Business Idea

Start A Craft Granola Business

About

Starting a craft granola business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell craft granola, or selling craft granola online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a craft granola business ➜

Key stats

market size
$683B
revenue (monthly)
$8.3K
starting costs
$30.8K
gross margin
40%
avg product price
$15
time to build
9 months
growth
Email marketing
business model
E-Commerce
time investment
Full time

About

Starting a craft granola business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell craft granola, or selling craft granola online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a craft granola business ➜

Key stats

market size
$683B
revenue (monthly)
$8.3K
starting costs
$30.8K
gross margin
40%
avg product price
$15

 

time to build
9 months
growth
Email marketing
business model
E-Commerce
time investment
Full time

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $750 $7,000
Equipment & Supply Expenses $563 $5,200
Website Costs $303 $7,215
Business Formation Fees $600 $3,200
Retail Business Expenses $1,250 $11,650
Inventory Expenses $350 $14,750
Advertising & Marketing Costs $75 $5,286
Software Expenses $150 $2,744
Other Expenses $0 $300
Total Startup Costs $4,041 $57,345

Successful Businesses

Business URL Rank
craft los angeles craftlosangeles.com #1,382,714
Flour Craft Bakery flourcraftbakery.com #1,427,725
Birdseed Food Co. birdseedfoodco.com #1,602,609
Everbowl everbowl.com #1,896,822
The Perfect Granola theperfectgranola.com #2,145,022
Black Rabbit blackrabbittn.com #2,176,819
unknown signcraftind.com #2,222,998
Brick x Mortar brxmo.com #2,474,945
Riverside Toronto riverside-to.com #2,640,685
Back Roads Granola backroadsgranola.com #3,015,164
Brooklyn Granola brooklyngranola.nyc #3,096,316

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Rewarding work Starting a craft granola business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Scalable With businesses and processes changing daily, there will always be demand for new features, products and services for your business. Additionally, there are several different business models and pricing tiers you can implement that will allow you to reach all types of customers.
Traffic to your website A craft granola business gives people a reason to visit your website and to keep coming back to you!
High margins The gross margins for your craft granola business are typically around 40%, which is considerably high and allows you to grow your business and manage costs easily.
Quick build time The average time it takes to build your product is quick - typically around 9 months. This will allow you to bring your product to market faster.
Cons Description
Crowded Space Competition is high when it comes to your craft granola business, so it's important that you spend a good amount of time analyzing the market and understanding where the demand lies.
Finding The Right Supplier Most businesses in this space go the supplier/manufacturer route, which isn't a bad thing! However, finding the right supplier can take a lot of time, energy and trial/error. If done properly, this process can save you months (if not years) of time and energy. More on this below in the "finding a supplier" section.
Security Issues With any Saas business, data loss and security issues may arise throughout your process of building your product. It's critical that you understand exactly what you're responsible for and how to avoid potential issues down the road.
Lack of benefits With a craft granola business, you are typically self-employed and responsible for finding your own insurance, which can be quite costly and time-consuming.
Taxes As a craft granola business, you typically pay self-employment taxes which can be quite high. It's important to understand what you will be paying in taxes each year so you can determine if the work you're taking on is worth it.
No safety net Typically, as a craft granola business, you do not receive a consistent pay-check and instead earn money based on your transactions each month. During the slow periods, you typically take away less since the job is based on commission. It's important to budget accordingly for the slow times.

Marketing Ideas

  • 1

    Affiliate Program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.

  • 3

    Social Media Advertising

    Social media advertising is the use of social media platforms to connect with your audience with the objective to build your brand, increase sales, and drive website traffic.

    According to Oberlo, approximately 48% of the global population use social media, and the number is ever-growing.

    Therefore, social media allows brands access to cost-effective advertising by enabling them to interact with a large audience.