Is Crumbl In Trouble? Here’s Everything We Know Right Now
Crumbl is the cookie company that was once all over social media, rarely for good reasons. The company has faced one controversy after another and reigned supreme as the butt of jokes on social media. Now, rumors are swirling of a failing business following a series of layoffs and store closures. CEO Sean Hemsley, who has his own controversy, is attempting to push back against a Bloomberg report that paints a grim picture for Crumbl. Here’s what we know.
Gather around for a little bit of Crumbl chisme, mijxs
A report from Bloomberg painted a short future for Crumbl, a cookie company that has relied on social media virality. The news outlet claimed that the company was facing an uphill battle that included laying off “dozens of corporate employees” and announcing that Crumbl “would drastically reduce its expansion plans.” Bloomberg also reported declining revenue by more than 30 percent.
Following the article, CEO Sean Hemsley took to social media to push back against the rumors. He claimed that the cookie company was far from in danger. In fact, they are moving locations to accommodate their growing company. In a TikTok video, Hemsley denies any and all social media buzz that Crumbl is somehow in trouble.
“I’m here to clear up some rumors. I’ve heard online that people think Crumbl is closing,” Hemsley says in the video. “And that is absolutely not true.”
Hemsley continues to say that the company has outgrown its current space, specifically in terms of the test kitchen and marketing. According to Hemsley, Crumbl is developing a bigger test kitchen and needs more space since all of the marketing is done in-house.
The company has a history of controversies
The company is facing growing backlash after misleading consumers about the calorie count for their cookies. Like most American food chains, the nutritional value can be pretty terrible if you aren’t careful. Crumbl is no exception. According to Tasting Table, the cookie company is selling cookies that are excessive in caloric value.
For example, Tasting Table reports that the serving size of one peanut butter cookie at Crumbl is four-fifths of a cookie. People are raising the alarm about the serving sizes and the bizarre way Crumbl is misleading consumers.
The company was fined for violations of child labor laws. According to ChowHound, 11 franchised stores across six states were found to be in violation of child labor laws. The violations included minors as young as 14 working longer hours than legally allowed. Some stores were found to be letting employees use equipment they aren’t legally allowed to operate.
This summer, Hemsley was outed by a TikTok influencer, who later apologized when Hemsley came out. The controversy about how Hemsley was forced out of the closet sparked a conversation on social media about outing public figures. Hemsley posted to Instagram about being outed and navigating his journey to find himself.
So, that is what we know so far. We will see what happens with Crumbl in the future.
