How Modelo Used Data to Become America’s Top Beer | WSJ The Economics Of

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The Wall Street Journal

The Wall Street Journal

Күн бұрын

Modelo Especial is now America's top-selling beer, dethroning the longstanding king, Anheuser-Busch InBev’s Bud Light. While Bud Light has recently been subject to a culture-war storm, Modelo’s stratospheric rise has been building for years and is a product of savvy marketing - and a 2013 antitrust lawsuit.
WSJ explains how the Mexican beer brand became the top selling beer in the U.S.
0:00 Top beer in the U.S.
0:49 What happened in 2012?
2:44 The next decade
4:42 The past six months
The Economics Of
How do the world's most successful companies generate revenue? In this explainer series, we'll dive into the surprising stories behind how businesses work--exploring everything from Costco's "treasure-hunt" model to the economics behind Amazon's AWS.
#Modelo #Beer #WSJ

Пікірлер: 422
@larsporsena9529
@larsporsena9529 8 ай бұрын
Bro really kept beer prices down, what a hero
@forgettablelisa
@forgettablelisa 8 ай бұрын
Modello has definitely raised their own prices since then. I used to buy it all the time, still drink it but no longer as the "cheap" option. That falls to Montucky now lol.
@BizzareCart
@BizzareCart 5 ай бұрын
It's still a good beer
@larsporsena9529
@larsporsena9529 8 ай бұрын
Everyone wants to talk about silly stuff but that antitrust lawyer is the reason you can drink decent beer on a budget.
@matteframe
@matteframe 8 ай бұрын
the real question is, how on earth was a beer as terrible as Bud Light ever the biggest seller...
@krazieecko
@krazieecko 8 ай бұрын
It's called successful marketing to the tune of hundreds of millions of dollars per year
@davidatovar
@davidatovar 7 ай бұрын
Most of the Mexicans I've seen think bud is a import to them.
@keiththoma2559
@keiththoma2559 7 ай бұрын
In college Bud kegs were always the best value. If you were throwing a kegger you’d get Bud. I assume this is still the case today amongst college students and younger adults
@wohoo245
@wohoo245 7 ай бұрын
I think of bud light as beer you buy if you are in charge of buying ALL the beers
@thebluefus
@thebluefus 7 ай бұрын
Bud light had the best commercials.
@arthurf7746
@arthurf7746 8 ай бұрын
Thank god for antitrust enforcement! Kudos to Mr. Baer!
@andylawcc
@andylawcc 8 ай бұрын
baer, beer? hum...
@mulattovanguard
@mulattovanguard 8 ай бұрын
I went to grab a cold drink last night. I had two choices 1) Bud light and 2) Modelo. I choose Modelo. Better taste 👍🏼
@johnhorner5711
@johnhorner5711 8 ай бұрын
I've liked Modelo for many, many years. It looks like others have caught up with me :). Nobody in this piece mentioned that it tastes much, much better than that watered down Bud Light %^&$.
@matteframe
@matteframe 8 ай бұрын
marketers don't actually care about product quality...
@JoshMarshain
@JoshMarshain 8 ай бұрын
Yeah the difference in flavor had always left me confused as to why garbage Bud Light was so popular, had me questioning if there was just something I'm missing or if people just like bad beer
@user-pe3tt7iu7g
@user-pe3tt7iu7g 7 ай бұрын
haha just commented this, it's good!
@GangsterAssRick
@GangsterAssRick 7 ай бұрын
Corona Light is the only other beer that gives it competition in the taste department...its like regular Corona without the skunky aftertaste, it's freaking delicious.
@user-pe3tt7iu7g
@user-pe3tt7iu7g 7 ай бұрын
@@GangsterAssRick that's just water
@Sjalabais
@Sjalabais 8 ай бұрын
Funny how all this marketing wizardry gets explained, but how a yellow water like Bud Light ever made it so far in the first place, remains a mystery.
@GMartin407
@GMartin407 7 ай бұрын
Marketing wizardry. You said it yourself lol.
@imjustsam1745
@imjustsam1745 7 ай бұрын
It was always so terrible tasting it was hard to get buzzed. And the hangover from any Anheisur Busch product just feels like having been poisoned, hasn't been a good excuse to drink that swill since the 80s.
