The Impact Of A Pandemic On Corona Beer Sales

The COVID-19 pandemic caused a lot of confusion for the beer brand Corona, with many people associating the beer with the virus. In February 2020, a survey by 5W Public Relations found that 38% of Americans wouldn't buy Corona under any circumstances because of the outbreak, and another 14% said they wouldn't order it in public. However, sales data suggests that the pandemic did not significantly impact Corona's sales. While there was a 12% decline in revenue in the first half of 2020 compared to the previous year, sales remained steady for the rest of the year, and Corona remained the top-selling imported beer in the US. Only 4% of Corona drinkers said they would stop drinking the beer because of its name. The decline in sales was attributed more to restrictions on bars and restaurants during the pandemic rather than a negative association with the virus.

38% of Americans refused to drink Corona beer at the height of the pandemic

On February 28, 2020, CNN published a tweet claiming that 38% of Americans refused to drink Corona beer under any circumstances due to fears of the coronavirus. This amounts to more than a third of Americans. The tweet was based on a survey by 5W Public Relations, which polled 737 beer drinkers in the United States. The survey found that 38% of beer-drinking Americans would not buy Corona "under any circumstances", while 14% said they would not order a Corona in public.

The survey results sparked ridicule on social media, with many criticising Americans for their apparent ignorance. However, it is important to note that the survey questions may have been leading, mentioning "coronavirus" and "Corona" together, which could have skewed the results. Additionally, the survey did not specify how many of those who said they would not buy Corona would have bought it under normal circumstances.

Despite the survey results, sales of Corona beer remained strong, and the company denied that the pandemic had negatively impacted their business. In fact, the decline in revenue experienced by Corona's parent company at the beginning of 2020 was attributed to the closure of bars and restaurants during lockdowns, rather than a change in consumer sentiment.

While the survey suggested that a significant number of Americans were put off by the beer's name, only 4% of Corona drinkers said they would stop drinking it because of its association with the pandemic. This indicates that, despite the negative buzz surrounding the brand, most consumers were not deterred by the name similarity between Corona beer and the coronavirus.

Corona's sales remained steady despite the pandemic

Despite the unfortunate association between Corona beer and the coronavirus, sales of the beverage remained steady throughout the pandemic. Although there was a decline in revenue in the first half of 2020, this was attributed to the closure of bars and restaurants during lockdowns, rather than a direct result of its namesake. In fact, sales of Corona in supermarkets remained consistent throughout the year across the globe.

At the beginning of the pandemic, many people drew connections between the beer and the virus, with some even editing and playing around with the Corona beer logo to include images of the coronavirus. This negative association was further fuelled by a survey released by 5W Public Relations, which claimed that 38% of Americans wouldn't buy Corona "under any circumstances" due to the outbreak. Another survey by YouGov found that consumers' intent to purchase Corona fell to its lowest level in two years, and its buzz score, a metric that measures brand favourability, also dropped significantly.

However, these surveys were called into question, with critics arguing that the wording of the questions may have been leading and created to push a viral story. In response to the surveys, a Constellation Brands spokesperson stated that sales of Corona remained "strong" and that their advertising was consistent with the campaign they had been running for the last 30 years. They attributed any decline in sales to the restrictions on activity during the pandemic, which reduced access to drinking or buying the beer.

Interestingly, only 4% of Corona beer drinkers said they would not drink the beer because of its name association with the pandemic. This suggests that while the negative publicity may have caused a temporary dip in sales, it was not a significant enough factor to cause a long-term decline. Overall, Corona beer maintained its position as the world's most valuable beer, demonstrating the resilience of the brand despite the challenges posed by the pandemic.

Corona's parent company saw an 8% drop in stock value

In February 2020, 38% of Americans refused to drink Corona beer under any circumstances due to fears of the coronavirus. This negative association with the COVID-19 pandemic caused a decline in the brand's popularity, with a survey by 5W Public Relations finding that 14% of respondents wouldn't order a Corona in public. Another survey by YouGov found that consumer intent to purchase Corona fell to its lowest level in two years, and the brand's buzz score, a metric measuring favourability, also dropped significantly.

