I don't know if you've heard, but Coors Light – owned by Molson Coors Brewing (TAP) – has a revolutionary new can, if you can think of aluminum containers for beer in such terms. In fact, they've introduced an array of new "technology" designed to improve your drinking experience. Among the host of so-called innovations listed on their website, there's the "Super Cold Draft" which gets your beer "colder than cold" and a "cold activation window" that allows you to make sure your cans are properly chilled before purchasing (also known as a hole in a box).
If you're skeptical about some of the claims Coors is making about the ingenuity behind its aluminum cans, you're probably a Budweiser drinker. Anheuser Busch (BUD) has succeeded in generating some negative publicity for the Colorado brewer. A case brought before the Advertising Self-Regulatory Council is even prompting some backlash as the agency has forwarded the compaint to the Federal Trade Commission.
This is not the first time Molson's clever marketers have come under fire. Earlier this month the company was in the news as small brewers decried what they considered a "crafty" attempt to horn in on the market for craft beer, by making Blue Moon appear to be a smaller, independent company. While the Molson name may not appear on Blue Moon's bottles, the brand is making waves, with a market share that has risen consistently since it was first developed – Blue Moon now accounts for about 1% of the total beer market.
For the record, Coors has already released a statement that while the advertising was "truthful," if a bit embellished (hardly a sin in advertising), it is ending the campaign this fall. So if you're dying to get your hands on some of its "super-cold" new products, you might want to hurry up.
Looking for more investing ideas in beer? Check out our infographic about the craft beer industry.
How will the public react to Coors' marketing tactics? Use the list below to begin your own analysis.
1. Anheuser-Busch InBev (BUD, Earnings, Analysts, Financials): Engages in brewing and selling beer in North America, Latin America, Europe, and the Asia Pacific. Market cap at $160.78B, most recent closing price at $100.03.
(List compiled by James Dennin. All financial data sourced from Finviz.)
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