@ForcedMember
@ForcedMember 8 ай бұрын
It's interesting that they hardly mention taste as to why one would be more popular.
@BizzareCart
@BizzareCart 5 ай бұрын
You're right
@AndreaDoesYoga
@AndreaDoesYoga 8 ай бұрын
Modelo taking the crown from Bud Light, cheers! 🍻
@colekarrh9114
@colekarrh9114 8 ай бұрын
It's so interesting/funny how changing the spot of the beer because of human behavior increases sales
@anthonyrivera6199
@anthonyrivera6199 7 ай бұрын
It’s quite literally the job of somebody in most every retail outlet, floor plans and schematics (placement on shelf) are adjusted per specifications of however they believe people will gravitate towards.
@posthocprior
@posthocprior 8 ай бұрын
There was no mention of improving taste or lowering price. On price, using Google, a six pack of Bud Light is between $8-$11. A Modelo six pack is between $9-$11. Then, looking at other beer brands, I found almost all were also in this price range. This may be why there was so much algorithmic emphasis on how close the beer has to be the door handle and at average eye height at grocery stores.
@Parisloverable
@Parisloverable 8 ай бұрын
competing on price alone makes things commodities, which I don't think beer in America ever is. This isn't vodka in russia for instance.
@dampaul13
@dampaul13 8 ай бұрын
"improving taste" What do you mean?
@posthocprior
@posthocprior 8 ай бұрын
@@dampaul13 The usual: any statistical test that shows an improvement from the control group, what Modelo currently sells, to the treatment group; a beer with better taste. Recursively do the test until a recipe is found with a better taste.
@dampaul13
@dampaul13 8 ай бұрын
@@posthocprior And what is this "statistical test?" Who is "the control group?" Who is the "the treatment group?" Are you saying that Modelo changed its recipe?
@WodiesDad
@WodiesDad 8 ай бұрын
just got back from Belgium, a six pack of corona was $5.67. We overpay for everything here.
@bigjigyeah
@bigjigyeah 8 ай бұрын
It also, y'know, tastes better than Bud Light
@linuxman7777
@linuxman7777 8 ай бұрын
I have been boycotting Bud Light for 7 years now. I also have been boycotting Modelo, as I don't drink alcohol at all.
@jackkineke
@jackkineke 8 ай бұрын
Fascinating
@pasofino9583
@pasofino9583 8 ай бұрын
You a regular Rosa Parks.
@ramiromagana6634
@ramiromagana6634 8 ай бұрын
😂
@deedelta9263
@deedelta9263 8 ай бұрын
This is for you, champ: 🍪
@GangsterAssRick
@GangsterAssRick 7 ай бұрын
Alright chill out there Cesar Chavez
@incyphe
@incyphe 8 ай бұрын
It also helps that modelo tastes better than bud light....
@psychedelicpsyhcosis
@psychedelicpsyhcosis 7 ай бұрын
The Modelo time foo movement also helped tremendously
@rdg760jr2
@rdg760jr2 Ай бұрын
I'm a beer merchandiser and on our last meeting, Pacifico surpassed bud light on sales on the data charts 😂
@KingArthur13th
@KingArthur13th 8 ай бұрын
5:00 So Modelo started appealing to a new audience without pissing off their original customer base. Interesting.
@user-pe3tt7iu7g
@user-pe3tt7iu7g 7 ай бұрын
modelo is genuinely better than what came before
@BizzareCart
@BizzareCart 5 ай бұрын
I agree
@CoachellaAngel
@CoachellaAngel 7 ай бұрын
Modelo time foo is the best marketing they ever had
@boosteddaily1294
@boosteddaily1294 8 ай бұрын
Modelo didn't use Data to become America's top beer, BudLight did it for them LOL
@jackkineke
@jackkineke 8 ай бұрын
Thank You Mr. Baer for saving our beer.
@northman8854
@northman8854 8 ай бұрын
Askren getting bonus views of him getting knocked out in videos completely unrelated to MMA now lol
@Punishedgentile
@Punishedgentile 7 ай бұрын
It was literally the “It’s Modelo Time” memes plus the pandemic making people not want to drink Corona
@eddiemalvin
@eddiemalvin 8 ай бұрын
I sure do miss the days when drinking beer wasn't a political statement.
