TheTHCReport | Green Rush News - Part 2

1933 Industries Increases Extraction Capacity for Concentrates in Nevada

1933 Industries Increases Extraction Capacity for Concentrates in Nevada

1933 Industries Inc. (CSE: TGIF) (OTCQX: TGIFF), a vertically integrated cannabis consumer packaged goods company that owns licensed cultivation and manufacturing assets to support its brands, reports on its expanded cannabis extraction capabilities and provides an update regarding its hemp extraction facility.

CSE: TGIF, OTCQX: TGIFF (CNW Group/1933 Industries Inc.)

Original AMA cultivation facility to be used for expanded extraction

The Company has commenced plans to utilize its original cultivation facility to increase its extraction capacity for concentrates. Concentrates such as shatter, crumble, sugar, wax, budder, and distillate are sold under the Alternative Medicine Association (AMA) brand and are available in licensed dispensaries throughout Nevada. Distillate is considered the cleanest, clearest and purest form of concentrate and yields high THC percentages. Well-known for its top-quality concentrates, AMA extracts its distillate by using a hydrocarbon extraction process. The Company has made preparations to complete tenant improvements on the building in order to expand its concentrate production area from 483 sq. ft. to 2,215 sq. ft. in the current facility. The expected distillate production capacity will increase from 40 litres per month to 80 litres per month, in order to secure the supply for its branded products as well as for its white label partners.

Once the plants are moved to the new cultivation facility, the Company expects to submit layout plans to the city of Las Vegas for permitting and commence tenant improvements on the original cultivation facility. The necessary extraction equipment has been sourced and will also be submitted to the state for approval. The Company expects the expanded operation to come online in the fall of 2019.

“This is another exciting development for the Company as we increase production of raw materials for our line of concentrates. We are growing, expanding and investing in infrastructure for the growth of our brands,” said Ms. Ester Vigil, President of the Company.

Hemp extraction facility will be one of a kind

The Company reports that it has been working with an engineering firm to customize the equipment that will be required to establish one of Nevada’s largest hemp extraction facilities, with increased output capacity and versatility for isolation of CBD, CBN, CBG, CBC, and several other cannabinoids, including the ability to produce full spectrum and broad-spectrum oils, as well as isolates, that meet required GMP standards.

Mr. Chris Rebentisch, CEO of the Company remarked, “The process has been scaled up after a lengthy research phase, where we aimed to create a method of extraction using specialized chemistry and equipment in order to obtain a higher yield of CBD, thus increasing our efficiency. The competitive advantage of the new facility will be the isolation of not only CBD but of additional individual cannabinoids at scale, which is unique and novel in the cannabis marketplace.”

He added, “The research phase served to engineer and customize our proprietary equipment for the desired scale of the pilot plant, therefore meeting the unique needs of our business. We believe that the capital investment we are making today will have the benefits of lowering our operating and manufacturing costs, increasing cannabinoid extraction efficiency with a higher recapture rate, and bringing higher returns for years to come.”

The Company has ordered its customized equipment and is working on the final layout of the facility and will commence tenant improvements once the floor plan and layout has received approval from the city of Las Vegas. Permitting has been completed for fire and city inspections as well as H-3 hazard zoning. Because the customized equipment requires a long lead time, the Company expects that the facility will be operational by year’s end.

The facility’s processing capacity is estimated at approximately 68,000 kgs. of hemp biomass or 150,000 lbs. per month, producing approximately 5,000 kgs. of full spectrum oils or 4,500 kgs. of CBD isolate.

About 1933 Industries Inc.
1933 Industries Inc. is a vertically integrated cannabis company with operations in the United States and Canada. 1933 Industries owns licensed medical and adult-use cannabis cultivation and production assets, proprietary hemp-based, CBD infused products, and CBD extraction services. Our proprietary brands include AMA, Canna Hemp™, Canna HempX™, Canna Fused™, Canna Hemp Paws™, and Nineteen 33 THC. Birdhouse Skateboards™, OG DNA Genetics, Denver Dab Co., The Real Kurupt’s Moon Rocks and Gotti’s Gold are under licensing agreements.

About Canna Hemp™
Canna Hemp™ CBD Relief Cream was named “Best Topical” by Leafy’s Best in State: The Top State Specific Products and Experiences of 2018. Infused’s award-winning transdermal Pain Relief Cream delivers fast-acting targeted relief to areas of discomfort, combating inflammation, arthritis joint pain, backaches, muscles spasms, strains, bruises, cramps, and headaches.
http://www.cannahemp.com
https://www.leafly.com/news/strains-products/best-in-state-2018-nevada-cannabis

About Canna HempX™
Canna Hemp X™ was named “Best Topicals for Pain” by Herb’s Guide to the Best Cannabis Products on the Planet. Canna Hemp X™ is a CBD sports recovery cream for athletes to help focus on recovery and wellness. From soothing pain, aiding with muscle spasms, healing assistance for bruises, injuries, or arthritis relief, Canna Hemp X™ bridges the gap between recovery and top performance.
http://www.cannahempx.com

https://herb.co/learn/best-cannabis-products/

Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is defined in the policies of the Canadian Securities Exchange) accepts responsibility for the adequacy or accuracy of this release.

Notice regarding Forward Looking Statements: This news release contains forward-looking statements. The use of any of the words “anticipate”, “continue”, “estimate”, “expect”, “may”, “will”, “project”, “should”, “believe” and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations and assumptions on which the forward-looking statements are based are reasonable, undue reliance should not be placed on the forward-looking statements because the Company can give no assurance that they will prove to be correct.  Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. These statements speak only as of the date of this news release. Actual results could differ materially from those currently anticipated due to a number of factors and risks including various risk factors discussed in the Company’s disclosure documents, which can be found under the Company’s profile on www.sedar.com.   1933 Industries undertakes no obligation to update publicly or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by law.

Cision

View original content to download multimedia:http://www.prnewswire.com/news-releases/1933-industries-increases-extraction-capacity-for-concentrates-in-nevada-300883913.html

SOURCE 1933 Industries Inc.

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/July2019/12/c1488.html

Alexia Helgason, Corporate Communications Director, 604-674-4756 (ext. 1), alexia@1933industries.com; Chris Rebentisch, CEO & Director, 604-674-4756 (ext. 1)Copyright CNW Group 2019

Published at Fri, 12 Jul 2019 12:40:42 +0000

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Jennifer Chapin, the cofounder of Kikoko, recently recalled how she was “laughed out of the dispensaries” when she tried to sell her low-dose cannabis-infused teas in her company’s early days. Three years later, Kikoko’s teas, which come in sachets and canisters wrapped with pink-and-purple stripes and cartoon flowers promising benefits such as “Sensuali-tea” and “Tranquili-tea,” are sold through over 300 storefronts and delivery services across California.

“We are a women-centric, women-owned, women-operated company,” Chapin declared to a room full of women at Arcview, a conference for cannabis investors, in Los Angeles in February. “By women, for women.”

Arcview welcomes investors irrespective of gender, but Kikoko had sponsored a women-only “tea party” (with unmedicated tea) to facilitate some female-friendly networking and announce that the company was seeking capital for expansion into new product categories, with minimum investments starting at $1 million.

