Molson Coors Ups Bet on Beer While Rivals Double Down on Hard Seltzer
Decisive differentiation can be compelling to investors. But is it possible that refusing to follow your rivals into a new, proven opportunity takes the idea of differentiation too far?
It's a question Molson Coors (NYSE: TAP) (NYSE: TAP-A) shareholders will be forced to contend with sooner rather than later. The company's CEO Gavin Hattersley made clear last week when he said beer -- and not hard seltzers -- would remain the organization's priority going forward.
It matters simply because hard seltzers have been driving the bulk of the growth within the alcoholic drinks market of late. In 2019, the United States' hard seltzer revenue soared 212% year over year. Overall beer sales have been in a slump, in fact, with volumes from major names like Coors and Anheuser Busch Inbev (NYSE: BUD) brand Budweiser slipping 4.1% in 2019, according to numbers from market research firm Nielsen.
Source Fool.com
