headset Archives - Page 2 of 2 - Green Market Report

Debra BorchardtDebra BorchardtJanuary 8, 2019
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5min4990

It’s time for your Daily Hit of cannabis financial news for January 8, 2019.

On The Site

KushCo Holdings

Cannabis packaging company KushCo Holdings, Inc. (OTCQB: KSHB) reported that revenue rose 186% in the fiscal first quarter of 2019 to $25.3 million. Revenue increased by 26.5% sequentially from $20 million in the fourth fiscal quarter of 2018.

The company said it had to weather several challenges. Cash dropped to $3 million as of November 30, 2018, versus $13.5 million as of August 31, 2018. KushCo said that rapid demand for product and timing of inventory purchases leading up to Chinese New Year resulted in a decreased cash position and overall working capital headwinds. Gross profits were equal to 12.8%, compared with 34.8% in the prior year period.

Headset

Cannabis data company Headset secured $12.1 million in funding in a Series A round of financing. The company, launched in 2015 by the trio that co-founded Leafly,  was able to raise the capital from another equally top-notch group of cannabis investors that included Poseidon Asset Management and AFI Capital Partners and Canopy Rivers Inc. (TSXV: RIV).

Headset said that the money would be used to improve current products and services; expanding the company’s offerings to additional U.S. states and international markets, and support Headset’s partnerships and strategic alliances. It will also help the company serve new customers from the consumer packaged goods, beverage/alcohol, and financial industries, who are taking an increased interest in cannabis.

In Other News

Aurora Cannabis Inc (NYSE: ACB) said it expects to report revenue between $50 million and $55 million for the fiscal second quarter ended Dec. 31. This figure is higher than the $11.7 million posted for the same period last year and the $29.7 million reported in the previous quarter. That should have been welcome news but analysts had expected $67 million and the stock tumbled.

CannTrust Holdings Inc. (TSX: TRST) applied to list its common shares on the New York Stock Exchange.

The Knesset, the legislative branch of Israel, overwhelmingly approved the medical cannabis export law in all three readings with final approval of 21-0. The next step is for Netanyahu and his cabinet to give the final approval of the bill. Last time a cannabis export law was sent to Netanyahu, it was vetoed but lawmakers are optimistic that it will pass this time

Isracann Biosciences Inc., an Israeli-based cannabis firm, announced today it has completed a letter of intent for up to $15 million in funding to break ground on outdoor greenhouses for cannabis cultivation as the company plans to become the world’s foremost cannabis producer specializing in low-cost, superior quality cannabis.

HARDCAR Distribution announced today that it has secured the ability to do $1 billion in escrow.

Univo, the public company controlling the full medical cannabis supply chain, signed a partnership with a cannabis farm in Israel that will enable Univo to deliver 3 tons of cannabis a year for at least 3 years. Over the course of three years, this deal will be worth around $12.5 million.HARDCAR Distribution announced today that it has secured the ability to do $1 billion in escrow. The company has been working diligently to support the cannabis industry over the past 3 years, searching for ways to help their clients in any way possible.


Debra BorchardtDebra BorchardtJanuary 8, 2019
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4min8720

Cannabis data company Headset secured $12.1 million in funding in a Series A round of financing. The company, launched in 2015 by the trio that co-founded Leafly,  was able to raise the capital from another equally top-notch group of cannabis investors that included Poseidon Asset Management and AFI Capital Partners and Canopy Rivers Inc. (TSXV: RIV).

“Each one of our investors brings invaluable industry knowledge and a strong network of portfolio companies that enable us to collaborate in all new ways,” said Cy Scott, CEO, and Co-founder of Headset. “The new capital will fuel future growth, new market expansion, and enhanced product development, continuing to ensure our leadership position within the cannabis industry.”