Courtesy, Kikoko

Founders of female-focused cannabis startups like Kikoko may soon be laughing all the way to the bank—and they’re getting there by looking beyond millennials, and catering to women in their 40s, 50s, and beyond. Executives such as Chapin, who is 55, are listening to older women’s wishes for low-dose cannabis products that address concerns such as sleep, anxiety, and sexual pleasure, and positioning their companies at the very lucrative intersection of women, weed, and wellness.

Wellness, women, and weed

It’s a market that’s growing. Women control the majority of household purchases, and according to the US Consumer Expenditure Survey, single women over 45 spend about $640 per year on personal care items and $400 annually on drugs. As legalization takes hold, those products are increasingly likely to contain—or even be replaced by—cannabis. According to sales data and a survey of 4,000 cannabis consumers by the San Francisco-based delivery platform Eaze, the number of female cannabis consumers nearly doubled in 2018, and with their growth outpacing men, women are on track to be half of the cannabis market by 2022. Female baby boomers on the platform grew by nearly a quarter between 2017 and 2018.

Kimberly Kovacs, the cofounder and CEO of MyJane, which delivers “curated cannabis” boxes  to women (think Birchbox-meets-Eaze), was also at Arcview. That same week, her company was acquired by the cannabis logistics conglomerate MJIC for an undisclosed sum, after completing just three weeks of deliveries. MJIC CEO Sturges Karban was unabashed about the acquisition’s main attraction.

“Women are the new targets of the adult-use cannabis wellness sector,” wrote Karban, in a press release. “Yet their needs are not being addressed by the cannabis industry.”

“We don’t call that micro-dosing. We just call that normal.”

Getting stoned is not chief among those needs, Kovacs found when MyJane conducted a survey of women in Orange County, CA. When I asked what was, she didn’t skip a beat: “Sleep,” she said. “100%.”

“I don’t want to take an Ambien,” said Kovacs, who is 52, with blonde hair and clear blue eyes. “I don’t even want to take Melatonin … half a cup of tea, I sleep through the night.” (MyJane includes Kikoko tea amongst its offerings in its boxes.)

Courtesy, MyJane

In addition to better sleep, women told MyJane they were seeking relief from pain, anxiety, and stress. Many hadn’t used cannabis before and said they wanted their THC—the chemical compound that results in feeling high—in very low doses.

“By the way, we don’t call that micro-dosing,” said Kovacs. “We just call that normal.”

Ding-dong, Avon calling

Both Chapin and Kovacs referenced Avon—the 135-year-old cosmetics company known for its door-to-door saleswomen. “I don’t want to go to a dispensary,” said Kovacs. “I don’t even want to go to the grocery store anymore!”

“I don’t want to go to a dispensary. I don’t even want to go to the grocery store anymore!”

Instead, these companies strive to deliver both products and education in personal and familiar settings, outside dispensaries. Part of what they’re doing is teaching their customers how to use the range of new products available in the sector.

MyJane’s customers create online profiles answering questions about their symptoms, food allergies, preferences, and prior experience with cannabis. Then, a female “ambassador” from the company arrives at a customer’s doorstep on the agreed-upon date and time to deliver a box of selected products and walk the recipient through each one.

Kikoko’s teas are sold via dispensaries and delivery services, but the company also holds tea parties which include a “cannabis 101” slideshow about the plant’s history and benefits. Chapin estimates that in 2018, the company held over 100 of these events in private homes, country clubs, and retirement communities throughout California. (It was at a Kikiko tea party in Santa Monica that Chapin and Kovacs first met.)

Courtesy, Kikoko

Anyone for a cuppa?

Kikoko’s website has a page for people who want to host their own “High Tea Parties,” complete with downloadable images for invitations, tips (take public transit), and a Pinterest page of suggested menu items.

“We envision an army of women throughout the state of California,” said Chapin, of the consumers she hopes to recruit into hosting high teas.

Bridgett Davis, the founder of the Los Angeles-based cannabis topicals brand Big Momma’s Legacy, is also building a business based on older women customers—using a similar model of cohosting tea parties with local cannabis brands at private homes to slowly build her business from the ground up.

“It’s a group of maybe 10 to 15 of my golden girls,” she said of a typical event. “I have a variety of clients, from white ladies in Brentwood to old grandmas in Compton.”

Quartz/Jenni Avins

Bridgett Davis, the founder of Big Momma’s Legacy.

Davis agreed that a familiar setting and privacy were crucial to her customers, who use her salve and roll-on oil to ease the pain of rheumatism and sciatica, and said she’s counting on her “golden girls” to help her grow her business.

“I cannot ask for better brand ambassadors, and they’re not paid,” she said. “It’s grass-roots, and I’m building it bit by bit. When one of my seniors talks to their friend, their friend is listening.”

Riding the wellness wave

With the global wellness industry now worth an estimated $4 trillion worldwide, it’s little wonder that cannabis companies such as MyJane, Kikoko, and countless others position themselves as purveyors of supplies for self-care rather than recreation. And women—especially those in middle-age—are frequently caring not only for themselves, but also for their friends, children, and aging parents. (Kovacs told me she supplies her father with topicals for his arthritis, and her mother with tea for sleeping.) No wonder they’re tired.

Getty/manonallard

Don’t bogart that joint, girlfriend.

Both Kovacs and Chapin came to cannabis by way of a woman close to them suffering as a result of cancer. In Kovacs’ case, it was her mother-in-law, who eased her post-surgery pain and reduced her opioid use with cannabis. In Chapin’s, it was a dear friend who used edibles to aid her sleep and appetite, but was getting pummeled by high dosages. Both women saw the opportunity for products that spoke to women’s wellness.

Plus, noted MyJane cofounder Cara Raffele, “There’s a trust gap in healthcare for women.” Indeed, as Quartz’s Annaliese Griffin has written, that trust gap has made women particularly receptive to wellness brands that address their health concerns, respect their pain, and speak to them personally.

During her presentation at Arcview, Chapin said at one point, “we’re really tired of taking Ambien.” A women near me whispered under her breath: “That’s so me.”

Published at Mon, 20 May 2019 21:58:56 +0000

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Jennifer Chapin, the cofounder of Kikoko, recently recalled how she was “laughed out of the dispensaries” when she tried to sell her low-dose cannabis-infused teas in her company’s early days. Three years later, Kikoko’s teas, which come in sachets and canisters wrapped with pink-and-purple stripes and cartoon flowers promising benefits such as “Sensuali-tea” and “Tranquili-tea,” are sold through over 300 storefronts and delivery services across California.

“We are a women-centric, women-owned, women-operated company,” Chapin declared to a room full of women at Arcview, a conference for cannabis investors, in Los Angeles in February. “By women, for women.”

Arcview welcomes investors irrespective of gender, but Kikoko had sponsored a women-only “tea party” (with unmedicated tea) to facilitate some female-friendly networking and announce that the company was seeking capital for expansion into new product categories, with minimum investments starting at $1 million.

Courtesy, Kikoko

Founders of female-focused cannabis startups like Kikoko may soon be laughing all the way to the bank—and they’re getting there by looking beyond millennials, and catering to women in their 40s, 50s, and beyond. Executives such as Chapin, who is 55, are listening to older women’s wishes for low-dose cannabis products that address concerns such as sleep, anxiety, and sexual pleasure, and positioning their companies at the very lucrative intersection of women, weed, and wellness.

