no one merchandises to lose money.They're selling well over $60,000,000 in Bud Light per week. They aren't losing money even with a one per customer rebate. And they're buying back from their distributors. They have the margin to cover at that level. They'll take care of their distributors and still pocket some.
unless you think a 24 pack of beer only costs 3.49 to make and the markup is 5 X the typical list price?
this is all about product dumping at a loss to get rid of "toxic" inventory. Originally Posted by The_Waco_Kid
They're selling well over $60,000,000 in Bud Light per week. They aren't losing money even with a one per customer rebate. And they're buying back from their distributors. They have the margin to cover at that level. They'll take care of their distributors and still pocket some.
That's the dirty little secret. They're still profitable. Originally Posted by HDGristle
They'll survive even if they don't apologize. The folks further down the chain will eat the pain Originally Posted by HDGristle
Bud Light might be #1 in the U.S. but it's a drop in the bucket on AB's annuals. They had $14.2 billion in revenue last quarter.
They were already in an interesting position as the segment was shrinking and Mexican brands were gaining ground. Originally Posted by HDGristle
I can and will chizzy.Didn't say u couldn't. We can all sling cow pies til the sun don't shine
We're not here to change minds, afterall. We're having fun so I can do this all night.
Thier next earnings update will be in July Originally Posted by HDGristle
Bud Light might be #1 in the U.S. but it's a drop in the bucket on AB's annuals. They had $14.2 billion in revenue last quarter.People drink too much.
They were already in an interesting position as the segment was shrinking and Mexican brands were gaining ground. Originally Posted by HDGristle
They aren't losing money even with a one per customer rebate. Originally Posted by HDGristleBut they are. Unless things have changed a lot in the beer business, it costs them more than the $3.49 a case they are dumping this product at to make, package, distribute and market
25 pages of back and forth bullshitYou are spot on Chizzy and Gristle still won't admit it
you can say its a drop in the bucket overall or 6 months months from now it will be forgotten blah blah blah
1, they fucked up
2. they didnt expect their base to get pissed
3. they lost a hell of alot of sales and still are
4. corporate knows they fucked up and are trying to stop the bleeding
5. doesnt matter what percentage of loss there is, they dont like losing
money or customers,,,,,,corporate runs on greed, they want positive
not negative publicity
and as stone cold would say.....thats the bottom line Originally Posted by chizzy
But they are. Unless things have changed a lot in the beer business, it costs them more than the $3.49 a case they are dumping this product at to make, package, distribute and market Originally Posted by berryberryNot on a one per case per custo basis that won't even see a 35% redemption rate. Custo still pays full price and then has to take active steps to redeem the rebate, then wait to get the money back.