@CHMichael
@CHMichael 8 ай бұрын
I sure miss the days when beer had a taste. ( I just can't do cans. ... so stopped drinking beer. )
@Ohnothisisbad
@Ohnothisisbad 8 ай бұрын
@@CHMichael then just don't buy mainline brands? This seems like a silly take to me. I buy great tasting beer all the time.
@philawsonfur
@philawsonfur 8 ай бұрын
It pretty much shows that your colleague group at sometime in your life hardwired the only way to relax and bond (internally & externally) socially with the repeated behavior of consuming alcohol. Nothing more to it. Yet that says a lot. Not trying to condemn it though. To each their own. There are tradeoffs to every decision in life. This includes but is not limited to: Standard deviation towards desirable long term outcomes given an undefined variable set of circumstances.
@eddiemalvin
@eddiemalvin 8 ай бұрын
@@philawsonfur Thanks but I think you may have posted to the wrong thread. I don't see any comments about social drinking with colleagues to relax and bond. I'm not condemning your post though. It's just that deviation from the original topic and attempting to conduct multivariate analysis using limited datasets and incorrect assumptions could lead to long-term undesired outcomes and confusion. :-)
@sebastiancheng3211
@sebastiancheng3211 7 ай бұрын
what was the political statement even?
@TTOS69
@TTOS69 27 күн бұрын
Thats why our data is so important!
@TheHyena-ru8bz
@TheHyena-ru8bz 25 күн бұрын
Did that guy just steal one beer from a six pack lol 00:41
@mycathasawhitetoe
@mycathasawhitetoe 8 ай бұрын
Modelo has always been my favorite followed by corona and blue moon. Bud light has always tasted like garbage to me
@BizzareCart
@BizzareCart 5 ай бұрын
You have great taste in beer
@american_nightmar3
@american_nightmar3 2 күн бұрын
I only drink when the moon is blue
@SunShine-ls1ul
@SunShine-ls1ul 28 күн бұрын
The best ever job of Marketing i have seen !!!!
@jlucas136
@jlucas136 7 ай бұрын
Honestly Modelo just tatse better, im not a big beer drinker but every time i taste Modelo im like dayumm thats pretty good.
@GangsterAssRick
@GangsterAssRick 7 ай бұрын
It's wasn't data...it's a deliciously refreshing beer at an affordable price with amazing presentation that you can drink in the hood with the homies or at an upscale restaurant with your hyna...cheers to the new King of Beers 🍻 👑
@csmarpuri
@csmarpuri 27 күн бұрын
Awesome video talking about real life example of how business strategies would position a company against the top in the industry, which my MBA degree speaks only theoretically
@VMITV
@VMITV 8 ай бұрын
Enjoying a delicious cold modelo as I watch this video
@dyingearth
@dyingearth 8 ай бұрын
For starter, their advertisement agency doesn't seem to hate their customers. That's a good start.
@thanhavictus
@thanhavictus 8 ай бұрын
Bud light doesnt hate their customer base
@dyingearth
@dyingearth 8 ай бұрын
@@thanhavictus I said their advertisement agency.
@Seth9809
@Seth9809 8 ай бұрын
@@dyingearth Their advertisement agency doesn't hate their customer base either.
@Jaimehellcat
@Jaimehellcat 8 ай бұрын
Gotta love the spin…
@mimusic1853
@mimusic1853 8 ай бұрын
What spin? Numbers don’t lie
@Jaimehellcat
@Jaimehellcat 8 ай бұрын
@@mimusic1853 oh, you’re 100% right, the numbers don’t lie. The spin is saying what caused Bud Light’s loss of first place to Modelo and loss of, what is it, 30 billion is due to their pricing…
@Marc-uy7hp
@Marc-uy7hp 7 ай бұрын
Great work DOJ Antitrust!
