Looking to hold onto young adult drinkers, Anheuser-Busch Cos. next month will roll out a flavored, caffeinated Budweiser beer.
Be is infused with caffeine, guarana - a paste derived from a Brazilian fruit - and ginseng in the brewing process, the St. Louis-based brewer said Monday.
The aromas of blackberry, raspberry and cherry mixed with the traditional scent of hops give the beer a slightly sweet and tart taste, the brewer said.
"We've created Be for the 21- to 27-year-old contemporary adult consumer, specifically in mind for those who are looking for that latest drink to keep up with their fast-paced lifestyle," said Pat McGauley, senior director of new products and high-end brands at A-B's domestic brewing unit.
The addition of "extra" flavors, ingredients and aromas is the reason that Anheuser-Busch is adding an "e" to the product's name, A-B executives told reporters Monday in a conference call.
To be brewed in Houston, the beer will be packaged in a 10-ounce can that is slimmer than traditional beer cans. The product contains 6.6 percent alcohol by volume, slightly higher than Budweiser's 5 percent.
The beer also has 54 milligrams of caffeine, similar to the amount in a 12-ounce can of the soft drink Mountain Dew, McGauley said.
The new beer is the latest move to combat the growing popularity of distilled spirits among 21- to 27-year-olds, a coveted demographic group.
In recent years, these young adult drinkers have become increasingly interested in spirits due to the wide variety of flavors and colors available in mixed drinks. Many try these drinks in the on-premise market, such as bars and clubs.
Concerned about this trend, Anheuser-Busch earlier this year unleashed an aggressive marketing campaign that targets the on-premise market.
The brewer already appeals to these young adult drinkers through its Bacardi Silver family of flavored malt beverages, which offers flavors such as raspberry and lemon.
Anheuser-Busch's decision to roll out Be reflects the fact that consumers face a growing spectrum of drinking choices, said Bob Lachky, vice president, brand management, and director, global brand creative, at the domestic brewing unit.
Years ago, people defined their drinking through a particular brand, such as Budweiser, or a type of drink, such as wine, he said.
Now, they decide to drink a Budweiser or some wine depending on their mood, the drinking occasion - such as a date - or the time of day, Lachky said. "It's more about individuality and wanting something different and not conforming."
The new drink will help rejuvenate the Budweiser brand, McGauley said.
"It just adds a tremendous amount of contemporary adult attitude to the Budweiser name as well," he said. "It's bringing some very key consumer elements that young adult consumers are looking for under the Budweiser badge and name."
Be will be priced slightly higher than Budweiser and sold both in the off-premise - such as supermarkets - and the on-premise markets, although the marketing will focus upon the on-premise sales. Instead of a lavish mass-media campaign, the brewer will support the marketing through local print advertising, point-of-sale materials, bar and club promotions and online programs.
Reflecting its low-key marketing push, Anheuser-Busch will launch the product in phases. The brewer expects to have the beer in its first-phase markets by early November. By the end of the year, the product should be available in about half of the domestic market, McGauley said.
He declined to identify which markets will be the first to offer the new beer.
Be contains 22.5 grams of carbohydrates, higher than the 10.6 grams found in Budweiser or the 2.6 grams in low-carb Michelob Ultra.
The brewer said the added flavors, aromas and ingredients required a higher level of carbohydrates. However, it doesn't expect this to affect interest, because young adults tend to be less interested in carb counting.
Be is infused with caffeine, guarana - a paste derived from a Brazilian fruit - and ginseng in the brewing process, the St. Louis-based brewer said Monday.
The aromas of blackberry, raspberry and cherry mixed with the traditional scent of hops give the beer a slightly sweet and tart taste, the brewer said.
"We've created Be for the 21- to 27-year-old contemporary adult consumer, specifically in mind for those who are looking for that latest drink to keep up with their fast-paced lifestyle," said Pat McGauley, senior director of new products and high-end brands at A-B's domestic brewing unit.
The addition of "extra" flavors, ingredients and aromas is the reason that Anheuser-Busch is adding an "e" to the product's name, A-B executives told reporters Monday in a conference call.
To be brewed in Houston, the beer will be packaged in a 10-ounce can that is slimmer than traditional beer cans. The product contains 6.6 percent alcohol by volume, slightly higher than Budweiser's 5 percent.
The beer also has 54 milligrams of caffeine, similar to the amount in a 12-ounce can of the soft drink Mountain Dew, McGauley said.
The new beer is the latest move to combat the growing popularity of distilled spirits among 21- to 27-year-olds, a coveted demographic group.
In recent years, these young adult drinkers have become increasingly interested in spirits due to the wide variety of flavors and colors available in mixed drinks. Many try these drinks in the on-premise market, such as bars and clubs.
Concerned about this trend, Anheuser-Busch earlier this year unleashed an aggressive marketing campaign that targets the on-premise market.
The brewer already appeals to these young adult drinkers through its Bacardi Silver family of flavored malt beverages, which offers flavors such as raspberry and lemon.
Anheuser-Busch's decision to roll out Be reflects the fact that consumers face a growing spectrum of drinking choices, said Bob Lachky, vice president, brand management, and director, global brand creative, at the domestic brewing unit.
Years ago, people defined their drinking through a particular brand, such as Budweiser, or a type of drink, such as wine, he said.
Now, they decide to drink a Budweiser or some wine depending on their mood, the drinking occasion - such as a date - or the time of day, Lachky said. "It's more about individuality and wanting something different and not conforming."
The new drink will help rejuvenate the Budweiser brand, McGauley said.
"It just adds a tremendous amount of contemporary adult attitude to the Budweiser name as well," he said. "It's bringing some very key consumer elements that young adult consumers are looking for under the Budweiser badge and name."
Be will be priced slightly higher than Budweiser and sold both in the off-premise - such as supermarkets - and the on-premise markets, although the marketing will focus upon the on-premise sales. Instead of a lavish mass-media campaign, the brewer will support the marketing through local print advertising, point-of-sale materials, bar and club promotions and online programs.
Reflecting its low-key marketing push, Anheuser-Busch will launch the product in phases. The brewer expects to have the beer in its first-phase markets by early November. By the end of the year, the product should be available in about half of the domestic market, McGauley said.
He declined to identify which markets will be the first to offer the new beer.
Be contains 22.5 grams of carbohydrates, higher than the 10.6 grams found in Budweiser or the 2.6 grams in low-carb Michelob Ultra.
The brewer said the added flavors, aromas and ingredients required a higher level of carbohydrates. However, it doesn't expect this to affect interest, because young adults tend to be less interested in carb counting.