Despite the negative publicity, the impact on actual sales of Corona beer was minimal. While sales in China dropped at the beginning of the pandemic, and AB InBev lost around $200 million USD, this was largely attributed to reduced activity and the closure of bars and restaurants, which account for a high percentage of Corona sales. Sales of Corona in supermarkets remained consistent throughout the year, and only 4% of Corona drinkers said they would stop drinking the beer due to its name association with the pandemic.

However, the parent company of Corona beer, Constellation Brands, did experience financial repercussions. In February 2020, the company saw an 8% drop in stock value. This was likely influenced by the negative buzz surrounding the brand, as well as other factors such as the write-down of their investment in the cannabis company Canopy Growth.

Constellation Brands holds the US license for Corona, which is produced in Mexico by Grupo Modelo, owned by AB InBev. AB InBev is the world's largest beer manufacturer and has experienced its own financial troubles, with a drop in stock value of over 23% in the six months leading up to February 2020. This was partly due to decreased beer volume sold in China, which impacted their overall revenue.

Corona's sales dropped in China in February 2020

In February 2020, sales of Corona beer dropped in China. AB InBev, the world's largest beer manufacturer, lost around $200 million USD due to the lack of sales when the COVID-19 pandemic began. The drop in sales was likely due to reduced social activity and going-out occasions, as many bars and restaurants closed during the pandemic. Chinese New Year is typically an important time of year for alcohol sales, but this was affected by coronavirus restrictions.

While many people assumed that the decline in sales was due to the beer's namesake, this was not the case. Only 4% of Corona drinkers said they would not drink the beer because of its name being associated with the pandemic. Other beer brands experienced similar sales declines during this period, indicating that the name association was not the primary reason for the drop in sales.

The true cause of the change in sales was likely due to reduced accessibility. The pandemic caused many countries to enter lockdowns, resulting in the closure of bars, restaurants, and pubs. This meant that sales of Corona beers in these venues were lost, as most establishments were not allowed to serve alcohol during the lockdowns.

Despite the drop in sales in China, Corona beer remained the most valuable beer in the world at the end of 2020, with consistent sales rates across the globe.

Only 4% of Corona drinkers said they'd stop drinking it due to its name

The COVID-19 pandemic caused a worldwide economic crisis, and many assumed that the sales of Corona beer would be affected due to its namesake. Interestingly, only 4% of Corona drinkers said they would stop drinking it because of its name being associated with the pandemic.

Despite the negative association, Corona beer sales remained steady throughout 2020, and it still remains the most valuable beer in the world. While there was a 12% decline in revenue in the first half of 2020 compared to the previous year, this was attributed to restrictions on activity and the closure of bars and restaurants during lockdowns. Sales of Corona in supermarkets remained consistent throughout the year.

The impact of the pandemic on Corona beer sales was a topic of much discussion and speculation. In February 2020, CNN published a tweet reporting that 38% of Americans refused to drink Corona beer due to fears of the coronavirus. This sparked widespread criticism of Americans on social media for their apparent ignorance. However, it is important to note that this statistic may have been influenced by the wording of the questions asked in the survey. Additionally, the summery and beachy associations of Corona beer could also have contributed to the decline in sales during the colder months.

The parent company of Corona beer, AB InBev, experienced a decline in revenue at the beginning of 2020, but this was due to reduced accessibility and restrictions on activities, rather than negative name association with the coronavirus. In fact, many people created memes and jokes associating the beer with the virus, which did not seem to have a significant impact on sales.

While there may have been initial concerns about a potential link between Corona beer and the coronavirus, the data suggests that the impact on sales was minimal. The negative association did not stop people from buying the beer, and Corona maintained its position as the most valuable beer in the world.

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