@JohnHausser
@JohnHausser 8 ай бұрын
Most underrated industrial 🍺 Wish I could still drink
@FirstClass102
@FirstClass102 8 ай бұрын
If you had problems with alcohol In the past don’t watch these kind of videos! You are stronger than that
@merrymerkin
@merrymerkin 8 ай бұрын
Budweiser gives me indigestion literally and figuratively
@eliasyitrix6305
@eliasyitrix6305 7 ай бұрын
I think it's how it looks... It looks refreshing
@guilhermedomingossilva3678
@guilhermedomingossilva3678 12 күн бұрын
As a Brazilian I can say we hate InBev and what these guys did with Beer Market Worldwide it's a completely shame and jeopardizes consumers. Cuddos to Constelation taking over the #1st spot in US.
@xxx_rotfd_xiii_xii3619
@xxx_rotfd_xiii_xii3619 2 ай бұрын
im drinking my first modelo rn not a huge beer drinker but modelo is pretty smooth
@hurleypiano3953
@hurleypiano3953 8 ай бұрын
Cool acoustics
@candideggplant1575
@candideggplant1575 7 ай бұрын
I think a great deal of people overhyped the whole controversy but at the same time, they were out even before the "controversy" was a thing. Bud Light really isn't a good beer, there are so many better options for about the same price. Maybe cheap beer has an appeal, buy a 32 pack for like 18 bucks or something, but if you actually want to enjoy your beer instead of just tolerating it, you can find better options that don't taste like rice flavored, beer flavored, water.
@Lilmonke_586
@Lilmonke_586 7 ай бұрын
It’s Modelo time foo!
@Townsteppa
@Townsteppa Ай бұрын
Cheers 🍻😄💯drinking a 32 modelo watching this
@TheRadicalCentrist.1776
@TheRadicalCentrist.1776 8 ай бұрын
and...and...and...and...and...Bud Light TOTALLY eff'd up.
@TesserId
@TesserId 8 ай бұрын
3:37 Product displayed to increase sales (marketing)
@ramon9386
@ramon9386 24 күн бұрын
I remember many years ago before Modelo became mainstream. I could buy a sixer for $5.19 while others were more. Good 'ol days lol
@JohnShawOhio
@JohnShawOhio 8 ай бұрын
It can't be because Bud disrespected their customer base?
@Laker62282
@Laker62282 8 ай бұрын
How did they disrespect anyone?
@Seth9809
@Seth9809 8 ай бұрын
What did Bud Light even do? They advertised with one person, one time, and suddenly customers were basically rioting. All Bud Light wanted, was to expand it's customer base.
@MrTmenzo
@MrTmenzo 7 ай бұрын
​@@Seth9809it wasn't because the trans person it was due to the lady that was in charge of marketing states in an interview that bud lights customer base is out of touch, fratty and wanted to shift to be an inclusive brand. So she pretty much disrespected their current customer base and was removed from the position.
@einundsiebenziger5488
@einundsiebenziger5488 7 ай бұрын
@@Seth9809 ... its* customer base (it's = it is)
@dantedeluca978
@dantedeluca978 7 ай бұрын
It helps that Modelo is the best mass market Lager in the US
@alooga555
@alooga555 8 ай бұрын
Bud Light will fade away like Bud Dry.
@vamseekotha
@vamseekotha Ай бұрын
WSJ is doing good in the digital age
@2013TombRaider
@2013TombRaider 8 ай бұрын
Bud light jumped on its own knees and ensured modelo becomes number one easily 😂😂
@itypethetruthnobshere8975
@itypethetruthnobshere8975 8 ай бұрын
Bud light messed up
@Subaru2_1
@Subaru2_1 8 ай бұрын
revisit by chance this video, now what is going on with Bud light CNBC?
@clivebroadhead4857
@clivebroadhead4857 7 ай бұрын
The corporate approach and commodification of all foodstuffs to blame. What passes as cheese in the US is a prime example. Beer is a simple product but that presented to the mass market has been formed by a committee of chemists and accountants. The Modello products are simply closer to what beer can and should taste like and their ascendency appears to be a product of pricing ang distribution rather than a tweaking of the actual product or packaging.
@manager4409
@manager4409 7 ай бұрын
when AB bought stella artois, they forced them to use cheaper ingredients and I noticed a subtle change in how it tastes so I don't buy stella anymore either. they do this with all the smaller beers they buy.