Wellness, women, and weed

It’s a market that’s growing. Women control the majority of household purchases, and according to the US Consumer Expenditure Survey, single women over 45 spend about $640 per year on personal care items and $400 annually on drugs. As legalization takes hold, those products are increasingly likely to contain—or even be replaced by—cannabis. According to sales data and a survey of 4,000 cannabis consumers by the San Francisco-based delivery platform Eaze, the number of female cannabis consumers nearly doubled in 2018, and with their growth outpacing men, women are on track to be half of the cannabis market by 2022. Female baby boomers on the platform grew by nearly a quarter between 2017 and 2018.

Kimberly Kovacs, the cofounder and CEO of MyJane, which delivers “curated cannabis” boxes  to women (think Birchbox-meets-Eaze), was also at Arcview. That same week, her company was acquired by the cannabis logistics conglomerate MJIC for an undisclosed sum, after completing just three weeks of deliveries. MJIC CEO Sturges Karban was unabashed about the acquisition’s main attraction.

“Women are the new targets of the adult-use cannabis wellness sector,” wrote Karban, in a press release. “Yet their needs are not being addressed by the cannabis industry.”

“We don’t call that micro-dosing. We just call that normal.”

Getting stoned is not chief among those needs, Kovacs found when MyJane conducted a survey of women in Orange County, CA. When I asked what was, she didn’t skip a beat: “Sleep,” she said. “100%.”

“I don’t want to take an Ambien,” said Kovacs, who is 52, with blonde hair and clear blue eyes. “I don’t even want to take Melatonin … half a cup of tea, I sleep through the night.” (MyJane includes Kikoko tea amongst its offerings in its boxes.)

Courtesy, MyJane

In addition to better sleep, women told MyJane they were seeking relief from pain, anxiety, and stress. Many hadn’t used cannabis before and said they wanted their THC—the chemical compound that results in feeling high—in very low doses.

“By the way, we don’t call that micro-dosing,” said Kovacs. “We just call that normal.”

Ding-dong, Avon calling

Both Chapin and Kovacs referenced Avon—the 135-year-old cosmetics company known for its door-to-door saleswomen. “I don’t want to go to a dispensary,” said Kovacs. “I don’t even want to go to the grocery store anymore!”

“I don’t want to go to a dispensary. I don’t even want to go to the grocery store anymore!”

Instead, these companies strive to deliver both products and education in personal and familiar settings, outside dispensaries. Part of what they’re doing is teaching their customers how to use the range of new products available in the sector.

MyJane’s customers create online profiles answering questions about their symptoms, food allergies, preferences, and prior experience with cannabis. Then, a female “ambassador” from the company arrives at a customer’s doorstep on the agreed-upon date and time to deliver a box of selected products and walk the recipient through each one.

Kikoko’s teas are sold via dispensaries and delivery services, but the company also holds tea parties which include a “cannabis 101” slideshow about the plant’s history and benefits. Chapin estimates that in 2018, the company held over 100 of these events in private homes, country clubs, and retirement communities throughout California. (It was at a Kikiko tea party in Santa Monica that Chapin and Kovacs first met.)

Courtesy, Kikoko

Anyone for a cuppa?

Kikoko’s website has a page for people who want to host their own “High Tea Parties,” complete with downloadable images for invitations, tips (take public transit), and a Pinterest page of suggested menu items.

“We envision an army of women throughout the state of California,” said Chapin, of the consumers she hopes to recruit into hosting high teas.

Bridgett Davis, the founder of the Los Angeles-based cannabis topicals brand Big Momma’s Legacy, is also building a business based on older women customers—using a similar model of cohosting tea parties with local cannabis brands at private homes to slowly build her business from the ground up.

“It’s a group of maybe 10 to 15 of my golden girls,” she said of a typical event. “I have a variety of clients, from white ladies in Brentwood to old grandmas in Compton.”

Quartz/Jenni Avins

Bridgett Davis, the founder of Big Momma’s Legacy.

Davis agreed that a familiar setting and privacy were crucial to her customers, who use her salve and roll-on oil to ease the pain of rheumatism and sciatica, and said she’s counting on her “golden girls” to help her grow her business.

“I cannot ask for better brand ambassadors, and they’re not paid,” she said. “It’s grass-roots, and I’m building it bit by bit. When one of my seniors talks to their friend, their friend is listening.”

Riding the wellness wave

With the global wellness industry now worth an estimated $4 trillion worldwide, it’s little wonder that cannabis companies such as MyJane, Kikoko, and countless others position themselves as purveyors of supplies for self-care rather than recreation. And women—especially those in middle-age—are frequently caring not only for themselves, but also for their friends, children, and aging parents. (Kovacs told me she supplies her father with topicals for his arthritis, and her mother with tea for sleeping.) No wonder they’re tired.

Getty/manonallard

Don’t bogart that joint, girlfriend.

Both Kovacs and Chapin came to cannabis by way of a woman close to them suffering as a result of cancer. In Kovacs’ case, it was her mother-in-law, who eased her post-surgery pain and reduced her opioid use with cannabis. In Chapin’s, it was a dear friend who used edibles to aid her sleep and appetite, but was getting pummeled by high dosages. Both women saw the opportunity for products that spoke to women’s wellness.

Plus, noted MyJane cofounder Cara Raffele, “There’s a trust gap in healthcare for women.” Indeed, as Quartz’s Annaliese Griffin has written, that trust gap has made women particularly receptive to wellness brands that address their health concerns, respect their pain, and speak to them personally.

During her presentation at Arcview, Chapin said at one point, “we’re really tired of taking Ambien.” A women near me whispered under her breath: “That’s so me.”

Published at Mon, 20 May 2019 21:58:56 +0000

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Jennifer Chapin, the cofounder of Kikoko, recently recalled how she was “laughed out of the dispensaries” when she tried to sell her low-dose cannabis-infused teas in her company’s early days. Three years later, Kikoko’s teas, which come in sachets and canisters wrapped with pink-and-purple stripes and cartoon flowers promising benefits such as “Sensuali-tea” and “Tranquili-tea,” are sold through over 300 storefronts and delivery services across California.

“We are a women-centric, women-owned, women-operated company,” Chapin declared to a room full of women at Arcview, a conference for cannabis investors, in Los Angeles in February. “By women, for women.”

Arcview welcomes investors irrespective of gender, but Kikoko had sponsored a women-only “tea party” (with unmedicated tea) to facilitate some female-friendly networking and announce that the company was seeking capital for expansion into new product categories, with minimum investments starting at $1 million.

Courtesy, Kikoko

Founders of female-focused cannabis startups like Kikoko may soon be laughing all the way to the bank—and they’re getting there by looking beyond millennials, and catering to women in their 40s, 50s, and beyond. Executives such as Chapin, who is 55, are listening to older women’s wishes for low-dose cannabis products that address concerns such as sleep, anxiety, and sexual pleasure, and positioning their companies at the very lucrative intersection of women, weed, and wellness.

