THE STORY OF SCHULSTAD
- FROM LOCAL BAKERY TO INTERNATIONAL GROUP
With the mission to bake quality bread, Viggo Schulstad opened up his first bakery shop in Copenhagen in 1880. His mission turns out to be the start of a success story that through time, grew into a large international bread company. With the acquisition of From Brød in 1986, Schulstad expanded its business area. The company gained a foothold on the bake-off market - frozen bread, Danish pastries, croissants, and buns - which are increasingly being used in cafés, canteens, in the catering industry, and at service stations. The Schulstad Frost division has grown rapidly because serving hot bread straight from the oven has become popular among consumers.
1880: A BAKER'S SHOP IN COPENHAGEN
Viggo Schulstad buys a rye bread bakery at Store Kongensgade close to Kongens Nytorv in Copenhagen. He is 32 years old and is new to the bakery sector, but enters the trade with enthusiasm. Viggo Schulstad's business partner is flour merchant Wilhelm Irgens, and together they soon created a growing concern. Their intention is to bake quality bread, because the population of Copenhagen is growing rapidly in the 1880s.
1890: A SUCCESSFUL COLLABORATION
Viggo Schulstad enters into collaboration with Christian Ludvigsen, a chemist, to develop new methods of baking bread. The two partners set to work scientifically. They establish a bread laboratory where they experiment, test, and improve different types of bread. Research and development mean that after a few years Schulstad & Ludvigsen have become specialists on the Danish bread market.
1897: SCIENCE BECOMES THE FOUNDATION
"Schulstads Maltsyrnede Rugbrød" is developed on the basis of Christian Ludvigsen's research. In 1890 he publishes a book on domestic chemistry in which, among other things, he presents the "Phosphate Method" for raising bread. The new method improves raising, produces more bread, and provides a far more wholesome product.
1902: A NEW FACTORY AT RYESGADE
Schulstad & Ludvigsen's bread production grows and in 1902 the partners open a new factory at Ryesgade in Copenhagen. Work at the factory uses modern production principles, the latest technology and scientific methods, and the most modern facilities. The emphasis is on health and hygiene - and, as something completely new at the time, the working environment is taken into account. The management has a clear philosophy: "Thoroughgoing cleanliness is not only a matter of cleaning up, but first and foremost of avoiding making things dirty". Schulstad & Ludvigsen are trendsetters in the field of Danish bread production.
1917: SCHULSTAD FOUNDED
World War I rages and prices rise dramatically. Competition on the bread market is fierce, and many companies are forced to close down. At Schulstad, Viggo Schulstad heads a merger of four bread factories in Copenhagen. The four factories become Aktieselskabet Københavns Brødfabrikker - and this is the foundation of the modern Schulstad. Initially the company goes by the names of KB and Schulstad, but in the course of time KB is left out and people simply use the name Schulstad.
1923: BREAD COACHMAN AT WORK
Light rye bread, dark rye bread, rye bread with whole grain or without, white bread, malted bread, and bread made of bolted rye flour - Schulstad rapidly expands the company's product range. Coachmen driving horse-drawn carriages take the many different types of bread to consumers on a daily basis. The bread coachmen wear Schulstad caps and uniforms and are responsible for the bread, the horses, and the carriages. The carriages are later replaced by automobiles but the drivers are still called bread coachmen.
1934: CRISPBREAD INTRODUCED
In the 1930s Schulstad's KB-Knæk becomes a great sales success. This light, nutritious crispbread is fully in harmony with contemporary ideals regarding a healthy lifestyle. Fresh air, exercise, and healthy food are in at the time, and KB-Knæk promises consumers that it will keep them in shape. After a few years Schulstad also begins to export crispbread to England and the USA, among other countries.
1943: ASSISTANCE TO HOUSEWIVES DURING WORLD WAR II
"In times of rationing, rye bread has its own special significance for our nutrition, and we must therefore advise the public that the allotted rations should be used as economically as possible so that the family can be provided with the healthiest food as inexpensively as possible." This was the advice in Schulstad's folder addressed to Danish housewives during World War II. The folder offers the harried housewife a helping hand with good advice on nutrition, storage, and the art of slicing bread correctly.
1967: PRODUCTION INCREASES DURING THE OPTIMISTIC SIXTIES
The market for industrially-produced bread grows strongly during the 1960s due to the fact that women are entering the labor market. There is no longer the time to spend hours baking bread in the kitchen. This major expansion prompts the company to build a new factory at Glostrup. A fully automated factory the biggest, most modern bread factory in Denmark in the 1960s.
