In 2017, two cousins with absolutely zero professional baking experience decided to open a cookie business together.
Now, Crumbl Cookies has more than 980 stores across the U.S., topping $1 billion in sales across all franchises while selling more than 300 million cookies in 2022, according to co-founders Jason McGowan and Sawyer Hemsley.
"I never imagined in my wildest dreams that we would do over $1 billion in sales," says McGowan, 43, who estimates he invested about $68,000 of his own money to get the business off the ground. (The company declined to share its 2023 sales, saying those figures are still being audited.)
Crumbl's rise began when McGowan, a former tech executive at companies like Ancestry.com and television guide app i.TV, decided to start a business with his cousin. When their first store opened in Logan, Utah, in 2017, Hemsley was still studying marketing at Utah State University.
"We just thought it was a fun side hustle," McGowan tells CNBC Make It.
McGowan and Hemsley had never baked professionally before, but they meticulously tested different cookie recipes and enlisted friends, family and strangers to taste-test them. They grew confident enough in a single recipe, Crumbl's signature chocolate-chip cookies, to build their first location around it.
From there, the co-founders' backgrounds in tech and marketing took over. The pair used social media to build a huge following "from the beginning," McGowan says. They take cues from the fashion industry, by organizing weekly "drops" where they announce new, limited-edition cookie flavors on TikTok.
"It creates that hype. It creates that excitement. And it also creates some scarcity, because you can only have that cookie for that week," McGowan says. Individual Crumbl cookies typically cost between $4 and $5 apiece, with the per-cookie price decreasing if you order packs of four, six or 12, according to the company's website.
Crumbl's social media following currently tops 16 million followers across platforms. It has become particularly popular on TikTok, with more than 7 million followers and a viral hashtag, "#TasteWeekly." TikTokers use it to post reviews, both positive and negative, of Crumbl's cookie flavor drops.
As a result of that hype, Crumbl has attracted plenty of franchising interest — and used it to open more than 600 new stores between 2022 and 2023. McGowan says the pace will probably slow going forward — though Crumbl does intend to expand internationally, including in the U.K.
Crumbl has also attracted copycats, it claimed in a pair of 2022 trademark infringement lawsuits. Both eventually resulted in settlements with undisclosed terms. "Just as any company would, Crumbl chose to protect its brand," says a company spokesperson.
Indeed, McGowan says one of his biggest lessons so far is that Crumbl's success is fairly easy to replicate.
"As I get older and as I build this company, I realize more and more that everything that we do is really just something that anyone can do," he says. "Whether you don't have a mixer yet, or you don't have a recipe for a cookie yet, you just get started."
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FAQs
Per a press release obtained by ABC4, an investigation found that the franchises in question allowed young employees, "many 14 and 15 years of age," to work more than the law permits or in "hazardous or prohibited occupations." Additional violations included minors operating dangerous machinery, like ovens, and working ...
What do the average as an owner of the Crumbl franchise make per year? ›
As per our analysis, the average net profit margin for a Crumbl Cookies is 10-15% of sales. This means that franchisees can earn on average up to $270,000 per year. Yet bear in mind this number doesn't include any potential debt repayment you must make if you took on a loan to pay for the investment cost.
Who owns Crumbl Cookies Mormon? ›
It all started with one big dream, two crazy cousins, and the perfect combination of flour, sugar, and chocolate chips. Crumbl was co-founded by Jason McGowan (CEO) & Sawyer Hemsley (COO).
Why are Crumbl Cookies bad? ›
The consumer advocacy group wrote that a chocolate chip cookie from Crumbl has a full day's worth of saturated fat and more than half a day's worth of added sugar. For customers worried about eating too many calories in one sitting, Crumbl sells a cookie cutter for $8 that evenly divides its cookies into four servings.
Did Crumbl Cookies win the lawsuit? ›
The largest of the three companies, Logan-based Crumbl, and a company that it had sued, Dirty Dough, agreed to a settlement, according to a court document filed Friday with the U.S District Court in Utah. The court document states that both companies are “finalizing a written agreement to memorialize the settlement.”
Does Crumbl under cook their cookies? ›
Our cookies are meant to be crispy on the outside and gooey on the inside but not undercooked. If your cookies seem undercooked, please contact Customer Assist using the chat bubble 💬 at crumblcookies.com/contact. We want to make a report with your feedback!
How much is the CEO of Crumbl worth? ›
Alternatively, Hemsley could have decided to reinvest his Crumbl Cookies profits back into the firm or other projects. His estimate net worth is $70 Million.
Is a Crumbl franchise worth it? ›
They come to you courtesy of the Eat This, Not That! website: “In 2023, 571 Crumbl locations reported an average revenue of $1.16 million, making an average net profit of $122,955. Meanwhile, in 2022, 324 units generated an average revenue of $1.84 million and an average net profit of $298,319.
How many cookies does Crumbl sell a day? ›
In the last six years, Crumbl has opened more than 750 stores from coast to coast. The company says that last year it sold, on average, nearly a million cookies a day. It's the kind of success that's often traced to social media, but Crumbl is no ordinary internet sensation.
Is Chick-fil-A a owner Mormon? ›
Many of the company's values are influenced by the Christian religious beliefs of its late founder, S. Truett Cathy (1921–2014), a devout Southern Baptist. Reflecting a commitment to Sunday Sabbatarianism, all Chick-fil-A restaurants are closed for business on Sundays, Thanksgiving, and Christmas Day.
Crumble cookie is Mormon.
What is the most popular crumbl cookie? ›
Some of the most popular Crumbl cookie flavors include the Honey Cake with Teddy Grahams and Birthday Cake. In recent weeks, some of Crumbl's featured recipes include S'mores, Snickerdoodle Cupcake, Iced Oatmeal, Raspberry Danish, Cookie Butter Lava, Cotton Candy, Dulce de Leche, Brookie, Oatmeal Raisin, and more.
Why is Crumbl in trouble? ›
Follow employment law
Last year, the Department of Labor accused Crumbl of violating child labor laws. You may think no one will notice or that it's not a big deal, but follow employment law and double-check with a qualified employment attorney if you're not certain.
How long do Crumbl Cookies last unrefrigerated? ›
Things You Should Know
Keep Crumbl cookies at room temperature in an airtight container for up to 3 days. Simply set them in a cool, dry area out of direct sun. Or, store your cookies in the fridge in an airtight container for up to 7 days. Alternatively, freeze the cookies for up to 6 months.
Why are Crumbl Cookies cold? ›
BUT some Crumbl cookies that include perishable toppings or cream cheese frosting are typically chilled to maintain freshness.
Did Crumbl go out of business? ›
Crumbl Cookie Closures
Since 2023, the company has closed: Four shops in California. One in Florida. One in Georgia.
Who was first, Dirty Dough or Crumble? ›
But has it? Crumbl Cookie started in 2017 and Dirty Dough started in 2018. Some have assumed that Crumbl and Chip were the biggest cookie companies in Utah.
What are the morals of Crumbl cookie? ›
The three core values that have driven our success are: one team, create joy, and get the right stuff done.