Headset said that the money would be used to improve current products and services; expanding the company’s offerings to additional U.S. states and international markets, and support Headset’s partnerships and strategic alliances. It will also help the company serve new customers from the consumer packaged goods, beverage/alcohol, and financial industries, who are taking an increased interest in cannabis.

As a result of the investment, Emily Paxhia of Poseidon and Nico Richardson of AFI will be joining Headset’s board of directors. “As investors, we see the need for data to inform investment and M&A strategies,” said Emily Paxhia, Managing Director of Poseidon. “Headset is already tracking billions of dollars of transactions both in the US and Canada. This successful Series A raise will drive market penetration and depth of technological development.”

Headset is one of the few companies in the cannabis industry that can turn retail sales data into real-time market insights, and helping illuminate emerging trends in this fast rapidly developing industry. For example, producers can quickly learn which specific products are the top-selling ones in a market. The brands can then either brag about their leadership in sales or if they aren’t leaders, take notes from the companies that are.

The data from Headset has shown that in different locations cannabis consumers tend to have different preferences. Mr. Moxie’s Mints may be big sellers in Seattle, while Wana Brands Gummies might be the edible of choice in Colorado.

Narbe Alexandrian, VP Business Development of Canopy Rivers, concurred: “We believe that Headset’s retail intelligence platform will revolutionize the way data is used in the cannabis industry. As the cannabis market matures, data is becoming central to competitive success. It is increasingly important to understand key trends, competition, buying shifts and target demographics in real-time.”

Nico Richardson, Managing Director of AFI, noted that data is key to success in any industry, and praised Headset for delivering the most dynamic and comprehensive analytics to the cannabis industry. “We are excited to invest in a team that has built the industry’s leading data analytics and business insights platform. We look forward to supporting Headset as they expand into new markets with evolving products.”


Debra BorchardtDebra BorchardtDecember 20, 2018
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9min10000

Cannabis consumers are continuing to benefit from the focus being paid to making purchasing decisions easier. The latest improvement in the consumption process is a new multi-platform create by three of the biggest players in the cannabis consumer tool space.

Cannabiz Network, owned by CBZ Technologies has signed a collaboration agreement with Headset and SpringBig. Each of these companies is bringing their own unique expertise and combining them into one powerful platform that will benefit not only the medical customer but also the adult use consumer.

Cannabiz will be changing the way cannabis customers search, find and buy products by providing state-by-state curated e-commerce menus. Headset brings its dispensary transactional data, while Cannabiz curates daily, location-specific menus of top selling products and prices for consumers. This menu allows buyers to make a purchase for in-store pickup or delivery.

“By utilizing Headset’s real-time market data Cannabiz Network has taken online menu services a step further by introducing the “9×9″ menu which shows over 240 unique product selections daily from numerous dispensaries in their home state.” says Don Reynolds, Director at Headset. “Using our real time cannabis market data, consumers can make informed decisions on selection, pricing and delivery options from the menus offered by participating dispensaries using the technology provided by Cannabiz.”

Then, with SpringBig’s loyalty program that has three million users, customers can receive two points for every dollar spent. These points can then be redeemed for products from Cannabiz and all of its participating retailers.

“By creating this platform, Cannabiz has taken the guesswork out for the consumer. They are able to highlight top-selling and trending products in the area, show where to buy and confirm the price they should pay. This is all while earning the consumer double reward points for shopping through Cannabiz and their favorite dispensaries.” comments SpringBig’s CEO, Jeff Harris.

“Our vision has always been to create a superior e-commerce platform in the Cannabis market. We wanted a more timely and relevant experience for our consumers,” states CEO of CBZ Technologies, Michael Pasanello. “Now, with the support of SpringBig and Headset, not only are we able to bring timely and curated offers directly to our buyers, but we are able to reward them as well!”

The collaboration will be launching in early 2019 starting with (Nevada) NVcanna.biz, (Colorado) COcanna.biz, (Washington) WAcanna.biz, and (California) CAcanna.biz.


