohemia in 1245. The name Budweiser is a derivative adjective, meaning "of Budweis". In 1876, Adolphus Busch and his friend Carl Conrad, a liquor importer, developed a "Bohemian-style" lager, inspired after a trip to the region.
In the European Union, excluding the United Kingdom and Ireland, the American beer is marketed as Bud, as the Budweiser trademark name is owned solely by the Czech beer maker, Budweiser Budvar.
Anheuser-Busch has a market share in the United States of 50.9% for all beers sold. This is primarily composed of Budweiser brands. In 2008 the Belgian-Brazilian beer giant InBev bought the majority of Anheuser-Busch stocks at $70 per share in an all-cash agreement, to create the largest brewing company in the world.
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Anheuser-Busch uses what is in many jurisdictions a legally-protected mark-of-origin indicating Czech provenance and humorous advertising campaigns to promote Budweiser, such as the "Real Men of Genius" radio and television commercials for Bud Light.
The Budweiser from Budějovice has been called "The Beer of Kings" since the 16th century. Adolphus Busch changed this slogan to "The King of the Beers". The Czech Budweiser is sold in some countries as Budejovicky Budvar but is known as Budweiser in many other countries throughout Europe.
Anheuser-Busch is known for its sport sponsorship, videogame sponsorship (Tapper, 1983), and humorous advertisements, some of which have entered the popular culture in the United States. They include a long line of TV advertisements in the 1990s featuring three frogs named "Bud", "Weis", and "Er"; lizards impersonating the "Bud-weis-er" frogs, the Budweiser Ants;, a campaign built around the phrase "Whassup?", and a team of Clydesdale horses commonly known as the Budweiser Clydesdales.
The Budweiser Clydesdale has become an iconic horse. In the Clydesdale Donkey commercial the donkey dreams of becoming a Clydesdale horse. The donkey does everything he can think of to try and become one of these horses, and finally when the day comes for his audition, he makes the cut and becomes what he has always dreamed. This commercial ended up being in the top five for the most memorable Budweiser commercials.
The Budweiser brand is promoted in motorsports, from Bernie Little's Miss Budweiser hydroplane boat to sponsorship of the Budweiser King Top Fuel Dragster driven by Brandon Bernstein. Anheuser-Busch has sponsored the CART championship. It is the official beer of NHRA and was the official beer of NASCAR from 1998 until 2007. It has sponsored motorsport events such as the NASCAR Busch Series, Budweiser Speedweeks, Budweiser Shootout, Budweiser Duel, Budweiser Pole Award, Budweiser 500, Budweiser 400, Budweiser 300, Budweiser 250, Budweiser 200 and Carolina Pride / Budweiser 200.
Budweiser has been sponsor of NASCAR teams such as Junior Johnson, Hendrick Motorsports, DEI and Stewart-Haas Racing. Budweiser-sponsored drivers include Terry Labonte (1983, 1987–89), Neil Bonnett (1984-1985), Darrell Waltrip (1984-1986), Geoffrey Bodine (1990-1991), Bill Elliott (1992-1994), Ken Schrader (1995-1996), Dale Earnhardt Jr. (1999-2007), Kasey Kahne (2008-2010) and Kevin Harvick (2011–present).
In IndyCar, Budweiser sponsored Mario Andretti (1983-1984), Bobby Rahal (1985-1988), Scott Pruett (1989-1992), Roberto Guerrero (1993), Scott Goodyear (1994), Paul Tracy (1995), Christian Fittipaldi (1996-1997) and Richie Hearn (1998-1999). Mario Andretti was the 1984 IndyCar champion, whereas Bobby Rahal won the 1987 and 1987 championships and the 1986 Indianapolis 500.
Anheuser-Busch has also sponsored many races, including the Budweiser Shootout, and previously The Bud at the Glen, Budweiser 500, and Budweiser 400. In 2011, Budweiser became the sponsor for Kevin Harvick.