Wellness, women, and weed

It’s a market that’s growing. Women control the majority of household purchases, and according to the US Consumer Expenditure Survey, single women over 45 spend about $640 per year on personal care items and $400 annually on drugs. As legalization takes hold, those products are increasingly likely to contain—or even be replaced by—cannabis. According to sales data and a survey of 4,000 cannabis consumers by the San Francisco-based delivery platform Eaze, the number of female cannabis consumers nearly doubled in 2018, and with their growth outpacing men, women are on track to be half of the cannabis market by 2022. Female baby boomers on the platform grew by nearly a quarter between 2017 and 2018.

Kimberly Kovacs, the cofounder and CEO of MyJane, which delivers “curated cannabis” boxes  to women (think Birchbox-meets-Eaze), was also at Arcview. That same week, her company was acquired by the cannabis logistics conglomerate MJIC for an undisclosed sum, after completing just three weeks of deliveries. MJIC CEO Sturges Karban was unabashed about the acquisition’s main attraction.

“Women are the new targets of the adult-use cannabis wellness sector,” wrote Karban, in a press release. “Yet their needs are not being addressed by the cannabis industry.”

“We don’t call that micro-dosing. We just call that normal.”

Getting stoned is not chief among those needs, Kovacs found when MyJane conducted a survey of women in Orange County, CA. When I asked what was, she didn’t skip a beat: “Sleep,” she said. “100%.”

“I don’t want to take an Ambien,” said Kovacs, who is 52, with blonde hair and clear blue eyes. “I don’t even want to take Melatonin … half a cup of tea, I sleep through the night.” (MyJane includes Kikoko tea amongst its offerings in its boxes.)

Courtesy, MyJane

In addition to better sleep, women told MyJane they were seeking relief from pain, anxiety, and stress. Many hadn’t used cannabis before and said they wanted their THC—the chemical compound that results in feeling high—in very low doses.

“By the way, we don’t call that micro-dosing,” said Kovacs. “We just call that normal.”

Ding-dong, Avon calling

Both Chapin and Kovacs referenced Avon—the 135-year-old cosmetics company known for its door-to-door saleswomen. “I don’t want to go to a dispensary,” said Kovacs. “I don’t even want to go to the grocery store anymore!”

“I don’t want to go to a dispensary. I don’t even want to go to the grocery store anymore!”

Instead, these companies strive to deliver both products and education in personal and familiar settings, outside dispensaries. Part of what they’re doing is teaching their customers how to use the range of new products available in the sector.

MyJane’s customers create online profiles answering questions about their symptoms, food allergies, preferences, and prior experience with cannabis. Then, a female “ambassador” from the company arrives at a customer’s doorstep on the agreed-upon date and time to deliver a box of selected products and walk the recipient through each one.

Kikoko’s teas are sold via dispensaries and delivery services, but the company also holds tea parties which include a “cannabis 101” slideshow about the plant’s history and benefits. Chapin estimates that in 2018, the company held over 100 of these events in private homes, country clubs, and retirement communities throughout California. (It was at a Kikiko tea party in Santa Monica that Chapin and Kovacs first met.)

Courtesy, Kikoko

Anyone for a cuppa?

Kikoko’s website has a page for people who want to host their own “High Tea Parties,” complete with downloadable images for invitations, tips (take public transit), and a Pinterest page of suggested menu items.

“We envision an army of women throughout the state of California,” said Chapin, of the consumers she hopes to recruit into hosting high teas.

Bridgett Davis, the founder of the Los Angeles-based cannabis topicals brand Big Momma’s Legacy, is also building a business based on older women customers—using a similar model of cohosting tea parties with local cannabis brands at private homes to slowly build her business from the ground up.

“It’s a group of maybe 10 to 15 of my golden girls,” she said of a typical event. “I have a variety of clients, from white ladies in Brentwood to old grandmas in Compton.”

Quartz/Jenni Avins

Bridgett Davis, the founder of Big Momma’s Legacy.

Davis agreed that a familiar setting and privacy were crucial to her customers, who use her salve and roll-on oil to ease the pain of rheumatism and sciatica, and said she’s counting on her “golden girls” to help her grow her business.

“I cannot ask for better brand ambassadors, and they’re not paid,” she said. “It’s grass-roots, and I’m building it bit by bit. When one of my seniors talks to their friend, their friend is listening.”

Riding the wellness wave

With the global wellness industry now worth an estimated $4 trillion worldwide, it’s little wonder that cannabis companies such as MyJane, Kikoko, and countless others position themselves as purveyors of supplies for self-care rather than recreation. And women—especially those in middle-age—are frequently caring not only for themselves, but also for their friends, children, and aging parents. (Kovacs told me she supplies her father with topicals for his arthritis, and her mother with tea for sleeping.) No wonder they’re tired.

Getty/manonallard

Don’t bogart that joint, girlfriend.

Both Kovacs and Chapin came to cannabis by way of a woman close to them suffering as a result of cancer. In Kovacs’ case, it was her mother-in-law, who eased her post-surgery pain and reduced her opioid use with cannabis. In Chapin’s, it was a dear friend who used edibles to aid her sleep and appetite, but was getting pummeled by high dosages. Both women saw the opportunity for products that spoke to women’s wellness.

Plus, noted MyJane cofounder Cara Raffele, “There’s a trust gap in healthcare for women.” Indeed, as Quartz’s Annaliese Griffin has written, that trust gap has made women particularly receptive to wellness brands that address their health concerns, respect their pain, and speak to them personally.

During her presentation at Arcview, Chapin said at one point, “we’re really tired of taking Ambien.” A women near me whispered under her breath: “That’s so me.”

Published at Mon, 20 May 2019 21:58:56 +0000

This Week in Cannabis Investing, July 12th

This Week in Cannabis Investing, July 12th

It was another very eventful week for cannabis, the cannabis industry, and cannabis investing.

There is the emerging story of a major Canadian producer that has being caught using licensed growrooms in its licensed cannabis cultivation facility in Ontario. There are significant new cannabis industry numbers from (respectively) the leading U.S. state and leading Canadian province in terms of the legal cannabis industry.

There was important regulatory news, nothing less than the beginning-of-the-end of cannabis Prohibition in the United States. Parallel to that, The Seed Investor looked at how cannabis consumption is becoming a consumer tradition. And, as always, there was lots of news from individual cannabis companies – in both the United States and Canada.

Monday, Aphria Inc announced its Plant Positivity “social impact platform”. BevCanna Enterprises reported its entry into Canada’s imminent cannabis-infused beverage market. CannTrust Holdings rocked the Canadian cannabis sector with news that the company had been cultivating cannabis in unlicensed growrooms in its licensed Pelham, Ontario cultivation facility. Harvest Health & Recreation Inc acquired an Arizona medical cannabis dispensary. Trulieve Cannabis Corp began selling SLANG Worldwide’s vaporizer cartridges in its Florida retail operations. Body and Mind Inc. has been added to Horizon’s US Marijuana Index ETF. SOL Global completed a $50 million debenture financing. NewLeaf Brands Inc announced a new Tennessee distribution deal.

The Seed Investor also reported on important news regarding the positive effects of cannabis legalization: a reduction in teenage usage of cannabis. And in a TSI Exclusive, we offered our views on why we see cannabis-infused beverages “outperforming” versus other classes of cannabis products. Hint: it’s part of our ongoing theme – the importance of cannabis as an alcohol-substitute.