StaffStaffDecember 20, 2018
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5min5330

Cannabiz Network releases a B2C commerce platform powered by Headset’s Real time cannabis market data and SpringBig’s loyalty software

ASBURY PARK, NJ (December 20, 2018) /AxisWire/— Cannabiz Network, owned by CBZ Technologies, today announced their multi-platform collaboration agreement with Headset and SpringBig. This trio of Cannabis industry leaders create a powerful value proposition of targeted, localized consumer tools and reward options for medical and recreational dispensaries by state.

Cannabiz is changing the way consumers search, find and buy Cannabis products by providing state-by-state curated e-commerce menus. Using dispensary transactional data provided by Headset, Cannabiz curates daily, location-specific menus of top selling products and prices for consumers. This menu allows buyers to make a purchase for in-store pickup or delivery.

“By utilizing Headset’s real time market data Cannabiz Network has taken online menu services a step further by introducing the “9×9″ menu which shows over 240 unique product selections daily from numerous dispensaries in their home state.” says Don Reynolds, Director at Headset. “Using our real time cannabis market data, consumers can make informed decisions on selection, pricing and delivery options from the menus offered by participating dispensaries using the technology provided by Cannabiz.”

Through SpringBig’s loyalty solution platform, their 3 Million + users can receive two points for every dollar spent. These points can then be redeemed for products from Cannabiz and all of its participating retailers.

“By creating this platform, Cannabiz has taken the guesswork out for the consumer. They are able to highlight top-selling and trending products in the area, show where to buy and confirm the price they should pay. This is all while earning the consumer double reward points for shopping through Cannabiz and their favorite dispensaries.” comments SpringBig’s CEO, Jeff Harris.

“Our vision has always been to create a superior e-commerce platform in the Cannabis market. We wanted a more timely and relevant experience for our consumers,” states CEO of CBZ Technologies, Michael Pasanello. “Now, with the support of SpringBig and Headset, not only are we able to bring timely and curated offers directly to our buyers, but we are able to reward them as well!”

The collaboration will be launching in early 2019 starting with (Nevada) NVcanna.biz, (Colorado) COcanna.biz, (Washington) WAcanna.biz, and (California) CAcanna.biz.

About Cannabiz Network

Founded in 2013, CBZ Technologies is an intellectual property company that strives to provide transparency and efficiency in the purchase, pickup and delivery of curated Cannabis products between the dispensary and consumer. This is accomplished through proven, scalable end to-end dispensary software solutions. To date CBZ own 227 domains and owns all rights to Canna.biz® Canna.biz Network® and CBZ™.

About Headset

Headset is a data and analytics service provider for the Cannabis industry, with a mission to help operators make more informed business decisions through data. Headset focuses on consumer transaction information to help cannabis retailers better optimize operations while leveraging aggregate and retailer-direct sales data to provide product manufacturers, processors and distributors the tools to identify trends and opportunities, stay competitive, and collaborate with retail customers.

About SpringBig

Founded in 2012, SpringBig is the leading provider in customer loyalty and marketing communications solutions for Cannabis retailers. With customers across the United States, SpringBig is helping dispensaries keep their customers connected and engaged while allowing them to track their inevitable success and ROI in real time.[/vc_column_text][/vc_column][/vc_row]


Jack SmithJack SmithJuly 10, 2018
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4min41872

Vape pens, a discreet way to let people consume and smoke cannabis, continues to see strong growth in Washington, Colorado, and Oregon, new research shows.

Investment firm Cowen, combined with Headset, which is described as a “leading data provider in the U.S. cannabis industry,” shows that vaping has continued to gain in popularity, outpacing other forms of cannabis consumption.

“Across these three states, vapor is showing notable growth from a category share perspective (averaging 14.7% share),” Cowen analyst Vivien Azer wrote in the investment note. “The growing popularity of vapor looks to be fairly consistent across all three of these geographies, which is similar to the trends that we are seeing for nicotine consumption (where consumers, and in particular younger consumers, are increasingly moving away from combustion).”

