Captain Lawrence Brewing and U.S. Beverage (USB), the portfolio company and importer that acquired Uinta Brewing via a joint venture in early 2022, have formed a sales and marketing partnership, both companies announced this week.
As it enters its 17th year, Elmsford, New York-based Captain Lawrence will use the partnership to grow its brand both in its home market and in expansion territories.
“I’m proud of the job that we’ve done to show how exciting local craft beers can be, and equally proud to be so tied to our community,” Captain Lawrence founder and owner Scott Vaccaro said in a press release. “As we look toward the next phase of our growth, we only had to look to our neighbor US Beverage. The USB team has the marketing skills, the sales acumen, and the distributor network to help us grow.”
Financial terms of the arrangement were not disclosed. However, USB will not take any equity shares of Captain Lawrence as part of the partnership.
Stamford, Connecticut-based USB’s sales and marketing departments and the Captain Lawrence team will work on an expansion strategy during the next six months, a spokesperson told Brewbound. Captain Lawrence’s offerings are distributed in 10 states from Massachusetts to Florida. The companies have yet to decide how many new markets to enter, but added the plan is to “introduce the brand to as many retailers and craft beer consumers that we can.”
“We will work closely with our distributor partners as a key part of the process as we identify areas that offer the greatest opportunity,” the spokesperson said. “We do not have a specific expansion goal or target in mind. We will take our time to understand and ensure that whatever decisions we make will be right for the brand.”
In the meantime, the companies will focus on launching new Captain Lawrence offerings, including a variety 12-pack. A wise selection, as craft variety packs are one of only two styles to grow in both dollar sales and case volume in the 52 weeks ending January 29. Craft variety packs, the third largest craft style at multi-outlet grocery and convenience stores behind IPA and Belgian witbier, increased dollar sales +6.4% and volume +2.5% compared to the same period the prior year, according to market research firm IRI. The only other craft style to do so was wheat beer (+4.3% in dollar sales, +1.9% in volume), which is much smaller than variety packs in dollar sales.
As the partnership takes shape, Captain Lawrence’s sales employees will join the USB team.
“Our partnership enables the Captain Lawrence brand to be represented by a larger sales team throughout the country,” the spokesperson said. “Collaboration between the two teams will help us grow the brand and capitalize on its potential both for the short and the long term.”
In addition to Uinta and now Captain Lawrence, USB’s portfolio includes imported offerings such as Tiger, Moretti, Estrella Damm, Moosehead and Innis & Gunn, as well as beyond beer offerings such as Malibu Splash flavored malt beverages and 1911 hard cider.
“Scott and the team at Captain Lawrence have crafted a sensational, innovative and diverse portfolio that has energized the craft beer scene throughout Metro New York for more than 17 years,” USB president Justin Fisch said in the release. ”Both companies share an unwavering passion for the beer business. We are thrilled to partner with them and help support their growth both organically and through innovation.”
In 2021, Captain Lawrence’s output increased +17%, to 22,000 barrels, according to the most recent data available from the Brewers Association (BA). At the height of the pandemic’s impact on the craft beer industry, the brewery’s volume declined -30%, to 18,769 barrels in 2020.
Captain Lawrence operates two taprooms, one at its 25,000 sq. ft. brewery in Elmsford, which includes a 2,500 sq. ft. beer hall and 6,000 sq. ft. beer garden, and a barrel house 14 miles away in Mount Kisco.