Tuesday, Phivida Holdings reported that it was now distributing and selling its cannabis products in Colorado and California. Planet 13 Holdings announced its store traffic levels for June at its Las Vegas “Superstore”. 48 North Cannabis Corp reported that it will be converting a Brantford, Ontario indoor cultivation facility into a manufacturing facility. Green Growth Brands Inc announced the acquisition of MXY Holdings (Moxie). The Cannabis ETF began trading on the NYSE, sponsored by Innovation Shares LLC. Organigram Holdings Inc announced its own cannabis-infused beverage plans. AgraFlora Organics International updated investors on a Phase 1 development program as it prepares to enter the infused beverage market.

The Seed Investor looked at some interesting news: how cannabis is starting to replace alcohol as Americans celebrate the 4th of July. Overall, there are $100’s of billions of revenue dollars potentially on the table here. For investors wondering how to capitalize on this trend, we also published a handy infographic showing how legal cannabis spending is increasing and where it is increasing.

We also asked the question: is the media feeding frenzy regarding the cultivation infraction by CannTrust an “over-reaction”? The point is this, more than 70% of Canadian cannabis consumption this year is expected to come from (unlicensed) black market sources. In comparison, the pot seized from these unlicensed growrooms is a drop in the bucket.

Wednesday, MedMen Enterprises Inc announced an increased financial commitment from Gotham Green Partners. Canopy Rivers Inc announced five new cannabis retail licenses from the AGLC (Alberta). Then the big news of the week: Congress commencing a hearing explicitly concerned with (finally) putting an end to cannabis Prohibition in the United States at the federal level.

Thursday, Green Growth Brands was in the news again: a distribution deal with American Eagle Outfitters. iAnthus Capital Holdings Inc announced that its CBD health products are now for sale in 265 Dillard’s Department Stores. HEXO Corp reported that it will be graduating to a full NYSE listing. Cronos Group Inc. announced the acquisition of a fermentation and manufacturing facility in Winnipeg, Manitoba. Village Farms International reported a “full run-rate” at its 1.1 million square foot Delta, B.C. cultivation facility. Aleafia Health Inc announced it had been added to The Cannabis ETF (NYSE: THCX). Lexaria Bioscience Corp. reported a deal with Nic’s Beverage Ltd to produce CBD-based beverages in the U.S. Tilray Inc. reported the first imports of its medical cannabis oral solutions into Ireland.

The Seed Investor spent some time connecting the dots on the surge in cannabis retail spending for 4th of July celebrations. In a TSI Exclusive, we pointed out how cannabis is becoming “an American consumer tradition” – and how this trend will largely come at the expense of the alcohol industry.

Wrapping up the week on Friday, 1933 Industries Inc announced the expansion of cannabis expansion capacity. CannTrust announced a full hold on Ontario sales and the formation of an independent committee to investigate its cultivation lapse. Harvest Health & Recreation reported a new medicinal cannabis dispensary in North Dakota.

Then The Seed Investor shone our spotlight on the state of Colorado. In a TSI Exclusive, we illustrated how that state (alone) has gotten it right in legalizing cannabis. Finally, we looked north of the Border, to the province of Alberta, Canada’s parallel to Colorado in how to quickly and effectively roll out cannabis legalization. The province has already registered more than $30 million in cannabis taxes in the first six months since legalization.

As we near the midpoint of summer, there is no indication of things cooling off in the cannabis space.

Published at Fri, 12 Jul 2019 21:34:25 +0000

Cresco Labs Inc (OTCMKTS:CRLBF) Provides Illinois Expansion Update

Cresco Labs Inc (OTCMKTS:CRLBF) Provides Illinois Expansion Update

Cresco Labs Inc
(OTCMKTS:CRLBF),
one of the major cannabis operators in the U.S issued an
update about its market expansion efforts in Illinois on June 25 after adult
use was legalized in the state.

Governor JB Pritzker of Illinois passed a bill that allowed
cannabis to secure legal status for adult use in the state as of January 2020.
This prompted cannabis operator Cresco Labs to release an update about its
expansion plans in the state so that it can serve the recreational adult
consumers.

“The legalization of adult-use cannabis and the recent expansion of the state’s medical-use program are expected to dramatically increase the consumer base in Illinois,” stated Cresco Labs CEO, Charlie Bachtell.

The CEO also added that the legalization will provide a
noteworthy annual revenue that will range from $2 billion to $4 billion as the
market approaches maturity. Bachtell also noted that Cresco Labs has been
making significant strides in its efforts to serve the widening consumer base
while maintaining its lead in Illinois. The company plans to open five new
cannabis dispensaries in the state next year so that it can double down on the
sale of recreational cannabis.

Aside from the cannabis dispensaries, Cresco Labs also
operates 3 cultivation facilities within Illinois. It also plans to expand its
cultivation facility which is located in Lincoln. The latter will be expanded
to 170,000 square feet and should be ready in Q4 2019.

Cresco Labs launches
social equity program for the legalized cannabis market

Cresto Labs recently unveiled a new social equity and educational
program through which it plans to promote equity, community engagement, and
inclusion in the legalized cannabis industry. The cannabis industry will soon
become one of the leading employers in the country courtesy of all the jobs
that it will create. The program aims to help facilitate diversity and
workplace balance in the cannabis industry.

The program also aims to make sure that the worker will have
the right skills for the industry. Cresto Labs is already working together with
universities through the social equity program to develop cannabis-based
courses and also to host events that will spur more interest in cannabis
industry jobs.

Published at Fri, 12 Jul 2019 12:01:11 +0000

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Jennifer Chapin, the cofounder of Kikoko, recently recalled how she was “laughed out of the dispensaries” when she tried to sell her low-dose cannabis-infused teas in her company’s early days. Three years later, Kikoko’s teas, which come in sachets and canisters wrapped with pink-and-purple stripes and cartoon flowers promising benefits such as “Sensuali-tea” and “Tranquili-tea,” are sold through over 300 storefronts and delivery services across California.

“We are a women-centric, women-owned, women-operated company,” Chapin declared to a room full of women at Arcview, a conference for cannabis investors, in Los Angeles in February. “By women, for women.”

Arcview welcomes investors irrespective of gender, but Kikoko had sponsored a women-only “tea party” (with unmedicated tea) to facilitate some female-friendly networking and announce that the company was seeking capital for expansion into new product categories, with minimum investments starting at $1 million.

Courtesy, Kikoko

Founders of female-focused cannabis startups like Kikoko may soon be laughing all the way to the bank—and they’re getting there by looking beyond millennials, and catering to women in their 40s, 50s, and beyond. Executives such as Chapin, who is 55, are listening to older women’s wishes for low-dose cannabis products that address concerns such as sleep, anxiety, and sexual pleasure, and positioning their companies at the very lucrative intersection of women, weed, and wellness.

Wellness, women, and weed

It’s a market that’s growing. Women control the majority of household purchases, and according to the US Consumer Expenditure Survey, single women over 45 spend about $640 per year on personal care items and $400 annually on drugs. As legalization takes hold, those products are increasingly likely to contain—or even be replaced by—cannabis. According to sales data and a survey of 4,000 cannabis consumers by the San Francisco-based delivery platform Eaze, the number of female cannabis consumers nearly doubled in 2018, and with their growth outpacing men, women are on track to be half of the cannabis market by 2022. Female baby boomers on the platform grew by nearly a quarter between 2017 and 2018.

