Brooklyn Brewery has tapped U.S. Beverage (USB) to lead its sales efforts in a new national partnership, the companies announced Monday.
The partnership launches on November 1, according to a press release. No changes are expected for Brooklyn’s existing distributor network, and no equity is changing hands.
Brooklyn did not disclose how many internal sales roles will be eliminated as it shifts those duties to USB.
USB’s nationwide sales and marketing team consists of 52 people, with additional support from five dedicated marketing staffers, four division directors, 12 regional directors, four chain key account managers and several sales activation specialists, a USB spokesperson told Brewbound.
“We are thrilled to be embarking on this next chapter for Brooklyn Brewery with a strong and capable sales partner like United States Beverage,” Brooklyn president Robin Ottaway said in the release. “Not only do we share similar values, but by joining forces we’ll be able to deliver our delicious beers to all 50 states and open new doors along the way.”
Brooklyn’s distribution footprint includes 30 states and 26 countries. With USB’s support, the 37-year-old craft brewery will begin evaluating new markets.
“For the expansion, they will take the next several months to carefully assess the current market landscape, organizational structure, and growth opportunities before making strategic decisions on how to best position Brooklyn Brewery for long-term national success,” a USB spokesperson told Brewbound.
The states where Brooklyn does not currently distribute include Alabama, Alaska, Arkansas, Hawaii, Idaho, Iowa, Kansas, Mississippi, Montana, Nebraska, New Mexico, North Dakota, Oklahoma, Oregon, South Dakota, Utah, Washington, West Virginia, Wisconsin and Wyoming.
This isn’t Brooklyn’s first foray into a multi-brand sales partnership. In 2017, it created a short-lived platform with 21st Amendment (San Francisco, California) and Funkwerks (Fort Collins, Colorado) to leverage 150 sales professionals across 38 states. Both partner breweries made headlines recently. 21st Amendment is preparing to wind down operations permanently, and Funkwerks, which joined Denver-area platform Wilding Brands, recently shuttered its original taproom.
Brooklyn has made several strategic investments in recent years, including taking a 20% stake in FX Matt (Utica, New York), with whom it has a more than three-decades-old production contract; and a minority investment in non-alcoholic sparkling hop water Hoplark. The company is preparing to move into its new flagship location.
In 2022, Stamford, Connecticut-headquartered USB acquired Uinta Brewing (Salt Lake City, Utah), and began forging strategic sales and marketing partnerships with craft breweries the following year.
Its first was Captain Lawrence (Elmsford, New York) in 2023. This year, the company has signed agreements with Vermont Hard Cider (Middlebury, Vermont), Evil Genius (Philadelphia, Pennsylvania) and Rogue Ales & Spirits (Newport, Oregon).
In addition to craft beer, USB’s portfolio of owned and imported brands includes Erdinger, Tiger, Estrella Damm, Innis & Gunn, Birra Moretti, Moosehead, La Tropical, Dirty Pop, Kamoti, Sagres, Brody’s, Sammy’s Beach Bar Rum and Beehive.
In 2024, Brooklyn was the ninth largest craft brewery by volume in the country, according to data from the Brewers Association (BA). Its output increased 3%, to 338,568 barrels of beer. Last year was the first since 2021 that Brooklyn did not record double-digit volume growth:
- 2021 +18%, to 216,119 barrels;
- 2022 +28%, to 276,729 barrels;
- 2023 +19%, to 329,645 barrels.
“Brooklyn Brewery represents everything we look for in a partnership – a leading brand in the craft category built on transparency, quality, and hard work,” USB CEO Justin Fisch said in the release. “We share a like-minded, long-term vision for the brand and the business, and are honored to work alongside them as we look to the future.”
In the 52-week period ending October 4, off-premise dollar sales of Brooklyn’s portfolio have declined 19.7% and volume, measured in case sales, declined 21.4%, according to NIQ data provided by 3 Tier Beverages. NIQ’s data set includes Total U.S. xAOC + liquor open state + convenience stores, but does not include the on-premise channel and may exclude independent retailers, which are a prominent channel in some of Brooklyn’s strongest markets.