@alphahoss1947
@alphahoss1947 8 ай бұрын
IT’S TIME THAT THE CONSUMER’S WAKE UP & REALIZE THAT THEY HOLD THE POWER IN THEIR WALLET’S AND PURSES 👜 TO MAKE COMPANIES CHANGE 💸!
@thanhavictus
@thanhavictus 8 ай бұрын
Ah yes, conservatives doing the cancel culture they hate so mhch
@einundsiebenziger5488
@einundsiebenziger5488 7 ай бұрын
... consumers*, wallets* (plural, no apostrophe)
@rockystaatz521
@rockystaatz521 8 ай бұрын
Currently it’s being ordered more than corona where I’m at but then most people prefer free soda
@rd9102
@rd9102 8 ай бұрын
Bud Light failed at marketing 101...and here we are.
@friedoysterskins2942
@friedoysterskins2942 8 ай бұрын
I haven’t tried modello but Pabst blue ribbons is my go to choice
@victormendoza8486
@victormendoza8486 8 ай бұрын
Give it a try , it’s a great beer!😊
@ApriliaRacer14
@ApriliaRacer14 7 ай бұрын
Modelo is a great beer.
@jessemathieu1594
@jessemathieu1594 7 ай бұрын
They are on a similar level of quality both are solid choices in terms of macro beers
@friedoysterskins2942
@friedoysterskins2942 7 ай бұрын
Just tried it, it was really smooth. Similar to PBR.
@victormendoza8486
@victormendoza8486 7 ай бұрын
we accept you, one of us one of us one of us@@friedoysterskins2942
@user-qr7ee2cp4y
@user-qr7ee2cp4y 7 ай бұрын
Thanks for supporting a beer for soccer fans.
@jeffreywillstewart
@jeffreywillstewart 7 ай бұрын
Using the iconic "the Good, the Bad , & the Ugly" soundtrack didn't hurt either. Like subliminally getting an Eastwood endorsement! Lol
@Tiger_Woo_dds
@Tiger_Woo_dds 8 ай бұрын
Didn't CNBC cover part of this a month ago?
@princememphis7726
@princememphis7726 7 ай бұрын
Jesus that flying knee was brutal
@Presidenttrump11
@Presidenttrump11 8 ай бұрын
It’s cool
@gouravmisra2317
@gouravmisra2317 8 ай бұрын
Namaste sir good evening 🌆 watching from India 🎉🎉
@GoldSpot-pf1yb
@GoldSpot-pf1yb 6 ай бұрын
This data is silly. People search a freezer for their favourite beer. Makes no difference if it’s near the handle or deep inside.
@MIAMIC70
@MIAMIC70 6 күн бұрын
Wrong
@thersten
@thersten 8 ай бұрын
Moral of the story: for broad appeal you must be bland. Think backstreet boys. 👍
@ratonautonomo8963
@ratonautonomo8963 22 күн бұрын
I've never tried Modelo "Espacial" is it good? 😉
@electrikoptik
@electrikoptik 8 ай бұрын
Mr. Baer, what a Chad!
@name10books-
@name10books- 7 ай бұрын
Nah, what catch my eye first time , it was the bottle design. Then the taste.
@basedpatriotLT
@basedpatriotLT 7 ай бұрын
No way, you can sell more beers if you put them in the fridge. Who would have thought :) Ps: i did not get the idea why specifically imported beers are 60% being consumed within 6 hours if purchase. How is it different from local beer.
@user-ln8hp4vt5z
@user-ln8hp4vt5z 2 ай бұрын
How Anhuiser Bush chased their Customer’s away hahahaha lol 😂.
@andrewehyang
@andrewehyang 27 күн бұрын
Ben Askren catching strays even from the Wall Street Journal
@maemilev
@maemilev 8 ай бұрын
Never drank modelo before in Asia.
@joesolis2
@joesolis2 7 ай бұрын
No, Constellation Brands only needed to sit back and watch Anheiser-Busch Destroy ITSELF!
@rkevic
@rkevic 29 күн бұрын
They didn’t mentioned international sells it will remain a mystery
@alanm8400
@alanm8400 7 ай бұрын
Corona with lime 👑
@allsports13
@allsports13 9 күн бұрын
Why no lime in the Modelo?