Kimberly Kovacs, the cofounder and CEO of MyJane, which delivers “curated cannabis” boxes  to women (think Birchbox-meets-Eaze), was also at Arcview. That same week, her company was acquired by the cannabis logistics conglomerate MJIC for an undisclosed sum, after completing just three weeks of deliveries. MJIC CEO Sturges Karban was unabashed about the acquisition’s main attraction.

“Women are the new targets of the adult-use cannabis wellness sector,” wrote Karban, in a press release. “Yet their needs are not being addressed by the cannabis industry.”

“We don’t call that micro-dosing. We just call that normal.”

Getting stoned is not chief among those needs, Kovacs found when MyJane conducted a survey of women in Orange County, CA. When I asked what was, she didn’t skip a beat: “Sleep,” she said. “100%.”

“I don’t want to take an Ambien,” said Kovacs, who is 52, with blonde hair and clear blue eyes. “I don’t even want to take Melatonin … half a cup of tea, I sleep through the night.” (MyJane includes Kikoko tea amongst its offerings in its boxes.)

Courtesy, MyJane

In addition to better sleep, women told MyJane they were seeking relief from pain, anxiety, and stress. Many hadn’t used cannabis before and said they wanted their THC—the chemical compound that results in feeling high—in very low doses.

“By the way, we don’t call that micro-dosing,” said Kovacs. “We just call that normal.”

Ding-dong, Avon calling

Both Chapin and Kovacs referenced Avon—the 135-year-old cosmetics company known for its door-to-door saleswomen. “I don’t want to go to a dispensary,” said Kovacs. “I don’t even want to go to the grocery store anymore!”

“I don’t want to go to a dispensary. I don’t even want to go to the grocery store anymore!”

Instead, these companies strive to deliver both products and education in personal and familiar settings, outside dispensaries. Part of what they’re doing is teaching their customers how to use the range of new products available in the sector.

MyJane’s customers create online profiles answering questions about their symptoms, food allergies, preferences, and prior experience with cannabis. Then, a female “ambassador” from the company arrives at a customer’s doorstep on the agreed-upon date and time to deliver a box of selected products and walk the recipient through each one.

Kikoko’s teas are sold via dispensaries and delivery services, but the company also holds tea parties which include a “cannabis 101” slideshow about the plant’s history and benefits. Chapin estimates that in 2018, the company held over 100 of these events in private homes, country clubs, and retirement communities throughout California. (It was at a Kikiko tea party in Santa Monica that Chapin and Kovacs first met.)

Courtesy, Kikoko

Anyone for a cuppa?

Kikoko’s website has a page for people who want to host their own “High Tea Parties,” complete with downloadable images for invitations, tips (take public transit), and a Pinterest page of suggested menu items.

“We envision an army of women throughout the state of California,” said Chapin, of the consumers she hopes to recruit into hosting high teas.

Bridgett Davis, the founder of the Los Angeles-based cannabis topicals brand Big Momma’s Legacy, is also building a business based on older women customers—using a similar model of cohosting tea parties with local cannabis brands at private homes to slowly build her business from the ground up.

“It’s a group of maybe 10 to 15 of my golden girls,” she said of a typical event. “I have a variety of clients, from white ladies in Brentwood to old grandmas in Compton.”

Quartz/Jenni Avins

Bridgett Davis, the founder of Big Momma’s Legacy.

Davis agreed that a familiar setting and privacy were crucial to her customers, who use her salve and roll-on oil to ease the pain of rheumatism and sciatica, and said she’s counting on her “golden girls” to help her grow her business.

“I cannot ask for better brand ambassadors, and they’re not paid,” she said. “It’s grass-roots, and I’m building it bit by bit. When one of my seniors talks to their friend, their friend is listening.”

Riding the wellness wave

With the global wellness industry now worth an estimated $4 trillion worldwide, it’s little wonder that cannabis companies such as MyJane, Kikoko, and countless others position themselves as purveyors of supplies for self-care rather than recreation. And women—especially those in middle-age—are frequently caring not only for themselves, but also for their friends, children, and aging parents. (Kovacs told me she supplies her father with topicals for his arthritis, and her mother with tea for sleeping.) No wonder they’re tired.

Getty/manonallard

Don’t bogart that joint, girlfriend.

Both Kovacs and Chapin came to cannabis by way of a woman close to them suffering as a result of cancer. In Kovacs’ case, it was her mother-in-law, who eased her post-surgery pain and reduced her opioid use with cannabis. In Chapin’s, it was a dear friend who used edibles to aid her sleep and appetite, but was getting pummeled by high dosages. Both women saw the opportunity for products that spoke to women’s wellness.

Plus, noted MyJane cofounder Cara Raffele, “There’s a trust gap in healthcare for women.” Indeed, as Quartz’s Annaliese Griffin has written, that trust gap has made women particularly receptive to wellness brands that address their health concerns, respect their pain, and speak to them personally.

During her presentation at Arcview, Chapin said at one point, “we’re really tired of taking Ambien.” A women near me whispered under her breath: “That’s so me.”

Published at Mon, 20 May 2019 21:58:56 +0000

Testimony in Nevada Cannabis Licensing Case Turns to Application Wording

Testimony in Nevada Cannabis Licensing Case Turns to Application Wording

Jay-Z is the new chief brand strategist for Caliva, a vertically integrated cannabis business in the Bay Area. He’s not the first celebrity to join forces with a cannabis company, and he certainly won’t be the last. These strategic partnerships between growing cannabis businesses (especially larger companies on the West Coast) and intrigued celebrity influencers are part of a broader trend that’s swept up the entire consumer packaged goods market for years.

“There’s just a lot of celebrity involvement in the brand universe and in CPG these days,” Josh Wand, CEO of HerbForce, says. “We’ve been seeing it happen in the bev/alc space, which is pretty closely related to cannabis.”

Think George Cloony’s Casamigos tequila brand, a drink that consumers may order by invoking Clooney’s name and giving power to the celebrity-brand connection, and you’ll get a sense of the power that a popular voice can bring to a product.

Cannabis companies are in a pattern of constantly raising capital to fuel the growth of their brands. And this is only becoming more pronounced as the wave of legalization continues to wash across more parts of the U.S. The industry is becoming normalized, and more mainstream sources of capital (among high-net-worth individuals) are bringing those cannabis companies in close contact with celebrities: actors, athletes and musicians who are interested in using their money to further an idea, a vision.

RELATED: 10 Questions With Caliva CEO Dennis O’Malley 

“What we see brands doing now with a lot of these celebrities is saying, ‘We’re not just going to give you shares to post on social media,” Wand says. “’We want you to be meaningfully involved, we want you to invest in really having your voices heard, we want to make sure that as we develop this brand strategy it’s in sync with the way you connect authentically with your community of followers and your fans.’”

The key, Wand points out, is that strategy. Rather that scoring photos of celebrities holding your product, the key is to bring in people who want to help promote your business and your corporate values.

“Just signing up 20 celebrities and hoping they’re going to figure it out can be a lot less effective than really having a strategy and making sure you bring in people that, one, you like them as human and, two, you’re aligned in mission and vision and values and, three, expectations are set up front,” Wand says. “When all of that aligns, magic can happen.”

