Summary: Bud Light has signed a multiyear marketing deal to become the official beer partner of the UFC in the US, aiming to recover from conservative backlash. The parent company, AB InBev, will also be the global partner of the UFC. The financial terms of the deal have not been disclosed, but it is reported to be the UFC’s largest sponsorship ever. This partnership comes after Bud Light faced criticism and a decline in sales due to its promotion with a transgender influencer.
Reviving the Partnership
Bud Light has announced its return as the official beer of the UFC in the US, under a new multiyear marketing deal. The brand was the original beer sponsor of the UFC over 15 years ago. The CEO of the UFC, Dana White, stated that the partnership aligns with the core values of both the UFC and Bud Light.
Recovering from Conservative Backlash
Bud Light is working to recover from a conservative backlash it faced earlier this year. The brand faced criticism and a boycott from conservative critics after sending a commemorative can to transgender influencer Dylan Mulvaney. This resulted in a decline in sales for Bud Light and a loss in its position as America’s best-selling beer. By partnering with the UFC, Bud Light aims to rebuild its image and regain popularity among consumers.
The financial terms of the partnership between Bud Light and the UFC have not been disclosed. However, it is reported that this global agreement is the largest sponsorship deal in the history of the UFC. The previous record was a $175 million fight-kit deal signed with Crypto.com in 2021.
Impact on Anheuser-Busch
Anheuser-Busch, the parent company of Bud Light, has faced challenges this year due to the decline in Bud Light sales. The company reported a 10.5% fall in U.S. revenue for the second quarter, primarily attributed to the decline in Bud Light sales. However, the overall revenue of Anheuser-Busch rose by 7.2% as global brands like Stella Artois and Corona compensated for the loss. The partnership with the UFC is expected to boost sales and contribute to the recovery of Anheuser-Busch.
Tags: Bud Light, UFC, marketing deal, conservative backlash, sales decline