Morgan Potts

The cannabis industry is booming, but let’s be real—hemp is clearly the MVP. In 2022, the hemp market raked in a whopping $28 billion, leaving the marijuana market trailing behind at “only” $26 billion. Who knew that while marijuana was out trying to look cool, hemp would quietly take over? Sure, marijuana has had its time in the spotlight with all the hype, dispensaries, and Instagram influencers. But hemp’s the one doing the real work, showing up everywhere from wellness products to eco-friendly materials, and let’s not forget all those everyday items people don’t even realize have hemp in them! It’s the true underdog story of a plant that doesn’t need all the flashy lights to make a big impact. While marijuana’s been focused on recreational fame, hemp’s been building a sustainable empire. It’s a jack-of-all-trades, fitting right into personal care, health products, healthier intoxicating products(than alcohol), food, textiles—you name it, hemp’s in it. So while the marijuana market is hanging out in dispensaries and waiting for its next big state to legalize, hemp’s already in the pantry, the medicine cabinet, and probably the clothes on your back. Just go into a marijuana dispensary and take a look around: it’s the usual suspects—standard CBD and THC products, nothing new. Meanwhile, the hemp industry is leading in real innovation with a whole array of natural cannabinoids. Delta-8, CBG, CBN—the options keep growing, with products designed for focus, relaxation, and everything in between. The hemp market is also adding other popular herbs and combining them with unique CBC, THCV, CBN, and CBG blends far before marijuana operators even think to. It’s no wonder they’re trying to shut us down—hemp’s raising the bar on every front. So while marijuana’s riding on reputation, hemp’s the one rolling in the real success, staying ahead of the curve, and keeping things interesting. #hemp #hempissmarter #cannabisindustry #hempindustry #minnesota #florida #wisconsin

205

217 Comments

Cannabis startups are DEF a rollercoaster - 2 wks ago I was reeling from several gut punches... but today, things are looking bright: ✅ LOTS of new products in the pipeline that I'm SO pumped about... our Live Resin Vapes drop in NY before 710 and they're 🔥 🔥 🔥 . A bunch more new stuff I can't reveal them yet too… ✅ in NY, LIVE NUGS are in almost completely sold out - with most places re-ordering after < 2 wks selling a $100+ SKU! We’re getting a ton of inbound interest - shows that innovative products that deliver real value sell. Still early, but we should 2-3X our best month ever... NY as a market feels like it’s FINALLY getting its footing (hope I’m not jinxing us here). ✅ in CA, we've signed 4 MONSTER accounts since HoF and our new SKUs (esp Live Rosin Pre-Rolls and Live Rosin Vapes) are FLYING... it's painful for our cash flow to be scaling to meet demand, but feeling very positive about the turnaround in the most challenging state. About to sign up for the next big show in Sept… ❓thinking about expansion - though it's still early (wanna make sure our foundation & processes are solid in CA / NY)... but what potential partners should we be talking to in NJ for cultivation / processing / sales & distro? HMU via DM pls... None of this would be possible without our incredible team (Martin Mills, Cirona Labs, Peter Pietrangeli, Euphoric life , Lowell Farms Inc.) and our amazing retail partners. In general, I try not to get too high or too low - but feeling immensely optimistic about the state! Gotta celebrate the wins - as tomorrow I'm fully expecting to be punched in the face again LOL. BTW, in the rollercoaster analogy - which part is “good”? I assume it’s when you’re going downhill (despite Kevin Hart’s face)?! But then when we talk about life’s ups and downs or highs and lows - it’s the opposite right? Make it make sense?!

17

6 Comments

Hey #cannabisindustry The WeedWeek newsletter is up! -- What rescheduling means, and what it doesn't Link and lots more in the comments

6

2 Comments

The most expensive lesson in cannabis: You can't scale excellence you haven't achieved. The race to scale in cannabis cultivation has become an expensive lesson for many. I've watched countless companies burn through millions chasing massive footprints before mastering the basics. Here's the truth: premium cannabis is an art form that requires precision, care and intimate knowledge of every plant. When you're managing 10,000m² before perfecting your process with 1,000m², you're not scaling - you're multiplying your problems. Investors love big numbers and ambitious projections, but sustainable success in cannabis starts small. Master your craft first. Scale second. The same goes for trying to do everything at once - cultivation, processing, manufacturing, distribution and sales under one roof. Excellence comes from hyper focus, not from spreading your company and it’s resources too thin. Some of the finest cannabis products come from boutique grows where cultivators can touch, smell and monitor every plant. Start small > Get your processes right > Build your team > Perfect your product. The cannabis industry doesn't need more square metres that’s going to dominate the industry - it needs more attention to detail, more expertise and more patience by putting quality first. What’s your thoughts on this? I’d love to hear your perspective. #CannabisIndustry  #Cannabis  #GoldenDaysCultivators