This is something that the industry will be seeing more frequently as the climate evolves. U.S. markets may be fragmented now, but they won’t always be like this. And while licensed businesses are restricted by state boundaries, brands can move freely among segments of the U.S. cannabis marketplace.

Brands are where the consumer will look to understand the industry.

“You’re just going to see more and more of this [in cannabis],” Wand says. “These celebrities can come in as creative officers or brand officers that actually have a stake in the business in a meaningful way. That can really help with the trajectory and the growth and the brand positioning, and it’s a super exciting time.”

Published at Thu, 11 Jul 2019 21:08:00 +0000

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Jennifer Chapin, the cofounder of Kikoko, recently recalled how she was “laughed out of the dispensaries” when she tried to sell her low-dose cannabis-infused teas in her company’s early days. Three years later, Kikoko’s teas, which come in sachets and canisters wrapped with pink-and-purple stripes and cartoon flowers promising benefits such as “Sensuali-tea” and “Tranquili-tea,” are sold through over 300 storefronts and delivery services across California.

“We are a women-centric, women-owned, women-operated company,” Chapin declared to a room full of women at Arcview, a conference for cannabis investors, in Los Angeles in February. “By women, for women.”

Arcview welcomes investors irrespective of gender, but Kikoko had sponsored a women-only “tea party” (with unmedicated tea) to facilitate some female-friendly networking and announce that the company was seeking capital for expansion into new product categories, with minimum investments starting at $1 million.

Courtesy, Kikoko

Founders of female-focused cannabis startups like Kikoko may soon be laughing all the way to the bank—and they’re getting there by looking beyond millennials, and catering to women in their 40s, 50s, and beyond. Executives such as Chapin, who is 55, are listening to older women’s wishes for low-dose cannabis products that address concerns such as sleep, anxiety, and sexual pleasure, and positioning their companies at the very lucrative intersection of women, weed, and wellness.

Wellness, women, and weed

It’s a market that’s growing. Women control the majority of household purchases, and according to the US Consumer Expenditure Survey, single women over 45 spend about $640 per year on personal care items and $400 annually on drugs. As legalization takes hold, those products are increasingly likely to contain—or even be replaced by—cannabis. According to sales data and a survey of 4,000 cannabis consumers by the San Francisco-based delivery platform Eaze, the number of female cannabis consumers nearly doubled in 2018, and with their growth outpacing men, women are on track to be half of the cannabis market by 2022. Female baby boomers on the platform grew by nearly a quarter between 2017 and 2018.

Kimberly Kovacs, the cofounder and CEO of MyJane, which delivers “curated cannabis” boxes  to women (think Birchbox-meets-Eaze), was also at Arcview. That same week, her company was acquired by the cannabis logistics conglomerate MJIC for an undisclosed sum, after completing just three weeks of deliveries. MJIC CEO Sturges Karban was unabashed about the acquisition’s main attraction.

“Women are the new targets of the adult-use cannabis wellness sector,” wrote Karban, in a press release. “Yet their needs are not being addressed by the cannabis industry.”

“We don’t call that micro-dosing. We just call that normal.”

Getting stoned is not chief among those needs, Kovacs found when MyJane conducted a survey of women in Orange County, CA. When I asked what was, she didn’t skip a beat: “Sleep,” she said. “100%.”

“I don’t want to take an Ambien,” said Kovacs, who is 52, with blonde hair and clear blue eyes. “I don’t even want to take Melatonin … half a cup of tea, I sleep through the night.” (MyJane includes Kikoko tea amongst its offerings in its boxes.)

Courtesy, MyJane

In addition to better sleep, women told MyJane they were seeking relief from pain, anxiety, and stress. Many hadn’t used cannabis before and said they wanted their THC—the chemical compound that results in feeling high—in very low doses.

“By the way, we don’t call that micro-dosing,” said Kovacs. “We just call that normal.”

Ding-dong, Avon calling

Both Chapin and Kovacs referenced Avon—the 135-year-old cosmetics company known for its door-to-door saleswomen. “I don’t want to go to a dispensary,” said Kovacs. “I don’t even want to go to the grocery store anymore!”

“I don’t want to go to a dispensary. I don’t even want to go to the grocery store anymore!”

Instead, these companies strive to deliver both products and education in personal and familiar settings, outside dispensaries. Part of what they’re doing is teaching their customers how to use the range of new products available in the sector.

MyJane’s customers create online profiles answering questions about their symptoms, food allergies, preferences, and prior experience with cannabis. Then, a female “ambassador” from the company arrives at a customer’s doorstep on the agreed-upon date and time to deliver a box of selected products and walk the recipient through each one.

Kikoko’s teas are sold via dispensaries and delivery services, but the company also holds tea parties which include a “cannabis 101” slideshow about the plant’s history and benefits. Chapin estimates that in 2018, the company held over 100 of these events in private homes, country clubs, and retirement communities throughout California. (It was at a Kikiko tea party in Santa Monica that Chapin and Kovacs first met.)

Courtesy, Kikoko

Anyone for a cuppa?

Kikoko’s website has a page for people who want to host their own “High Tea Parties,” complete with downloadable images for invitations, tips (take public transit), and a Pinterest page of suggested menu items.

“We envision an army of women throughout the state of California,” said Chapin, of the consumers she hopes to recruit into hosting high teas.

Bridgett Davis, the founder of the Los Angeles-based cannabis topicals brand Big Momma’s Legacy, is also building a business based on older women customers—using a similar model of cohosting tea parties with local cannabis brands at private homes to slowly build her business from the ground up.

“It’s a group of maybe 10 to 15 of my golden girls,” she said of a typical event. “I have a variety of clients, from white ladies in Brentwood to old grandmas in Compton.”

Quartz/Jenni Avins

Bridgett Davis, the founder of Big Momma’s Legacy.

Davis agreed that a familiar setting and privacy were crucial to her customers, who use her salve and roll-on oil to ease the pain of rheumatism and sciatica, and said she’s counting on her “golden girls” to help her grow her business.

“I cannot ask for better brand ambassadors, and they’re not paid,” she said. “It’s grass-roots, and I’m building it bit by bit. When one of my seniors talks to their friend, their friend is listening.”

Riding the wellness wave

With the global wellness industry now worth an estimated $4 trillion worldwide, it’s little wonder that cannabis companies such as MyJane, Kikoko, and countless others position themselves as purveyors of supplies for self-care rather than recreation. And women—especially those in middle-age—are frequently caring not only for themselves, but also for their friends, children, and aging parents. (Kovacs told me she supplies her father with topicals for his arthritis, and her mother with tea for sleeping.) No wonder they’re tired.

Getty/manonallard

Don’t bogart that joint, girlfriend.

Both Kovacs and Chapin came to cannabis by way of a woman close to them suffering as a result of cancer. In Kovacs’ case, it was her mother-in-law, who eased her post-surgery pain and reduced her opioid use with cannabis. In Chapin’s, it was a dear friend who used edibles to aid her sleep and appetite, but was getting pummeled by high dosages. Both women saw the opportunity for products that spoke to women’s wellness.

Plus, noted MyJane cofounder Cara Raffele, “There’s a trust gap in healthcare for women.” Indeed, as Quartz’s Annaliese Griffin has written, that trust gap has made women particularly receptive to wellness brands that address their health concerns, respect their pain, and speak to them personally.

