Crumbl: How We Built A Cookie Company That Brings In $1 Billion A Year

Summary

This transcript shares the journey of Crumbl, a cookie company co-founded by Jason McGowan and Sawyer Hemsley in 2017. With a rotating menu, a viral social media presence, and over 980 stores globally, Crumbl has grown into a billion-dollar business. The founders emphasize how they started with no baking experience, relying on customer feedback and tech innovations to create buzz around their product. Despite challenges, they focus on customer satisfaction and plan to expand internationally while adding new dessert offerings. The story highlights the value of persistence, creativity, and taking action to achieve success.

Takeaways

• 🍪 Crumble Cookies, founded in 2017 by Jason McGaann and Sawyer Hemley, has expanded to over 980 stores across the US and nine international locations.
• 🎉 The brand's success is attributed to its unique rotating menu and iconic pink box, which creates hype and excitement among customers.
• 💡 The idea of weekly 'drops' similar to the fashion industry was adopted to create scarcity and anticipation for their cookies.
• 💰 In 2022, Crumble Cookies reported sales of over a billion dollars, having sold 300 million cookies that year.
• 💼 Jason McGaann, originally from Canada and with a background in technology, co-founded Crumble after moving to the United States with an entrepreneurial dream.
• 👨‍🍳 Despite having no baking experience, Jason and Sawyer experimented with hundreds of recipes to perfect their cookie offerings.
• 🏠 The first Crumble location was in a building set to be demolished in six months, which they rented for $800 a month, adding to the initial risk and excitement.
• 💸 Jason personally invested $68,000 to start Crumble, and the business has been self-funded since its early days.
• 🌐 Crumble's growth included franchising, starting with a need to give a family member a location, which then expanded to over 500 franchise partners worldwide.
• 📱 In October 2018, Crumble launched its own in-house app to streamline the customer experience and gather feedback on cookie quality.
• 📈 The company's social media strategy, including leveraging user-generated content on platforms like TikTok, played a significant role in its online popularity and growth.

Q & A

What is Crumble, and how did it start?

Crumble is a cookie company founded in 2017 by Jason McGaan and Sawyer Hemley. It started as a fun side hustle with no prior baking experience, and they experimented with hundreds of recipes to perfect their cookies.

How many locations does Crumble have, and what is its global presence?

Crumble has over 980 stores across the U.S. and nine international locations, showing its significant global presence.

What was Jason McGaan's background before starting Crumble?

Before Crumble, Jason McGaan worked in technology for companies like Ancestry. He transitioned to the cookie business after realizing that bringing people together could be achieved through cookies rather than technology.

What is the secret to Crumble's success in creating buzz around its products?

Crumble’s success comes from its rotating weekly menu, iconic pink boxes, and a marketing strategy inspired by the fashion industry's 'drops,' creating excitement and scarcity around limited-time cookie offerings.

What are the key milestones in Crumble's growth?

Key milestones include selling 300 million cookies in 2022, reaching $1 billion in sales, launching an in-house app in 2018, and expanding to international markets such as Canada and the UK.

How did Crumble’s rotating menu come to be?

The rotating menu was introduced after customers were frustrated with unavailable flavors. Jason and Sawyer decided to offer new flavors each week, creating excitement and driving demand.

What role does social media play in Crumble's success?

Social media, especially TikTok, played a significant role in Crumble's success. The #CrumbleReview trend went viral, and the company has over 16 million followers across platforms, helping amplify customer reviews and build its brand.

What approach does Crumble use to test new cookie flavors?

Crumble uses 50 test store locations across the U.S. to gather customer feedback before launching new flavors nationwide. This customer-centric approach has contributed to the brand’s success.

How does Crumble maintain quality across its franchise locations?

Crumble uses its in-house app to monitor cookie quality in real-time across stores. Customers can rate cookies and provide feedback, which helps the company maintain consistent quality nationwide.

What are some of Crumble’s plans for the future?

Crumble plans to expand internationally, focusing on Canada and the UK. The company is also exploring new dessert offerings beyond cookies, starting with its first non-cookie item, the cinnamon square, launched in 2024.