25

3 Comments

To California Cultivation Facilities: If you are worried about your bottom line, your profitability, your output per sq. foot and overall reputation in the industry. You must ask yourself are you wasting money by guessing what is wrong? If your month over month harvest output is declining and overall THC% potency also on the slide- you have unidentified issues and could be a great fit for the custom solutions Verne Bioanalytics provides. If you want to double your canopy efficiency, make more per pound, increase THC and yield, we can custom fit a solution to your specific needs. Are you needing an upgrade to equipment, your facilities or your processes? We can help with all three plus diagnose why your plants look like that, using a combination of AI and human surveillance onsite. Our team will provide actual answers and hard SOPs on how to fix the issue... stop wasting your money on ineffective and inefficient processes. To find out more, contact me directly- we boast a vast network of partners that can assist with every aspect of the cultivation process... don't just take my word for it- As a cultivator myself, the lack of data and it's on demand usability is an issue in cannabis unseen in other industries, don't get left behind. If you merely work at a facility and know this is an issue, we have a referral program for you, too. Let Verne help make you day to day workload lighter using data and science, no guessing!

3

"Everything you thought you knew about CBD and THC? It might be wrong." Here's a surprising development in cannabis research: Key points: - New study challenges belief that CBD reduces THC's effects - High doses of CBD may actually intensify THC's impact - Highlights our limited understanding of cannabis interactions - Emphasizes importance of personalized approach to cannabis use After 16 years in the cannabis industry, I'm still learning. This study shows that CBD might enhance, not diminish, THC's effects - contrary to what many of us believed. - 450mg CBD significantly increased THC's effects - Lower CBD doses (10mg, 30mg) didn't show the same impact - Study involved 37 healthy volunteers This research underscores how much we still don't know about cannabis. It's a reminder that effects can vary greatly between individuals. My advice for (new) cannabis consumers remains: 1. Create the right set and setting 2. Start low and go slow 3. Reflect and learn from each experience Tell me your take on this. Dive deeper: Link in comments

13

20 Comments

90% of cannabis retailers have inventory imbalances (👀 under-stocked in 28g) When Vetrina reviews a retailer's inventory, they are often understocked in pack sizes like 28g but overstocked in smaller 3.5g units. The root cause is analyzing inventory performance at too granular a level—looking only at revenue by SKU rather than a category/ subcategory view. Imagine you have a coffee stand and sell different-sized cups of coffee. The small has five different brew options, but the large only has one. Does the coffee stand really understand if the customer wants the large cup? Or do the sales of the small cups reflect the customer's brew preferences? This is similar to what's happening in dispensaries. Most of the time, there isn't enough variety or newness in 28g to tell if the options are supporting customer demand. When you review the sales, it sends a false signal that customers want 3.5g, not 28g. When you only look at how much money you make from every kind of coffee instead of looking at all the cup sizes first, you might create missed opportunities and not see the demand story. In this example, what if the top 2 brews were sold in the large cup size? Would the coffee stand increase sales? To optimize your product assortment and inventory levels, you need to structure your analysis by looking at the big and small picture. Don't let insights get obscured by an overly narrow view of your data. Well-structured product categories empower inventory management and assortment planning decisions. Which you can read more about on our blog.

77

16 Comments

Your cannabis content isn't a "nice-to-have." → It's a critical tool for sales objections. (This applies to both B2B and B2C products + services in our industry.) Does your company face any of these kinds of objections from current or prospective customers? - I only want your highest THC flower. - This trimming machine is too expensive. - I had a bad experience with edibles in the past.  - Changing my POS will be too much of a headache. - Vaporizers are daunting to me, so I'll skip concentrates. - The timing just isn’t right to switch accounting providers.  - I can’t take time away from my duties to attend this conference.   - It will be difficult for me to get approval from management for this ERP. When your sales team shares these specific concerns with the marketing team... They can be directly addressed by tailoring content toward those most common sales objections. A few examples: 💡A physical brochure about the Entourage Effect 💡An SEO-rich blog comparing software options + features 💡A video tutorial about how to set up, use, and clean a vaporizer 💡A downloadable digital guide detailing the ROI of your equipment 💡A podcast case study of a customer who was hesitant of switching to your company, but it paid off 💡 A webinar with your technical expert showcasing why your methodology works and the pain points it helps Depending on the platform, customers can either organically find these pieces of content as they're proactively researching providers... Or, your sales team can share them after they have an intial conversation and schedule a follow-up. Now you've just created a low-pressure way to build: - Educational value - Credibility and trust - Social proof of successes ... and get your ideal customer closer to saying "yes." This is exactly what our team at Tomaselli Media helps you do. We get to know you, build a plan, and help you develop meaningful and ethical tools to close the sale and grow your revenue. If you want to see what this could look like, send me a DM and let's chat!

