How to Start a Cider Mill Business

Part 1 - How to start a Cider Mill business - Background

A cider mill refers to the physical location where apples are pressed into cider. It may be located on the same grounds as the apple orchard, but it doesn’t have to be. Apples are traditionally turned into non-alcoholic cider, but hard ciders and even apple wines may be made at cider mills.

Our guide is in 3 parts:

• Part 1 - How to start a Cider Mill business - Background
• Part 2 - Our planner tool to see if this idea is the right fit for you
• Part 3 - Action plan to get started

What are the costs involved in opening a cider mill business?

The costs involved to open a cider mill business can be relatively low, especially if you’re trying this out as a hobby first. A used five-gallon press is only $100, and you may not need much more than this to make a cider! But for those looking to do things on a larger scale, they’ll likely need to spend several thousand dollars for their equipment, plus the costs of the land and space, advertising efforts, salaries for the staff, and insurance for the business.

What are the ongoing expenses for a cider mill business?

Ongoing expenses include equipment maintenance, staff salaries, commercial insurance and the cost of the actual ingredients.

Who is the target market?

Most people drink cider in some form or another, so the market is fairly open. Cider goes great with a number of different foods or just on its own, making it one of the easier products to sell.

How does a cider mill business make money?

Cider mills typically sell their cider to supermarkets, grocery stores, and restaurants and bars, though they can also sell directly to consumers via their website or a small stand at a farmers market. They may also host paid tours through the mill and sell additional cider to those who stop by.

How much can you charge customers?

Hard apple ciders can be sold for $10 or more in a restaurant or bar, while a normal apple cider would be around $1 for eight ounces. Sparkling cider sells for about $3 for 25 ounces or so.

How much profit can a cider mill business make?

Considering apples can be purchased or grown for pennies, selling a single bottle for $3 can make for a profitable business. Assuming a 40% profit margin, you’d need to sell 1,000 bottles per week to make $1,200 in profits at that price.

How can you make your business more profitable?

Having your own orchard on the premises can be a great way to increase your profits. You can hold family friendly activities, such as apple picking or bobbing. Or consider opening up a small bar in your cider mill if you serve hard beverages.  Depending on your location, you can potentially rent out the space for special events, such as weddings or retirement parties. There are plenty of neighborhoods where a full-service cider mill can really thrive.

Day-to-Day and Growth

What happens during a typical day at a cider mill business?

Staff at a cider mill will spend the majority of their time sorting through, loading, and transforming apples into juice. However, there will also need to be time devoted to equipment maintenance, marketing agendas, and new initiatives to further the business.

What are some skills and experiences that will help you build a successful cider mill business?

Owners should have some idea of how distribution works when it comes to opening up their mill. It’s not always easy to get store owners or bars to stock your product, so having some type of relationship or understanding of the logistics can help. Organization will be key to both manufacturing and zeroing in on the demographics will appreciate different products the most. Cider mill owners should also know how cider is made, and how recipes can be altered to fit the demands of the public.

What is the growth potential for a cider mill business?

Growth potential can be excellent for someone willing to go the extra mile to make a quality product. Despite the saturation and variety of ciders today, there’s still room to grow — especially for those who can satisfy underserved markets.  

What are some insider tips for jump starting a cider mill business?

Pressing cider is pretty easy to do once you know the mechanics of how it works. But just because it’s easy to make doesn’t mean it’s easy to perfect. Cider mill owners have to be willing to put some effort into their product if they want to turn a profit. Sampling what’s available in stores and learning more about the competition is one of the best ways to start. You may also want to begin production in a garage or similar space before branching out. Once you know the demand and the way your product is received, it should be easier to make a name for yourself.

And like any business, owners need to find an angle they can use to appeal to the skeptical. Many people have one brand and they stick with it, or they think they don’t like cider to begin with. For example, some people won’t drink cider because they think it’s too sweet, or because they don’t need the extra calories in their life. In that case, you’d want to create a well-developed cider that was able to offer quality flavor with the sugar or excess calories — a tall order for anyone!

But while this will take owners some serious hard work, it’s this kind of flexibility and dedication that should make your business much more appealing to fellow business owners who want to offer a quality product to their customers. Once you have the distribution you need, you should be able to sustain your business for many years to come.

How and when to build a team

You can start selling and distributing small batches of cider without any help at all. But if you open something larger, you’ll need people who can run the press, assist with packaging, and help design new marketing campaigns. Employees don’t necessarily need first-hand experience with cider mills, but it will help for them to have general knowledge of the pressing and distribution process.

Part 2 - Is a Cider Mill business the right fit for you?

Part 3 - Action plan to launch your Cider Mill business in 90 days