During her presentation at Arcview, Chapin said at one point, “we’re really tired of taking Ambien.” A women near me whispered under her breath: “That’s so me.”

Published at Mon, 20 May 2019 21:58:56 +0000

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Female Founders in Their 50s Are Starting Cannabis Companies to Take Care of Their Own

Jennifer Chapin, the cofounder of Kikoko, recently recalled how she was “laughed out of the dispensaries” when she tried to sell her low-dose cannabis-infused teas in her company’s early days. Three years later, Kikoko’s teas, which come in sachets and canisters wrapped with pink-and-purple stripes and cartoon flowers promising benefits such as “Sensuali-tea” and “Tranquili-tea,” are sold through over 300 storefronts and delivery services across California.

“We are a women-centric, women-owned, women-operated company,” Chapin declared to a room full of women at Arcview, a conference for cannabis investors, in Los Angeles in February. “By women, for women.”

Arcview welcomes investors irrespective of gender, but Kikoko had sponsored a women-only “tea party” (with unmedicated tea) to facilitate some female-friendly networking and announce that the company was seeking capital for expansion into new product categories, with minimum investments starting at $1 million.

Courtesy, Kikoko

Founders of female-focused cannabis startups like Kikoko may soon be laughing all the way to the bank—and they’re getting there by looking beyond millennials, and catering to women in their 40s, 50s, and beyond. Executives such as Chapin, who is 55, are listening to older women’s wishes for low-dose cannabis products that address concerns such as sleep, anxiety, and sexual pleasure, and positioning their companies at the very lucrative intersection of women, weed, and wellness.

Wellness, women, and weed

It’s a market that’s growing. Women control the majority of household purchases, and according to the US Consumer Expenditure Survey, single women over 45 spend about $640 per year on personal care items and $400 annually on drugs. As legalization takes hold, those products are increasingly likely to contain—or even be replaced by—cannabis. According to sales data and a survey of 4,000 cannabis consumers by the San Francisco-based delivery platform Eaze, the number of female cannabis consumers nearly doubled in 2018, and with their growth outpacing men, women are on track to be half of the cannabis market by 2022. Female baby boomers on the platform grew by nearly a quarter between 2017 and 2018.

Kimberly Kovacs, the cofounder and CEO of MyJane, which delivers “curated cannabis” boxes  to women (think Birchbox-meets-Eaze), was also at Arcview. That same week, her company was acquired by the cannabis logistics conglomerate MJIC for an undisclosed sum, after completing just three weeks of deliveries. MJIC CEO Sturges Karban was unabashed about the acquisition’s main attraction.

“Women are the new targets of the adult-use cannabis wellness sector,” wrote Karban, in a press release. “Yet their needs are not being addressed by the cannabis industry.”

“We don’t call that micro-dosing. We just call that normal.”

Getting stoned is not chief among those needs, Kovacs found when MyJane conducted a survey of women in Orange County, CA. When I asked what was, she didn’t skip a beat: “Sleep,” she said. “100%.”

“I don’t want to take an Ambien,” said Kovacs, who is 52, with blonde hair and clear blue eyes. “I don’t even want to take Melatonin … half a cup of tea, I sleep through the night.” (MyJane includes Kikoko tea amongst its offerings in its boxes.)

Courtesy, MyJane

In addition to better sleep, women told MyJane they were seeking relief from pain, anxiety, and stress. Many hadn’t used cannabis before and said they wanted their THC—the chemical compound that results in feeling high—in very low doses.

“By the way, we don’t call that micro-dosing,” said Kovacs. “We just call that normal.”

Ding-dong, Avon calling

Both Chapin and Kovacs referenced Avon—the 135-year-old cosmetics company known for its door-to-door saleswomen. “I don’t want to go to a dispensary,” said Kovacs. “I don’t even want to go to the grocery store anymore!”

“I don’t want to go to a dispensary. I don’t even want to go to the grocery store anymore!”

Instead, these companies strive to deliver both products and education in personal and familiar settings, outside dispensaries. Part of what they’re doing is teaching their customers how to use the range of new products available in the sector.

MyJane’s customers create online profiles answering questions about their symptoms, food allergies, preferences, and prior experience with cannabis. Then, a female “ambassador” from the company arrives at a customer’s doorstep on the agreed-upon date and time to deliver a box of selected products and walk the recipient through each one.

Kikoko’s teas are sold via dispensaries and delivery services, but the company also holds tea parties which include a “cannabis 101” slideshow about the plant’s history and benefits. Chapin estimates that in 2018, the company held over 100 of these events in private homes, country clubs, and retirement communities throughout California. (It was at a Kikiko tea party in Santa Monica that Chapin and Kovacs first met.)

Courtesy, Kikoko

Anyone for a cuppa?

Kikoko’s website has a page for people who want to host their own “High Tea Parties,” complete with downloadable images for invitations, tips (take public transit), and a Pinterest page of suggested menu items.

“We envision an army of women throughout the state of California,” said Chapin, of the consumers she hopes to recruit into hosting high teas.

Bridgett Davis, the founder of the Los Angeles-based cannabis topicals brand Big Momma’s Legacy, is also building a business based on older women customers—using a similar model of cohosting tea parties with local cannabis brands at private homes to slowly build her business from the ground up.

“It’s a group of maybe 10 to 15 of my golden girls,” she said of a typical event. “I have a variety of clients, from white ladies in Brentwood to old grandmas in Compton.”

Quartz/Jenni Avins

Bridgett Davis, the founder of Big Momma’s Legacy.

Davis agreed that a familiar setting and privacy were crucial to her customers, who use her salve and roll-on oil to ease the pain of rheumatism and sciatica, and said she’s counting on her “golden girls” to help her grow her business.

“I cannot ask for better brand ambassadors, and they’re not paid,” she said. “It’s grass-roots, and I’m building it bit by bit. When one of my seniors talks to their friend, their friend is listening.”

Riding the wellness wave

With the global wellness industry now worth an estimated $4 trillion worldwide, it’s little wonder that cannabis companies such as MyJane, Kikoko, and countless others position themselves as purveyors of supplies for self-care rather than recreation. And women—especially those in middle-age—are frequently caring not only for themselves, but also for their friends, children, and aging parents. (Kovacs told me she supplies her father with topicals for his arthritis, and her mother with tea for sleeping.) No wonder they’re tired.

Getty/manonallard

Don’t bogart that joint, girlfriend.

Both Kovacs and Chapin came to cannabis by way of a woman close to them suffering as a result of cancer. In Kovacs’ case, it was her mother-in-law, who eased her post-surgery pain and reduced her opioid use with cannabis. In Chapin’s, it was a dear friend who used edibles to aid her sleep and appetite, but was getting pummeled by high dosages. Both women saw the opportunity for products that spoke to women’s wellness.

Plus, noted MyJane cofounder Cara Raffele, “There’s a trust gap in healthcare for women.” Indeed, as Quartz’s Annaliese Griffin has written, that trust gap has made women particularly receptive to wellness brands that address their health concerns, respect their pain, and speak to them personally.

During her presentation at Arcview, Chapin said at one point, “we’re really tired of taking Ambien.” A women near me whispered under her breath: “That’s so me.”

Published at Mon, 20 May 2019 21:58:56 +0000






THC REPORT





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