URGENT UPDATE: Sprinkles Cupcakes, the iconic bakery chain renowned for its innovative cupcake-dispensing ATMs, will close all its locations by December 31, 2023. Founder Candace Nelson announced the shocking news via Instagram, marking the end of a 20-year legacy in the gourmet cupcake industry.
The closure will impact all 21 locations across the United States, including those in Palo Alto and San Ramon. A newly announced location in Burlingame, just revealed two weeks ago, will also be shelved indefinitely. This abrupt shutdown follows a trend of declining interest in the once-popular cupcake craze that Sprinkles helped popularize.
Social media reactions have poured in from former employees, many of whom received unexpected one-day layoff notices. The emotional fallout is palpable, with users expressing their sadness over the loss of a beloved brand that was once hailed as the “world’s first cupcake bakery” and operated the first-ever cupcake truck.
Nelson, who founded Sprinkles in 2005, sold the company to private equity firm KarpReilly in 2012 and has not been operationally involved since. In her heartfelt announcement, she reflected on her hopes for the company, stating, “I thought Sprinkles would keep growing and be around forever. I thought it was going to be my legacy.”
The closure of Sprinkles marks a significant shift in the food industry, particularly as gourmet cupcake shops have struggled in recent years. The brand was instrumental in the cupcake trend that took off in the late 2000s and early 2010s, but changing consumer preferences have led to a decline in foot traffic at its locations.
As the final days approach for Sprinkles, fans are urged to visit their local stores for one last taste of their favorite cupcakes. The company’s website still lists 25 Cupcake ATM locations, which may also face closure soon.
WHAT’S NEXT: With the final shutdown date looming, the focus now shifts to how this will affect former employees and the cupcake market at large. Expect more reactions from fans and industry experts as the date nears. Stay tuned for developments on this evolving story as the culinary world bids farewell to a beloved brand.