25

4 Comments

Your First Cannabis Store Costs 3x Your Second It's not just because you invest in the build-out and set-up the first time. You don't repeat. … Although that's part of it. It's because of the investment it takes to build systems Revenue tracking Assortment planning Buying strategies Liquidation practices Inventory SOPs Hiring frameworks Role descriptions Compensation structures Marketing calendars Promotional plan Loyalty programs Customer review captures E-commerce merchandising plans To name a few. Every time you do it, you become more efficient and have an opportunity to optimize it. Scale impacts system complexity: <$3M store vs. $10M store 1-3 stores vs. 5 stores vs. 20+ stores As you grow, your systems need to evolve to meet new challenges. We share tips and tricks for these systems in the Vetrina newsletter.

53

8 Comments

🌱 Are you holding onto hope for the California cannabis market?🌱 It's a question that many in our industry grapple with. California remains the largest single cannabis market in the US, bringing in ~$5 billion in 2023. Yet, despite its size and potential, many have thrown in the towel, particularly the public MSOs who have divested and run​​. I’ve never given up hope. But yes, it’s evident that succeeding in California is a lot harder than in other state markets currently popping off. Some industry CEOs argue that vertical integration is the key to success in California, allowing businesses to capture as much margin as possible. Others believe that laser-focused excellence in one aspect of the supply chain—be it cultivation, scaled manufacturing, distribution, brand or retail—is what truly matters. For me, hope reigns, but my professional strategy has evolved. I take a diversified approach in my professional portfolio, making sure to not overindex on California, allocating only a slice of my resources to businesses focused on California. This allows me to keep an eye on hidden winners, stay current in the market, and maintain a comprehensive understanding of the entire industry landscape. California remains a crown jewel, and the folks that are winning here have the tenacity to compete in a near-impossible environment. What’s your take on the future of the California cannabis market? Are you still holding onto hope, or are you looking elsewhere? #CannabisIndustry #CaliforniaCannabis #BusinessStrategy #CannabisMarket #HopeAndOptimism

68

25 Comments

The cannabis companies that ‘WIN’ in 2025 and beyond will have these five things in common: 1) They understand the scale that they are trying to achieve and their entire operation is appropriately focused based on that scale. -Local companies need to market and connect locally (in an extremely authentic way) while focusing on profitable, sustainable revenue streams that are mostly consumer driven. -Statewide companies need to do the hard math and modeling to understand what realistic growth means for them. Set specific growth targets based on achieveable modeling. Too many statewide brands operate, market and spend like a national brand, and it will cost them in the end. -National brands must focus on lean profitability and maintain a highly targeted approach to their spending, despite a world that may seem like it has limitless customers. 2) They don’t try to do it all. Developing mastery and economies of scale in specific sectors, while building strong partnerships in the rest of the market, is the model for success in the years to come. The great companies from 2025-Federal Legalization will seek out expansion via truly strategic partnerships (and careful aquisitions) while the mediocre companies attempt to do it all themselves. The largest, best capitalized MSOs will be buying up statewide and regional businesse with lean, focused, positive-cashflow operations, which solve specific problems in their infrastructure. 3) They are building a business that is designed for the New World of Cannabis, and the Era of Commercialization. -We aren’t trappers anymore. -Hitting licks can only take you so far. -Weed is a CPG product. -THCA is sold openly online and in gas stations. -D9 Bevs and Gummies are sold in some of the deepest red states. -Weed by mail is probably here to stay. -Mushrooms are legal in various cities and states. -Consumer trust in a brand is the most valuable asset in the industry. No matter their scale, the companies that win in the next five years will integrate themselves into the new ways consumers interact with and purchase cannabis…. (Online, DTC, Low-Dose, Mixed Nootropic, Bev, Smoke Shop/Gas Station, Mass Market, Seshes, N.A. bars/lounges, add-on dispensary licenses) 4) They build continuous feedback loops with their customers. The great brands and companies that succeed into the 2030’s will have a deep, data-based understanding of their consumers at all levels. Brands must understand the buying criteria of the stores that carry them as well as the buying criteria of the consumers that drive sell-through. The very best will encourage a rewarding consumer engagement loop that directly influences operational decision making. 5) They just don’t quit. (In fact, they continue to innovate, pivot, and understand that at the end of the day, their business is change). A lot of cannabis operators will quit in the next five years. In all business, but especially in cannabis, sometimes it’s just about being there tomorrow.