Anheuser-Busch has placed Budweiser as an official partner and sponsor of Major League Soccer and Los Angeles Galaxy and was the headline sponsor of the British Basketball League in the 1990s, taking over from rival company Carlsberg. Anheuser-Busch has also placed Budweiser as an official sponsor of the Premier League and the presenting sponsor of the FA Cup. Budweiser was a proud sponsor and avid advertiser during the celebration of the 1996 Atlanta Olympic Games. For the Centennial Summer Olympics, Budweiser produced many commemorative collectibles and souvenirs that were very popular among crowds at the Games. A primary Budweiser collectible was a 28-ounce Budweiser Atlanta Olympic Games Beer Stein, which featured the Olympic Flame as a decoration on the stein's handle.
In the early 20th century, the company commissioned a play-on-words song called "Under the Anheuser Bush", which was recorded by several early phonograph companies. Popular music continues to be used in advertisements for Budweiser. Some commercials feature the song "Galvanize" (2005), by The Chemical Brothers.
In August 2009, Anheuser-Busch partnered with popular Chinese video-sharing site, Tudou.com for a user-generated online video contest. The contest encourages users to suggest ideas that include ants for a Bud TV spot set to run in February 2010 during the Chinese New Year.
In 2010, Budweiser launched an international entertainment property called Bud United. Bud United’s first efforts were centered around the 2010 FIFA World Cup in South Africa. The brand launched an online reality TV series, called Bud House, that followed the lives of 32 international football fans (one representing each nation in the World Cup) living together in a house in South Africa. Bud United’s next project is another reality series called The Big Time; each episode focuses on a different vertical market (baseball, soccer, cooking, etc....) and features contestants competing for a chance to live their dreams. The show was cast through the Bud United Facebook page and aired in Q1 2012.
In an advertisement titled "Brewed the Hard Way" that aired during Super Bowl XLIX, large on-screen text stated that Budweiser is "Proudly A Macro Beer" - distinguishing it from smaller production craft beers.
Containers and packaging
Over the years, Budweiser has been distributed in many sizes and containers. Until the early 1950s Budweiser was primarily distributed in three packages: kegs, 12-ounce bottles and quart bottles. Cans were first introduced in 1936, which helped sales to climb. In 1955 August Busch Jr. made a strategic move to expand Budweiser's national brand and distributor presence. Along with this expansion came advances in bottling automation, new bottling materials and more efficient distribution methods. These advances brought to market many new containers and package designs. As of 2011[update] Budweiser is distributed in four large container volumes: half-barrel (15.5 US gallons), quarter-barrel, 1/6 barrel and beer balls (5.2 gallons); and in smaller 7, 8, 10, 12, 16, 18, 22, 24, 32 and 40 US ounce containers. Smaller containers may be made of glass, aluminum or plastic. On August 3, 2011, Budweiser announced its twelfth can design since 1936, one which emphasizes the bowtie.
Packages are sometimes tailored to local customs and traditions. In St. Mary's County, Maryland, ten ounce cans are the preferred package. Budweiser drinkers in the western stretches of Ottawa County, Michigan prefer the eight ounce can. This Ottawa County preference for the eight ounce can may stem from a long-standing blue law held in many Western Michigan cities that prohibit sale of beer and wine on Sundays. In response to this blue law, brewers and distributors presented the eight ounce can as a smaller alternative.
Anheuser-Busch has introduced many can designs with co-branding and sports marketing promotional packaging. Today, most of these promotional programs are represented only on the 16 ounce aluminum bottle container. However, many MLB and NFL teams in the United States also promote 24 ounce cans marked with team logos.