@johngalt3940
@johngalt3940 29 күн бұрын
I love modelo but as an Canadian buying it means supporting anbev
@svg03
@svg03 24 күн бұрын
As an European seeing a guy raging with an automatic gun on to beer cans is crazy 😂
@teamTERF
@teamTERF 8 ай бұрын
Dylan Mulvanry is a real woman like Budlight is a real beer.
@gjd424
@gjd424 8 ай бұрын
Yengling was always better and Americas oldest brewery! 🍻
@teamTERF
@teamTERF 8 ай бұрын
@@gjd424 FACTS
@3DJapan
@3DJapan 2 ай бұрын
Top beer? I've never even had it.
@sergiobowers6930
@sergiobowers6930 7 ай бұрын
Modelo tastes better, they’ve simply never advertised to the capacity of Bud Light. If you asked me, consumers are ditching beer for pre made cocktails, that’s the new sub-sector in alcohol.
@jamess5415
@jamess5415 7 ай бұрын
Not to mention it tastes better as well
@JLiznuts
@JLiznuts 7 ай бұрын
Modelo:Hey BUD want to see how to be the top dawg..? Hold my beer
@SorminaESar
@SorminaESar 8 ай бұрын
Beer's usually minimize of alcohol, but of course it's called alcohol, I've no alcohol at all, it's so bad for the body health. Thank you
@johnschneider4160
@johnschneider4160 7 ай бұрын
Go back to sleep.
@johnschneider4160
@johnschneider4160 7 ай бұрын
Go back to sleep!
@einundsiebenziger5488
@einundsiebenziger5488 7 ай бұрын
In what language does your weird sequence of words make any sense?
@user-dj6hf6rb7d
@user-dj6hf6rb7d 4 ай бұрын
How is beer made?
@jpk8529
@jpk8529 7 ай бұрын
this just feels like one mexican beer (corona) repackaged and remarketed as another since us consumers have such short attention spans
@ClassyNasty
@ClassyNasty 8 ай бұрын
Americans Said “It’s Modelo Time Foo!” 🤣😂🤣
@frankmorris4790
@frankmorris4790 7 ай бұрын
Now here's a thing. Modelo is the "Cowboy beer" of Mexico and has been for a couple decades anyway. Our so called cowboy beer is like makin' love in a canoe. All Modelo needs to do is to keep makin' their lovely suds!
@vinzanity68
@vinzanity68 7 ай бұрын
Great story😅
@drmode
@drmode 8 ай бұрын
I only drink beer when in Europe.
@joshuad1716
@joshuad1716 8 ай бұрын
Not one mention of the “its modelo time fool” meme?
@JoeSchmo51
@JoeSchmo51 7 ай бұрын
WSJ forgot to mention the Head Marketing Officer of Bud Light talking down to her customers and "fratty image" while even on the 4th of July, their Twitter/X feed never mentioned anything about 4th but only to have a bud light on that day.
@allentracy5794
@allentracy5794 29 күн бұрын
I love that none of it has to do with the actual taste of the beer. It’s all politics.
@charlesbarkely3021
@charlesbarkely3021 8 ай бұрын
Step 1: let bud light shoot themselves in the foot Step 2: become the number 1 beer Has nothing to do with data
@AyeBeeG
@AyeBeeG 8 ай бұрын
It was trending beforehand. Now it’s taking full storm.
@Adrian-op5ni
@Adrian-op5ni 7 ай бұрын
I mean it’s just really good beer. First time I had a Modelo I made a mental note to get this beer next time.
@damienlynch4533
@damienlynch4533 7 ай бұрын
Kind of sad how powerful ads are for selling beer.
@trnlft
@trnlft 6 ай бұрын
That's the sole purpose of an ad.
@jimbiddle8646
@jimbiddle8646 7 ай бұрын
Love Modelo on tap but when I buy a case of cans at the grocery or Sam’s it tastes like “ skunk” beer. What gives?
@trezenx
@trezenx 7 ай бұрын
wow they really advised to put the beer in the refrigerator? genius.
@frevazz3364
@frevazz3364 3 ай бұрын
It’s not that simple, they need to convince wholesalers and retailers to carry more on the shelf, that’s not as easy as just looking at data.
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