Schwan's Company
Frozen food delivery and retail company.
PE-OWNED
Acquired by CJ CheilJedang2018-11-01
What Made It Great
Premium frozen foods delivered to your door.
What PE Will Likely Do
Schwan's will replace quality frozen ingredients like premium meats and vegetables with cheaper alternatives, resulting in poorer taste and nutritional value
Schwan's will reduce package sizes for many of their popular frozen meals and desserts while maintaining or increasing prices (shrinkflation)
Schwan's will switch to lower-cost suppliers for items like packaging, transportation, and distribution, leading to slower delivery times and potentially damaged/defrosted products
Schwan's will alter the recipes and formulas of their premium frozen meals, reducing the quality and authenticity of flavors and textures
Expected Timeline
“0 to 6 months months”
Minimal visible changes as ownership transition occurs
“6 to 12 months months”
Behind-the-scenes supplier and formula changes begin, not yet noticeable to customers
“12 to 24 months months”
Customers start noticing quality differences in taste, portion sizes, and delivery reliability, leading to increased complaints and brand dissatisfaction
Similar Cases
Other companies that followed a similar path after PE acquisition
What You Can Do
Actions
Monitor the quality and portion sizes of your favorite Schwan's products over the next 12-24 months
Consider stocking up on any premium Schwan's items you particularly enjoy, as their quality may degrade over time
Be prepared to switch to alternative frozen food brands if Schwan's product quality and customer satisfaction decline significantly
Alternatives
Look for family-owned or employee-owned businesses