Monthly Archives: May 2017

Anheuser Busch

Anheuser Busch Back to Taking Giant Steps Forward

Having garnered the title of The King of Beers put Budweiser in a position to wield plenty of power. However, Anheuser Busch’s impact in recent years has been diminished by the growing effect of the craft beer industry, which has injected more innovation and originality than any traditional brewer has been able to deliver.

The company, which merged with international giant InBev in 2008, has taken notice and announced on May 15 that they would be investing $2 billion over the course of the next four years in its American breweries. For 2017, more than 40 percent of the $500 million invested will be used to update a number of domestic breweries and build a pair of distribution centers, while approximately 35 percent of that money is directed at improving product packaging.

The upgrades will come at breweries for what used to be the world headquarters for Anheuser Busch in St. Louis, along with one in Fort Collins, Colorado. The new distribution centers will be on opposite ends of the country: Columbus, Ohio and Los Angeles.

The moves themselves follow in previous announcements that took place in 2011 and 2015. In the latter case, the original plan was to spread $1.5 billion over the course of four years, a business plan that’s been superseded by this news.

Part of the previous strategy was focused on simply buying out craft beer companies in order to bring the new brands they’ve developed into the corporation’s fold. Such moves have not always gone over well with those who preferred the non-corporate approach that craft breaks had seemingly used as a marketing tool.

Yet whatever dropoff has taken place because of such an attitude has been minimal and such continued moves help sustain Anheuser Busch in this highly competitive market.

Vanilla Shortage Taking a Toll

Vanilla shortage

The last few years have tested both the patience of vanilla growers and those who consume the product itself. Indeed, the combination of both a drought and cyclones have delivered a huge jolt to the wallets of both parties, with … read more