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'Low-carb' beer to debut



By Jim Kirk, Chicago Tribune
May 2, 2002 12:47 AM


May 2--With "low carb" the buzz diet phrase of the moment, it shouldn't come as a surprise that beer--probably not something high on Dr. Atkins menu--would follow suit.

So Anheuser-Busch, which launched the low-carbohydrate Michelob Ultra last December in Denver, Tucson, Arizona and central Florida, plans to roll out the brand in Chicago, Baltimore, Washington, D.C., and the rest of Florida on May 13, the company said Wednesday.

A national rollout is planned for September.

Michelob Ultra has 96 calories--about average for a light beer--but only 2.9 grams of carbohydrates per 12-ounce serving, roughly half of what normal light beers carry.


Teaser ads begin appearing in local newspapers this week, using the famous Michelob red ribbon and the line: "On May 13, you'll begin to look at beer in a whole new light."

Outdoor and newspaper ads beginning May 13 will carry a picture of the bottle with the line: "Lose the carbs. Not the taste."

St. Louis-based Whalon handles the brand's advertising.

A-B executives cite a better-than-expected response in its initial markets as the decision to rollout the product nationally.

"We couldn't have anticipated the consumer demand," said Dave Peacock, vice president of high-end brands at A-B. "With the focus on low carbohydrate diets today, we think it has a unique niche in the market."

It's also the latest experimentation with A-B's Michelob brand. Earlier this year, the brand experimented with ads aimed at older drinkers--a first in a category that has continually focused on the biggest consumers of beer, young drinkers.

But as Boomers age, more consumer products companies are adjusting marketing techniques and rolling out a slew of products to appeal to consumers as they age.

So far, the brand appeals to a broader age range than other Michelob products, Peacock said.

Michelob Ultra is also coming out at a time of new product activity in the light beer category. Miller Brewing Co.-owned Leinenkugel is coming into Chicago with its first light beer this summer, as is Sam Adams.

What's not clear yet is how much Michelob Ultra will cannibalize from its core franchise, including top-selling Bud Light and Michelob Light. Executives contend there is room for Ultra.

In the summer of the "malternative," though, it may be hard to tell.

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(c) 2002, Chicago Tribune. Distributed by Knight Ridder/Tribune Business News.