Azer added that in markets like Colorado and Washington, vapor share is now at between 13 and 15 percent, up from January 2017. In Nevada, it’s even higher at 18.7 percent, compared to an initial reading of 15.7 percent.

“The distinct trends noted in today’s report around pricing, disruptive form factors and shifting consumer preferences are squarely based on sales data drawn from states representing nearly one-quarter of the total U.S. population residing in jurisdictions that have legalized cannabis for adult-use,” Azer said in a statement, discussing her research.

The findings are significant, as these three states generated more than $2 billion in sales, with Colorado the biggest market at $1.1 billion in 2017. Washington generated approximately $928 million in cannabis sales, while Nevada saw $198 million in sales in the first six months the data was available.

In addition to being popular with consumers, value-added products, which may include vapor pens, as well as other products such as edibles and topicals, could see pricing power, Azer wrote in the note.

“In particular, we see healthier pricing trends for tinctures & sublingual products, topicals and edibles,” Azer wrote. “We believe this better pricing could reflect the appeal that these products have among less sophisticated cannabis consumers.”

Conversely, products that are combustible, have seen a decline in popularity in the aforementioned states. Flower now has a 52.1 percent market share and pre-rolls account for 7.7 percent as of May 2018, but they are ceding market share fast.

“Over time, we would expect to see consumers continue to move away from whole flower purchases as innovative products offer more consumer control and convenience,” Azer wrote in the note.

Azer estimates the U.S. cannabis industry could reach $75 billion in sales by 2030.

 


StaffStaffOctober 10, 2017
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3min15430

Millennials are dominating the cannabis market in Washington state. A new report from Headset Cannabis Intelligence found that half of all the marijuana purchases were from people under the age of 35. In 2016, they accounted for 49% of the market and so far in 2017, the number has shifted upwards to 51% of the market.

Generation Xer’s between the age of 35 and 53 were responsible for 35% of cannabis sales for 2017 and the baby boomers who covered the 54-75 age group only managed 15% of sales.

The millennials may be the biggest group coming through the dispensary doors, but they don’t spend that much. The average item price for millennials was $13.87, Gen Xer’s spent  $15.33 and Baby Boomers spent $17.16. The old hippies aged 75 and older are spending $21.09 on average for an item.

The Headset report said, “This data also offers some interesting insight about price sensitivity, showing that Millennials are, as might be expected, more attracted to items with a low overall cost. It might make more sense to buy an entire ounce if you break down the cost per gram, but if you’re just finding your feet in the workforce, that $6 pre-roll special might be a godsend.”

When it comes to product preference, flower is still the big winner. 58% of the millennials buy flower, followed by 17% spent on concentrates and 13% spent on pre-rolls. Gen X is even higher with 63% spent on flower and baby boomers spending o whopping 67% on flower. While all generations seem to agree they like flower, they also seem to agree on the type of flower. Hybrid strains are the predominant choice with over 60% of the money spent on flower going towards hybrid strains. 19% is spent on Indica strains, while 17-19% is spent on Sativa’s.

In the Washington market, there are clear winners for flower favorites. Phat Panda is number one across the three main demographics, while Northwest Cannabis Solutions comes in strong at number two. The remaining top five included the following brands: Artizen Cannabis, Golden Tree Productions, Clandestine Gardens and Fireline Cannabis.

One statistic that is sure to bother dispensary owners and producers is that the average basket size has declined across the board. Gen Xer’s and Baby Boomers experienced a 25% decline in their purchases, while Millennial basket size fell by 18%.



About Us

The Green Market Report focuses on the financial news of the rapidly growing cannabis industry. Our target approach filters out the daily noise and does a deep dive into the financial, business and economic side of the cannabis industry. Our team is cultivating the industry’s critical news into one source and providing open source insights and data analysis


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