Corona beer beats coronavirus memes with 21 pct international growth in 2019
Corona beer saw a 21 percent growth in revenue outside of its home market of Mexico in 2019 year-on-year, with major contributions from China and South Africa, the brand’s owner ABInBev reported on Thursday.
Corona has been the subject of various social media memes as users draw connections between the beer’s name and the deadly coronavirus epidemic.
Although the brand has seen growth in international markets, in the US, where Constellation Brands, Inc. distributes the beer, a recent survey by YouGov, a British-based international internet-based research firm, found that consumer sentiment to the beer had decreased by nearly a third. Constellation Brands, Inc. stock has traded down 8 percent this week as sentiment dropped and investors worry what the coronavirus link could mean for the brand.
The coronavirus has not been positive for businesses. Although Corona beer saw an uptick in sales, ABInBev reported that its first quarter earnings would drop about 10 percent following a profit growth in 2019 as costs increase and the coronavirus dampens demand.
The coronavirus has currently infected over 80,000 people with over 2,800 deaths, most of them in China. In the Middle East, Iran has become the deadliest epicenter for the disease outside of China, reporting the most number of deaths after the Asian giant.