1974: FIERCE COMPETITION
The optimistic sixties are succeeded by the oil shortage and global economic crisis. The market for bread continues to grow, but not sufficiently to prevent surplus capacity in the industry. The competition on the bread market is fierce and leads to an elimination race among bread producers. As Schulstad lacks the capital for further development the management brings Faxe Breweries into the circle of owners. And this leads to a comprehensive rationalization and modernization of production and distribution.
1985: NEW COURSE
Competition in the bread industry remains fierce and the number of rye bread factories is reduced by 75% in relation to 20 years previously - four major bread producers, among them Schulstad, now cover 70% of the market. But the company has concentrated on acquisitions and mergers. There is a need for new thinking at Schulstad, and a completely new management is introduced. With Managing Director Karsten Egelund at the helm, focus is redirected to baking quality bread and providing the convenience goods sector with complete and steadily growing range of fresh bread.
1986: SCHULSTAD INTRODUCES FROST
With the acquisition of From Brød, Schulstad expands its business area. The company gains a foothold on the bake-off market - frozen bread, Danish pastries, croissants, and buns - which are increasingly being used in cafés, canteens, in the catering industry, and at service stations. The Schulstad Frost division grows rapidly because serving hot bread straight from the oven has become popular.
1988: SCHULSTAD - A BRANDED PRODUCT
AS Brødfabrikken Danmark changes names to the Schulstad Group. Schulstad becomes a branded product and introduces such products as Skovmandsbrød and Kondi Karl.
1991: DANISH PASTRIES TO FOREIGN MARKETS
In 1991 Schulstad Frost is established in the USA. Four years later a subsidiary is established in Chicago. Schulstad increases its exports and takes the Danish recipes along. The familiar Danish pastries are produced on a large scale for export.
1992: SCHULSTAD PRODUCES BREAD IN POLAND
With the acquisition of shareholdings in two Polish bread companies: Schulstad-SPC and Pol-Schulstad, Schulstad enters the Polish market. The commitment in Poland develops further in 2000 with the acquisition of sole ownership of the two Polish companies.
1993: NEW HEAD OFFICE AT AVEDØRE DENMARK
Schulstad moves its headquarters to Avedøre. After extensions and modernisation the old Swedish bread factory, Lockarps, becomes the setting for Schulstad's head office.
Schulstad focuses on product development to meet the needs of consumers. By launching Det Gode Hvedebrød in 1995 the company takes account of the increasing interest in quality among consumers. Det Gode Brød is developed on the basis of the old values with the best primary produce, good flavor, and freshness to extend shelf life without the use of preservatives. Launching the new concept also demonstrates that Schulstad masters the discipline of communication with the help of marketing and TV spots.
1996: RYE BREAD ON THE AGENDA
The consuption by Danes of rye bread has fallen by half since 1955. Young people in particular are replacing rye bread with sandwich bread and burger buns. In 1996 Schulstad launches Det Gode Rugbrød and, together with effective marketing, gives the entire rye bread category in Denmark a lift of no less than 13%. During the same year the company also enters the English market with the acquisition of a shareholding in Bakehouse.
1997: THE NORDIC VISION
Schulstad sees a great opportunity for a common Nordic bread market. There are many similarities in the form of primary produce, baking methods, and bread and cake traditions. Schulstad therefore buy shares in the Norwegian Bakehuset, and two years later acquires Juvel Bagerierne in Sweden - now Schulstad AB. Det Gode Brød can be found on bread shelves throughout Scandinavia - in Sweden under the name of "Det Goda".
With the launching of the series Levebrød in 2001 it becomes clear that Schulstad really understands consumers. Levebrød meets the demand for low-fat, tasty, wholesome bread. Levebrød contains a very low percentage of fat and a good deal of dietary fibre, and soon becomes popular among consumers.
2002: AN INTERNATIONAL GROUP
Schulstad has 2,200 employees in Denmark, Sweden, and Poland. In Denmark, Schulstad Brød A/S has a 55% market share for freshly packed bread and is thereby the biggest Danish supplier in 2002. Schulstad Frost A/S is the leading supplier of bake-off products in Denmark.
2003: SCHULSTAD PART OF CEREALIA
On 8 January 2003 Schulstad becomes part of the Swedish group, Cerealia Bakeries. Cerealia Bakeries is part of the Swedish food group, Cerealia AB. Cerealia is an international group that develops, produces, and markets corn-based food products.
Cerealia is divided into three business areas: Mills, Foods, and Bakeries, with Schulstad as part of the latter. In addition to Schulstad, Cerealia Bakeries is behind the brand names Hatting, Paaskebrød, Skogaholm Brød, KorvbrΦs Bagarn, Skoga, and Bulgi Skogi.
