Nov 28, 2019
[00:49] Introduce you and your company.
- I’m Dan Gilland, and I lead business development for Schwan’s
Home Service. We are based in Minnesota.
- I was practically born and raised on Schwan’s, so it’s fitting
that I’m working here.
- Schwan’s has sold high quality, delicious frozen food
direct-to-consumer since 1952.
- We deliver just about everywhere in the lower forty-eight
states using our depots and trucks. The actual home deliveries are
managed by our partner, UPS.
[05:21] Tell us about Schwan’s model.
- Our typical model is delivering our frozen food direct to
customers with our own private fleet of delivery trucks.
- We call our 3PL side Cygnus Frozen 3PL by
Schwan’s Home Service. We wanted to establish that it is part of
Schwan’s but differentiate it from our direct-to-consumer
[07:37] What is frozen eCommerce
- Shipping online orders of frozen food direct to consumers’
- Most frozen food brands either don’t have the infrastructure or
desire to fulfill their own orders.
- A lot of frozen foods being sold online today include meats,
ice cream, smoothies, and frozen meals.
- eCommerce gives you the space to market your brand and tell
your story accordingly.
[12:01] What are the problems that companies who are
trying to deliver frozen foods to consumers’ homes run
- Of all the product categories sold online, the degree of
difficulty is probably the highest for shipping frozen food.
- Your mistakes are really clear and really frustrating to the
- Food showing up in poor condition can damage the brand even
though it may be the 3PL’s fault.
[16:21] What’s the second big problem you see out
- Dealing with a 3PL that doesn’t specialize in frozen food
and/or doesn’t specialize in direct-to-consumer or ecommerce.
- Frozen food needs to stay frozen throughout the whole process,
so the 3PL must have experience in doing this.
[19:22] What’s another problem you see in the
- Slow shipping. Consumers expect one- to two-day shipping but
getting that speed everywhere in the US can be a challenge.
[20:51] Tell me a little bit about how Cygnus goes about
frozen ecommerce fulfillment.
- The first thing that you must solve is getting within two-day
shipping of all your customers.
- Another thing to do to reduce melting is to have a really clear
[22:58] Explain the whole process from the time a
company makes a frozen food item to when it gets to the
- You ship your inventory on pallets to our national distribution
center in Minnesota.
- From there, Schwan’s would distribute your inventory to our ten
- Each of our ten centers get a replenishment every two
- We’ll integrate with your online order management platform so
that we can see orders as your customers place them.
- UPS then comes by every afternoon and picks up all the orders
shipping out that day.
[26:51] This is a good opportunity for someone who is
getting into the frozen ecommerce business to have a fulfillment
partner who’s been doing it for seventy years.
- That’s why we thought that this segment makes too much sense
for us not to engage in.
- We have the fulfillment network and that intersects with the
growth of online grocery.
[27:55] If someone wants to continue the conversation,
how do they get ahold of you?
- You can go to our website to see more about how our process
works through case studies.
- There’s a form that you can fill out to set up a free
Dan Gilland LinkedIn profile: https://www.linkedin.com/in/dan-gilland-3835aa58/
Cygnus Frozen 3PL: https://cygnus3pl.com/