33

8 Comments

Hot Take: Cannabis Market Discount Phases 1. No Discounts Here We have customers coming in. They seem happy, we are making money, we don’t need to discount. 2. Limited Competition Creeps In People are buying the weed, but we have a competitor that opened, and we think some of our customers might choose them. Let’s make sure we have a student, senior, and veteran discount. 3. Topline Revenue Slows Down We are barely beating last year... We have some excess inventory. Let’s add this to our discounts. 4. Competition is Here Our competitors have been running a discount for a couple of weeks, and it must be working, so let's try it too. - Daily deals - Weekend sales - Penny product ‘loss leaders’ 5. Topline Starts Decreasing We are losing customers! Let’s start the promo a week earlier, change it weekly, and get some deep discounts going. We need to increase the basket size! 6. What are we doing?! We aren’t beating our results. We have less operating cash. We’ve got to bite the bullet and shift focus on margin dollars to ensure we have enough operating cash. 7. The Rebound It's hard not to beat last year's numbers, but we hit an 8% increase in margin dollars, even though our margin % is lower. The team has adopted this better than we thought. They thought we were chasing revenue; they are aligned with our push to be profitable. 8. The Recovery The team is finding creative ways to limit revenue decline, retain customers and increase margin dollars. 9. We Are Doing It! We are growing with predictable, ownable revenue! Post Inspired by Preston 🩳 Rutherford's take on D2C promotions.

54

6 Comments

I've encountered 3 types of #businesspeople in the #cannabisindustry. a.) Those who consume during the workday b.) Those who consume outside of (standard) working hours c.) Those who don't consume. Which are you?

15

10 Comments

Wait, some operators are really cutting back? I looked into it and was surprised to see this was actually happening. I believe that when done right, marketing is one of the best investments any business can make, but I think I see the problem. Too many brands hire someone to run socials and write copy, just to end up with cookie-cutter content. Meanwhile, there are creators out there leveraging their personal brands, creating loyal followings, and disrupting entire industries. At Higher State Brands, we’re leaning into that. We’re documenting every part of our journey, from crafting the business plan all the way to our first harvests and beyond. I don’t think anyone’s done this before, but it will be real, raw, and it’s the kind of authentic connection that’s impossible to fake. We don’t need a massive marketing budget, just our phones recording our daily interactions. This is exactly what we’ve been doing every day the past few months. We finally got some help to edit those vlog style clips, so stay tuned for a YouTube channel soon!

4

2 Comments

Disagree strongly with this take. The fundamental disconnect is thinking digital marketing's only value comes from direct conversions to sales. That sounds like saying the internet had no business value because you couldn't sell through it in 90’s… My theory is that branding has and will continue to evolve alongside tech. First, companies like Apple and Google provided ecosystems (Web1; App Store/iOS and Play Store/Android) which led to the creation of billions in value and onboarded millions of users. Then, we saw the rise of platforms (Web2; Facebook, Twitter, YouTube, Instagram, Snap) built on these ecosystems. The platforms onboarded billions of users, while adding trillions in dollars in value to the ecosystems (and in Meta's case, themselves reached over $1T). Those platforms generated value through creators, on the back of digital marketing. They unknowingly, yet fundamentally, rewired how consumer trust works. These creators aren't just building audiences, rather they're architecting trust networks at scale. Mr. Beast isn't just disrupting the candy industry, and Logan Paul isn't just challenging drinks. They're showing that authentic, community driven brands can succeed even in the toughest markets. These creators aren’t just swaying consumer spending or capturing viewers attention as a “time suck.” They are bringing in massive viewership numbers and have the ability to sway action. For example, Joe Rogan pulled in over 50m views with Trump podcast. Hell, Elon's appearance on Rogan shortly after was what drove me to vote, for the first time ever…. Podcasts have been a big talk this election, and it’s because we are seeing (or finally realizing) the power they hold. Digital/social isn't just media anymore. It's not a distraction, it's the new infrastructure of influence which operates at unprecedented scale. P.S. We're documenting our journey growing Higher State Brands right now. Follow along if you want to see how we're building a cannabis brand through radical transparency. YouTube channel launching soon!

