Many Minnesotans remember seeing the iconic yellow Schwan’s trucks driving through their neighborhood to deliver ice cream and steaks, door-to-door service in an era long before Instacart and Amazon.
The memories will live on, but the fleet is retiring.
The Minnesota-born food delivery company with the famed refrigerated trucks, now known as Yelloh, will shut its doors in November after 72 years in business, the company announced Monday.
“The current Yelloh team has worked hard against external headwinds such as the nationwide staffing challenges and crushing food supply chain disruption caused by the pandemic,” board member Michael Ziebell said in a statement. “These challenges, combined with changing consumer lifestyles and competitive pressures that have been building for over 20 years, made success very difficult.”
The Schwan’s name lives on through its frozen foods after a South Korean company bought that part of the business for $1.8 billion in 2019. But the Bloomington-based delivery segment the Schwan family continued as the rebranded Yelloh will soon become part of bygone state lore, much like Camp Snoopy.
Part of Yelloh’s ultimate downfall was its association with the past. The company failed to change with shoppers’ habits. Much like the milkman gave way to buying gallon jugs in grocery stores, the rise of on-demand home delivery through apps like DoorDash and Shipt rendered the route-based delivery model obsolete.
“Digital shopping has replaced the personal, at-the-door customer interaction that was the hallmark of the company,” Ziebell said.
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Publish date : 2024-09-23 12:15:00
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