However, when the early batches sold out by receiving viral social media reaction, the company decided to keep the model. “When we started, we chose weekly releases based on early production and testing capability,” said Jung. Matthew Jung, CEO of Last Crumb, told Modern Retail that because everyone has the same opportunity to score a box every week, the “drop” model has created a sense of scarcity among fans. The brand has 72 unreleased cookie flavors in the pipeline, which are still being tested for future drops. The brand currently offers a core collection of 12 cookies, which features flavors like 50 Cent (birthday cake) and When Life Gives You Lemons (lemon bar). The angel investor round was led in part by the founders of Truff hot sauce, EDM DJ Zedd and Lenny & Larry’s Complete Cookies co-founder Barry Turner, among others.
This week, Last Crumb raised just over $1 million, according to Forbes, to help scale operations and move production facilities to meet demand. It’s also a way for these brands to try and justify a higher price point - Last Crumb’s cookies, for example, cost $12 each and retail for about $150 per dozen count boxes. Selling products in limited batches helps these brands drum up followers in their early days, by getting people to sign up for email listservs or follow them on social media in order to get notified about a new drop.
But CPG startups ranging from Last Crumb to direct-to-consumer cookie brand Fat & Weird are just starting to explore the drop model. The limited release model has now become ubiquitous in fashion and streetwear - everyone from Nike to Supreme to the SNKRS App has deployed it.
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