6

What's a no brainer in business? Spend $75K, make additional $6.5M in revenue. This is the difference between a 10,000 sqft cannabis #CEA cultivation growing 2.0lbs a light (57g/sqft) x 4 harvests per year and the same cannabis grow running our Grow Perfect 10 program conservatively getting 2.5lbs per light (75g/sqft) x 5 harvests per year. If you go with our facility design + SOPs we can consistently get you to 3+ lbs per light 5+ harvests per year of top shelf quality. Data doesn't lie, combine that with proven SOPs and processes and you don't lose. #cannabiscea #cannabisdesignbuild #doitforthehorticulture

10

Which of these #cannabis marketing compliance workflows look like yours? 1. Do you create content, then send it to compliance to review? 2. Or, do you loop in compliance AHEAD of time with your ideas and outlines? 3. (Or...do you not *have* a compliance team?) If you're counting on the former, you could be wasting a lot of time and energy. No one wants to waste precious time and resources, only to be told: "No, you can't publish this." And if you don't have someone in your corner who can review your content with regulations in mind... You could be facing submission rejections, or fines and penalties for marketing missteps. Last year, I spoke with Ben Allmand for my content marketing newsletter. Here's what he shared about developing a compliance review process: "I always like a regularly scheduled committee. Cadence should be determined by volume - bigger organizations should meet weekly, smaller may be able to get away with monthly. The committee serves to get and keep everyone on the same page - but it also builds continuity around the process, where everyone learns how to work together, best submission methods, and how to streamline - so you find (if done right) even more efficiency in the process. Now you have not only eliminated a lot of rework, you have also expedited your internal development calendar. Lastly, it builds institutional knowledge. Your marketing team is getting more and more experience with the compliance folks, understanding how they analyze, what they look for, what the true sensitivities are - which only makes them even better at avoiding them with first drafts later on. When first proposed, this kind of process can feel like an absolute time suck - but it isn't. Done right, it should be a huge efficiency aid." 💡 Want more cannabis content insights like these? Sign up for my newsletter here https://lnkd.in/eRRszicG

12

7 Comments

BRĒZ might be the single most intriguing startup in CPG right now. The South Florida based brand (pronounced 'breeze') makes social tonics microdosed with cannabis and mushrooms. THC, CBD, and Lion's mane are all in the mix. “Microdosed mushrooms in a can”. But the liquid is only part of the reason Brez is so fascinating. A few things that stand out: --- 1 / Extreme transparency Founder Aaron Nosbisch posts business results monthly to all social platforms. Revenue, growth metrics, conversation rates, CACs, AOVs, etc. Even net profit margin is posted publicly. Brez just completed its first full year of operations and business is booming. $5.4m in sales p12mo. Incredible. 2 / Unique business model The vast majority of Brez products are sold online. This is an anomaly in the beverage category due to the fact it's ridiculously expensive to ship water direct to consumer. Brez is well equipped to navigate this channel due to two key advantages: productive unit economics and strong performance marketing capabilities. 3 / Uncharted regulatory environment Brez is operating in a confusing legal landscape with contradictory messaging from multiple arms of the US government. The FDA actually investigated the brand earlier this year. Brez passed the compliance check with flying colors...and Aaron posted about the whole thing publicly. Phenomenal. --- I haven't tried the product yet so can't speak to it directly but have to say I LOVE what this team is doing. Few things people are thirstier for these days than transparency, and the Brez team is delivering in spades on that front. Well done Aaron Nosbisch Avin Kline Nick Shackelford #cpg #cannabis #mushrooms #brez #fda 

411

145 Comments

The Core Algorithm Updates we've seen in 2024 has me questioning whether cannabis is still considered a YMYL industry. I joined Pharmacann in April 2021, a time when a single 500-word article about THC could rank for hundreds of terms. When the June 2021 update hit, it became VERY obvious that we were being held to the same standards as others in the YMYL industry. No problem! I adjusted our content strategy accordingly, gaining SERP real estate for terms related to the Endocannabinoid System, cannabis as a treatment for fibromyalgia, etc. The March 2024 update drastically changed how Google sees the cannabis industry. We no longer have the right to win for these health- and scientific-related terms. I find myself rethinking our entire content strategy yet again. E-E-A-T will always be important in this often misunderstood industry, and I am personally and professionally committed to providing accurate and educational content. But I'm no longer sure that we are a YMYL industry. What do you think?

7

10 Comments