Crumbl Cookies, once a small store in Utah, turned a simple treat into a nationwide obsession. In just a few years, Crumbl Cookies has grown into a billion-dollar company. Their story isn’t just about cookies though—it's about how strategic marketing led to massive success!
In 2017, cousins Jason McGowan and Sawyer Hemsley ventured into the cookie business, even though neither had any experience in the baking industry. At the time, Hemsley was juggling college responsibilities, while McGowan was employed in the tech industry. Nearly everyone in their families thought they were losing their minds—and it wasn’t hard to see why. Here were two young guys, completely clueless about baking, experimenting with cookie recipes at 2:00 AM, wasting not only large amounts of cookie dough but also their money!
However, the duo persistently followed their vision. Jason, with a strong background in tech, was familiar with a concept known as “A/B testing”—comparing two versions of a product by changing one element at a time. The pair utilized this technique in their recipe development process, creating two versions of a cookie with just one ingredient changed at a time. They offered samples of their cookies at gas stations and changed their recipes based on feedback. After months of testing and alterations, they finally created their perfect cookie.
McGowan invested $68,000 from his savings to open their first store in Logan, Utah. It wasn't long before word of mouth spread throughout their town, and people began lining up outside the store to try their cookies. Soon, McGowan and Hemsley struggled to meet increasing demand. Customers grew frustrated as they waited in long lines—only to be told their cookies were sold out. As a result, the pair began expanding into other locations.
What drove this rapid demand? Inspired by the fashion industry's strategy of "product drops”—where brands release products in limited quantities or time to create a sense of urgency—they saw an opportunity to apply a similar tactic to Crumbl Cookies. This led to their famous “Rotating Menu,” where a new set of six different Crumbl flavors is introduced each week. Each week's menu reveal creates anticipation, similar to a product launch. This strategy not only created an exciting customer experience but also amplified Crumbl’s presence on social media, as people eagerly discussed Crumbl’s six new cookie flavors each week.
The smart use of social media played a big factor in Crumbl’s growth. Hemsley’s plan of focusing solely on social media marketing instead of traditional methods (radio, TV, ads), clicked with Gen Z and millennials. With almost 10 million followers and 92 million likes on TikTok alone, Crumbl Cookies has created a powerful online presence.
Crumbl’s rapid growth, however, has had its fair share of criticism and debate. One of the biggest customer complaints is its pricing. With each cookie priced at $4.99 and a box of six at $24.99, some argue it's way too expensive for a simple treat! Others, however, believe that for the value and size you’re getting, it's worth the cost. Another point of debate is the calorie and sugar content. While many find them delicious, the Center for Science in the Public Interest notes that each cookie contains about 76 grams of added sugar, creating customer concerns about health. There’s no denying that cookies are far from healthy, but with each Crumbl Cookie containing around 700 calories, consuming a box of 6 would be around 4200 calories. That’s well over the recommended daily intake of 2000 calories! Customer Alice Diep jokingly said, “It’s like 3,000 calories in a cookie. I could die from that." While her comment is clearly an exaggeration, it shows the concern about the high calorie content in these cookies.
The company has faced its fair share of criticism and debate regarding pricing and health concerns. Yet, Crumbl remains stronger than ever! Today, Crumbl Cookies has over 1,000 stores, generating over a billion in annual sales. In 2022 alone, they sold over 300 million cookies! Crumbl’s success is largely driven by a rotating menu that introduces new cookie flavors each week, as well as strategic marketing on various social media platforms—particularly TikTok. Crumbl’s business strategies keep customers excited and have helped keep customers excited, making their cookies go absolutely viral!