SPONSOR INSIGHTS
Partnership Reports
Savvy Sponsorships Fuel Modelo’s Explosive Growth in the U.S. Beer Market
A leading beer from south of the border made waves in the U.S. beer market last month: Modelo Especial, an import sold since 2013 by Constellation Brands, became the top-selling beer in America, with 8.4% of retail-store sales, as reported in the Wall Street Journal last week.
The role sponsorships have played in the beer’s ascent is arguably the most interesting facet of the Modelo story. In 2019, 70% of the brand’s consumers were Hispanic, as Constellation set its sights on expanding the beer’s mass-market appeal. With that goal in mind, Modelo has grown its sponsorship portfolio by a staggering 132% since then, to more than 70 partnerships–starting with NFL teams, where its number of total sponsorship assets has increased 15% to lead the brand’s property partner ranking. Modelo’s sponsorships across the other four U.S. major pro sports leagues have leveled out relatively evenly over the same period.
Meanwhile, Modelo’s non-Hispanic consumer base has grown to 45% since 2019, while the beer brand became the top seller in California, as well as in metropolitan areas including Chicago, Dallas, and Baltimore, according to Constellation. Modelo’s leadership in these markets directly reflects its endorsement strategy: they comprise four of Modelo’s top 6 sponsorship markets, while California, Chicago, and Dallas account for 37% of its total partnership assets.
Not surprisingly, Modelo’s purchase of high-level inventory–including club, deck, and bar naming rights, official sponsor, and field-level signage–has risen in step with its partnership growth. Notably, 5% of the brand’s deals include a community and cause activation.
Modelo has engaged more than 480K followers in the last 12 months on social media across Facebook, Instagram and Twitter. Interestingly, its best performing posts with athletes were with UFC fighters Stipe Miocic and Justin Gaethje. On the rights holder side, the Atlanta Hawks and Las Vegas Raiders lead the charge among the beer’s top co-branded posts.