Your $1B Recipe for 2025!

Written by Eric Rittenhouse , MBA?

With the start of the New Year comes new opportunities in business development and revenue generation. While budgets and sales goals may have already been established, the search for new opportunities never really stops. Two recent articles about Crumbl Cookies—one in the Wall Street Journal and another in The Hustle—have piqued my interest and showcased an impressive business model worth examining.?

Here are some key takeaways about Crumbl:?

• What began as a single store in Utah in 2017 has expanded to over 1,000 franchise-owned Crumbl locations across the U.S. and 18 in Canada, with 96% of these openings occurring since 2020.?

• Crumbl's franchisees generate over $1 billion in annual sales.?

• In 2022, Crumbl sold more than 300 million cookies.?

• In 2023, the average Crumbl shop earned approximately $1.2 million in revenue, translating to profits of around $123,000.?

• The brand posted a net income of nearly $31 million on revenues exceeding $122 million last year.?

• In 2023, Crumbl opened more than 300 new stores and plans to add around 100 more in 2024.?

• The chain aims to expand further into Australia and the U.K.?

• Notably, Crumbl has become particularly popular among women, with 65% of its customers being female, especially teens and tweens.?

What drives this success?

Crumbl has effectively harnessed the power of social media, boasting 9.6 million followers on TikTok and a devoted customer base eager to try its latest flavors. This success can be attributed to several strategies:?

• The brand’s weekly menu changes and limited-edition cookie releases create excitement and exclusivity on social media.?

• Their signature pale-pink cookie boxes were developed in collaboration with the Pantone Color Institute.?

• With 15% to 16% of teens using YouTube or TikTok “almost constantly,” Crumbl’s visually appealing branding captures large audiences.?

• Developing new cookie flavors is a meticulous process that can take anywhere from three months to a year. It involves five or six iterations and testing in about 50 stores before launch. This level of attention to delivering high-quality cookies is part of their brand appeal.?

How can this apply to your business?

In previous articles, we discussed business blueprints based on the Blue Ocean Strategy—exploring new markets, channels, and marketing techniques. Crumbl’s success demonstrates that "everything old can be new again"—a statement that can also be applied to brands like Starbucks. This suggests multiple avenues for revenue, such as a relaunch or rebranding of existing products, adopting new marketing tactics (particularly on social media), or developing new products based on thematic campaigns. The possibilities are endless.?

At BSM Partners, we leverage our expertise, connections, and passion to help your business thrive. Unfortunately, many innovative ideas or high-quality products never make it to market, but we believe this doesn't have to be the case. Are you ready to get started? So are we. Let’s get to work—your trusted partner awaits!?

About the author

Eric Rittenhouse , MBA, works at BSM Partners as Business Development Manager. His areas of expertise include business development, sales and trade marketing while helping brand companies uncover and execute on opportunities to strategically dominate their niche in the consumer product space. He has completed the Blue Ocean Practical Introduction certificate by the Blue Ocean Academy and is Action Selling Master Certified by Action Selling and The Sales Board.