A-B to Create Miller Chill Knockoff?

Appears to be dusting off “denigrate, replicate” playbook.

Anheuser-Busch appears set on creating a brand to fight Miller Chill, according to Beer Business Daily.

BBD reports that A-B appears to be conducting Internet market research surveys to gauge consumer interest in brands with Latin influences. These bear more than passing resemblances to Miller Chill.

One of concepts is Bud Light with lime, which BBD says is described as having “a hint of citrus for your perfect summer refreshment.” BBD notes that “it is depicted in a clear bottle with a yellow citrusy label.

The survey also sought responses to Rolling Rock with lime. It’s described as having a “hint of natural lime that gives a tart refreshing balance to Rolling Rock’s signature sweet finish."

Other concepts include Bud and Bud Light Chelada, characterized as a “chelada style beer … Bud Light with a hint of natural lime and salt for more flavorful refreshment.” BBD says this “would be even closer to Miller Chill’s profile.”

The report also notes that A-B also is gauging reaction to an extension of its Bud Clamato, set to go national next year, that has a hint of chili pepper.

If A-B’s moves seem familiar, it’s because it appears to be acting out of an old playbook. As described in Philip Van Munching’s “Beer Blast,” a common A-B response to new products was to “denigrate” them and then “replicate” them. That was how it responded to light beer, for instance. And Bud Select, with it carb profile, was somewhat of an imitation of Miller Lite.

Recall that earlier this summer, A-B issued a deck to retailers, citing proprietary numbers, claiming that Miller Chill was a bad deal for retailers. Miller countered.

Having failed so far to stifle the growth of Miller Chill, A-B now seems intent on creating a brand that resembles it.

While it’s too early to say that Miller Chill is a success, it’s clearly gotten A-B’s attention.

The Beer Business Daily home page is here.

Comments

[Don Schwenker]

If you go back and check the history, it would seem that A-B was working on Landshark as long if not longer than Miller was working on chill. Miller mass produced it quickly and flooded the market which caused it to take off quickly but that preceded to slow down measurably. Landshark opted for a select slower release starting approx one year ago in January in Florida and Las Vegas.

In another comparison, Landshark is a premium brand verses Miller chill is a regular brand thus your story seems to be comparing a ford fusion to a Lexus.

Don Schwenker

or a miller lite to a bud light

[Jim Arndorfer, Brew Blogger]

Don:

Thanks for the comment.

A few points:

1. I’m not privy to when A-B started working on Land Shark Lager. But Miller Chill was in development for more than a year before its rollout was announced in February. It hit test markets in March. Its performance was so strong that Miller decided to roll it out nationally that summer – and it became one of the fastest-selling brands of the summer.

2.Miller Chill is priced as a worthmore, not a “regular brand.”

3. Miller expected the brand would experience some seasonality – which it has. That said, volume trends have been picking up significantly in recent weeks.

Thanks,

Jim Arndorfer

Brew Blogger