The Budweiser bottle has remained relatively unchanged since its introduction in 1876. The top label is red and currently reads "Budweiser". The top of the main label is red with a white banner with a pledge on it, which has changed three times. Below the banner is a coat of arms of sorts, which features an Anheuser-Busch stylization. Below that is a large white box.
|Era||Pledge||Logo||Beer title||Top label|
|1870s||1||C. Conrad and Co.||Budweiser Lager Beer||Original Budweiser|
|Early 1900s||2||C. Conrad and Co.||Budweiser Lager Beer||Budweiser Reg U.S. Pat Off|
|1920s||3||Anheuser-Busch||Budweiser||Anheuser-Busch 'Budweiser St. Louis|
|1940s||2||Anheuser-Busch||Budweiser Lager Beer||Budweiser Beer|
|1950s||4||Anheuser-Busch||Budweiser Lager Beer||Budweiser Lager Beer|
|1970s||4||Anheuser-Busch||'Budweiser' Lager Beer||Budweiser|
|1980s||4||Anheuser-Busch||'Budweiser' Lager Beer||Budweiser|
|Today||4||Anheuser-Busch||'Budweiser' Lager Beer||Budweiser|
During the Prohibition Era, Budweiser encountered its first major obstacle to profit and growth. As alcohol became illegal to sell and produce, all alcohol companies, including Budweiser, struggled to remain profitable. Budweiser began producing non-alcoholic beverages during Prohibition to counter its ill effects. Prohibition began in 1920, and lasted into the middle of the Great Depression in 1933. These are two major setbacks that this company experienced. Just as laws regarding prohibition were repealed, Budweiser was faced with more serious economic struggles, which made their success (like all other companies) very unlikely. In attempt to re-stimulate interest in their beer, Budweiser executed a hugely successful marketing strategy of introducing beer cans for the first time in 1936. This new packaging led to an increase in sales which lasted until the start of World War II in 1939.
Over the years, Budweiser has undergone various design changes to its can which are discussed in the table below. Many of these changes are in response to market conditions and consumer tastes. Since 1936, 12 major can design changes have occurred, not including the temporary special edition designs. The table below describes each of the 12 major can designs.
|1936–1942||Budweiser Lager Beer||Gold colored can made of steel with American image of an eagle|
|1942–1945||Budweiser Lager Beer||Same design as previous can, except in an olive drab color to provide camouflage for troops in World War II|
|1950–1956||Budweiser Lager Beer||Gold colored split label can with list of breweries at the bottom of the can|
|1956–1958||Budweiser Lager Beer||Red, white, and blue split label can with same design as previous can|
|1963||Budweiser Lager Beer||First all-aluminum beer can; red, white, and blue color scheme|
|1964–1972||Budweiser Lager Beer||Introduction of the tab top can, still with the same color scheme as previous design|
|1970s||Budweiser Lager Beer||Similar design as last five cans, with Budweiser creed, Anheuser-Busch logo, and eagle images|
|1980s–1990s||King of Beers||Same design as previous, with slightly different can shape|
|1996–1999||King of Beers||Horizontal label rather than classic vertical label, and introduction of 'Born on' dating which tells exactly when the beer was brewed|
|1999–2000||Millennium||Limited-edition can with vertical label for the beginning of a new millennium|
|2001–2011||King of Beers||Horizontal can design with red, white, and blue color scheme|
|2011–||King of Beers||Red, white, and gold color scheme; new bow-tie design with much more modern appearance|
2011 can design marketing strategy
Traditional Budweiser cans embodied a strong sense of American patriotism. They were red, white, and blue in color, and had images of eagles near the label. These cans also had a very classic appearance due to the cursive font and the Anheuser-Busch logo surrounded by wheat and barley. Red, white, and blue, being the colors of the American flag, identified the cans strongly with the American market for this product. Moreover, the eagles remind viewers of the bald eagle, America's national bird. These facts strongly suggest that Budweiser was targeting a primarily American market. In contrast to this previous design, the newest can takes on a much more modern appearance and eliminates blue as a main color in the design. Red, white, and gold are the predominant colors on this new can, which makes the can look much less traditionally American, and much more modern. On this new can, there are aspects that continue to resonate with an American market, such as the red and white colors, as these are two of the nation's primary colors. The presence of the yellowish-gold color is not typically American, though, and is surprising to see in the can design of the self-proclaimed "Great American Lager."
