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Whether you're running 50 shares or 1,000+, Farmhand helps you grow without the burnout.
how-to-price-raw-milkHow to Price Raw Milk: The Real Costs Most Dairies MissNoah Munro has worked with several dozen dairies running raw milk, delivery and value-added products like yogurt and cheese. The pricing mistakes he sees most often start with a cost per gallon that leaves out the farmer's own hours and the animals that aren't milking. Here's how to find your real number and set a price you can stand behind.On-Demand VideoOperationsHerdshareshttps://www.farmhand.partners/workshop-watch/how-to-price-raw-milkCount the Costs You're SkippingFeed, vet care, bottles and direct labor all belong in your cost per gallon, and so do your own hours. Leave them out and your costs come out artificially low.Price for the Whole HerdDry cows, heifers, calves and bulls all eat, but only the milking cows make milk. In Noah's example, going from 40% to 60% of the herd milking drops cost from $4.17 to $2.78 a gallon.Raise Prices With ConfidenceCost tells you the minimum you can charge. It says nothing about what the market will pay. Noah weighs cost, market and brand together, and Ari shares why he has yet to see a price increase hurt a farm's business.Meet Noah MunroNoah Munro runs Baseworks Consulting, a small business consultancy in Petaluma, California, that works only with farm and food businesses. He has worked with a couple hundred of them, including several dozen dairies, most running a herd alongside raw milk, direct-to-consumer delivery, or products like yogurt, cheese and ice cream. He was a dairy decision consultant with the Center for Dairy Excellence and ran his own ice cream shop for 10 years. In this conversation with Farmhand founder Ari, Noah walks through how to cost a gallon properly, why herd makeup and growth change the math, and how to price half gallons and roll out an increase.
- Find the costs most dairies leave out of cost per gallon, starting with your own hours
- See how herd makeup moves cost per gallon from $4.17 to $2.78
- Learn to set price on cost, market and brand, then test an increase with a few customers before you roll it out
