Top 3 Features Consumers Want in New Cannabis Products

Business and Marketing
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Interesting survey of 2000 consumers around what they want in their cannabis products:
http://www.cannabisbusinesstimes.com/article/spotlight-top-3-features-consumers-want-in-new-cannabis-products/

TL;DR:

  1. Better tasting products
  2. More affordable products
  3. Dosing consistency and organic products

Does this match the feedback you’re getting from your customers?

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For some reason the link did not work. I found it. http://www.cannabisbusinesstimes.com/article/spotlight-top-3-features-consumers-want-in-new-cannabis-products/

Here is what I sent to one of our cultivators today, when he asked what our clients are looking for:

The feedback of what we have been getting on the market overall is standardization. Let me explain.

In the past growers have mixed their crops to make weight, mixed varieties, old with new etc.
We are getting requests for:

  1. Variety – Consumers ask their dispensaries and delivery services “what do you have new”.
  2. Organic
  3. Top shelf “Good looking” bud. This is the consumer that would want the gourmet of cannabis.
  4. Affordable products – outdoor fits this very well, smells good, looks good, tests well
  5. “B” buds & trim, that is carefully stored for maximum extraction yield – we have manufacturers (pre-roll, oil) that are looking for this in quantities from 10-250 lb strain specific lots
  6. True Sativas (The dispensaries & delivery services specifically shop to have variety)
  7. True Indicas
    a. (The dispensaries & delivery services specifically shop to have variety, additionally depending on their location/demographics depicts the price point they are willing to pay)

The market has not yet embraced a new distribution model, we anticipate big changes in the next 18-24 months in how business is done in this state. It’ll be an interesting. As it stands now, which I’m sure you’ve experienced up north. Cultivators stand in line at dispensaries and the buyers low ball them, cherry pick etc. The industry is craving standardization and professionalism.

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To #1: I can definitely see that. I know of cannabutter and a couple of sweets (cookies, brownies, etc), but it would be interesting to hear about a cannabis pesto, crackers, etc.

On #2: We will see the price of cannabis start to fall as legalization continues. The demand has always been there, and supply is trying to catch up to lost time.

For #3: Unfortunately, without federal legalization, cannabis cannot legally claim organic status, which is regulated by the USDA. And getting that level of consistency will require federal intervention IMO.

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Hi I am a cannabis buyer with 5 retail locations in my small City in the state of Washington. I believe I have the most stores per capita in the state 5 is a lot of stores for a small City. In regards to loballing cultivators or up here we call them producer processors, we have to compete with the other 4 stores in our city and they are selling products very low so in order for us to compete with them we have to buy the product at a price that we can then sell to compete against the high level of competition. You can look at websites like top shelf data and drill down and see what are margins are the average markup it is about 3 times which leaves a third for state taxes a third for federal taxes and a third for a cost of the product. I should say 30% for each category and then leaving us retailers with a 10%gross profit to pay all of our bills and then try to see if we have a prophet left over which mine is very very little. We are still competing against the black market and there is an oversupply of flower also there appears to be a glut of what I would call substandard marijuana in the 16% to 6% range which is really now become not marketable at our stores nobody is interested in purchasing it not even as low as $5 to$6 a gram. I personally believe there are too many Growers for the market or too many Growers that are unable to compete at the high level that the customers are requiring in order to purchase their product. Thanks for opportunity to share. All the best, Pat

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Thank you Pat. I appreciate your comments. Here is CA we also have an abundance of growers. I’ve heard of the taxation in WA. That’s incredible.
I heard a story from a grower yesterday. Their county, approved permits in a certain area & then after, build outs were done, investments of time and money, the county changed their minds and decided to change the grow area. It left a lot of people stuck.
Certainly, the market here in CA is different than in OR, NV & WA. We are contacted by people from eastern states who have medical RX but no access to medicine. We are progressing, certainly there is need for change, accessibility, standardization & more.
Angela

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One of the things we are finding is the increasing desire for more mellow weed from an emerging older clientele base. They don’t want something at 30% that destroys them. They want a nice mellow buzz, like a bottle of wine.

Also a range of ‘experiences’ and ‘outcomes’ are another big element - people using the product in a much more refined way than just ‘getting high’ - they want specific outcomes, be it the sativa, indica or mixed results, even CBD has become a part of the mix with people looking for a different effect and result.

And we are by nature organic - which is again an increasingly popular choice (as it should be!) with more people asking that question

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