This change in can design was very shocking for a brand that had remained relatively static since its beginning. The new design was largely in response to the huge sales decline in recent years that is threatening to lose Budweiser its title as the best-selling beer in America. One cause of this sales decline is the unemployment struggles that many Americans have been facing recently. A large group of individuals affected by unemployment are young men, who are the main demographic of Budweiser's target market. In order to regain the domestic market share that Budweiser has lost, the company is trying to update its appearance by giving the can a more contemporary look that is more appealing to this demographic. The company hopes that the new design will offset the effects that unemployment had on its sales.
Although the more modern design is intended for young male Americans, the new design, according to the vice president of Anheuser-Busch Frank Abernante, "is one of many steps in our quest to reinforce Budweiser's role as a truly global beer brand." This statement means that the new design was intended for foreign markets as well. In fact, Budweiser began selling its beer in Russia in 2010, and is currently expanding its operations in China. However, it has not released the new 2011 design can in China as of 2015.
Statistics show that China is the world's leading consumer of beer in terms of volume, which suggests that Budweiser is trying to capitalize on this market's potential in order to recover from these losses. Currently, of the 15 Anheuser-Busch breweries outside of the United States, 14 of them are positioned in China, which shows how interested the company is in this growing market. Budweiser is already the fourth leading brand in the Chinese beer market, and the company hopes that this new design change will push them further up the list as one of China's most dominant brands. Budweiser's attempt to target China is not sudden, though. There have actually been several advertising campaigns geared toward Chinese consumers. One such campaign was in 2009 when Budweiser sponsored a competition for the creation of a Budweiser commercial involving the Budweiser ants. Here, Chinese consumers were prompted to compete in this process of submitting their ideas online for the chance to have their idea become the newest Budweiser commercial.
|This section needs additional citations for verification. (March 2012)|
Budweiser is brewed using barley malt, rice, water, hops and yeast. It is lagered with beechwood chips in the ageing vessel which, according to Anheuser-Busch, creates a smoother taste.[clarification needed] While beechwood chips are used in the maturation tank, there is little to no flavor contribution from the wood, mainly because they are boiled in sodium bicarbonate [baking soda] for seven hours for the very purpose of removing any flavor from the wood. The maturation tanks that Anheuser-Busch uses are horizontal and, as such, flocculation of the yeast occurs much more quickly. Anheuser-Busch refers to this process as a secondary fermentation, with the idea being that the chips give the yeast more surface area to rest on. This is also combined with a krausening procedure that re-introduces wort into the chip tank therefore activating the fermentation process again. By placing chips at the bottom of the tank, the yeast remains in suspension longer, giving it more time to reabsorb and process green beer flavors, such as acetaldehyde and diacetyl, that Anheuser-Busch believes are off-flavors which detract from overall drinkability.[clarification needed]
Some drinkers prefer the lightness of beers like Budweiser and consume it as a refreshment or for its inebriating effects. Several beer writers consider it to be bland. The beer is light-bodied with faint sweet notes and negligible bitterness, leading to reviews characterizing it as a "...beer of underwhelming blandness". Even Adolphus Busch didn't like it. Based upon sales, it is the second most popular American brewed pale lager among North American beer consumers.
Budweiser and Bud Light are sometimes advertised as vegan beers, in that their ingredients and conditioning do not use animal by-products. Some might object to the inclusion of genetically engineered rice and animal products used in the brewing process. In July 2006, Anheuser-Busch brewed a version of Budweiser with organic rice, for sale in Mexico. They have yet to extend this practice to any other countries.
Anheuser-Busch was one of the few breweries during Prohibition that had the resources and wherewithal to convert to "cereal beer" production—malt beverage made with non-fermentables such as rice and unmalted barley and rye, and able to stay under the 0.5% limit established by the Volstead Act. Following the repeal of Prohibition in 1933, the major breweries continued to use unmalted cereal grains to provide the full body and mouthfeel of a "real" beer while keeping the alcohol content low.
In addition to the regular Budweiser, Anheuser-Busch brews several different beers under the Budweiser brand, including Bud Light and Bud Ice.
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