LeafLink Archives - Green Market Report

Debra BorchardtSeptember 8, 2021
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Cannabis consumers flocked to dispensaries on the Friday of this past Labor Day weekend resulting in the third-largest day for cannabis sales in 2021. Unfortunately, that was the only good news for cannabis retail. Overall, sales dropped in 2021 versus 2020 for the last weekend of summer. Analytics firms Headset and Flowhub both reported that sales dropped for the regions they cover. While  LeafLink the B2B wholesale e-commerce marketplace company saw an early jump in orders for the holiday, orders seemed to taper off as the weekend got closer.

Headset

According to cannabis data and analytics company Headset, Labor Day weekend (Friday 9/3 through Monday 9/6) actually saw a slight decrease (-3.2%) in average daily sales in comparison to the previous four weekends. On a positive note, though on Friday 9/3/21 alone, we see a different story. Sales on September 3rd, 2021 were up 10.3% over the previous four Fridays and drove this day to be the third-largest day of total US cannabis sales so far this year. All data for the US is from the following markets: CA, CO, MI, NV, OR, PA, WA.

Beverages For The Win

Headset said that for the full holiday weekend, the only categories to see sales growth over the previous four weekends were Beverages (+8.4%) and Edibles (+4.2%). “When we look at only Friday, September 3rd instead, all categories saw positive growth with Edibles (+15.1%), Capsules (+13.3%), and Vapor Pens (+11.2%). The category with the lowest sales lift was Concentrate with +2.8% growth over the previous four Fridays.”

Coupon Clippers

Dispensaries must’ve had an inkling that sales might be down because there was a slight increase in discounting over the entire holiday weekend. Headset said that the average discount over Labor Day Weekend 2021 was 13.7%, up from 12.3% over the previous four weekends – a relative increase of 11.8%. While Friday, September 3rd was the highest sales day of the weekend, Labor Day itself (Monday 9/6) had the highest average discounts of 15.1%, up 27% over the previous four Mondays. 

LeafLink 

On the wholesale side of the business, it seems dispensaries were planning ahead for a busy holiday. LeafLink said that sales increased 4.33% during the month leading up to the 2021 Labor Day holiday versus a 2.39% increase across the same period in 2020. Leaflink also said that the most significant GMV (gross merchandise value) percentage increase came during the week of 8/15, increasing 4.5% over the previous. Sales then leveled off for the rest of the weeks leading up to Labor Day.

Leaflink outlined the category demand as follows for the holiday:

  • Flower remained the most popular category in the month leading up to Labor Day, driving 36.33% of GMV compared to 35% of GMV in the month prior to Labor Day 2020 and 35.37% in the previous month. 
  • The second most popular product category leading up to Labor Day 2021 was Cartridges, which made up 22.29% of GMV (about a 1% increase over the previous month). This is a slight drop over 2020 when Cartridges made up 24% of GMV in the month before Labor Day. 
  • Flower saw significant growth during the week of 8/15, increasing 23% in GMV compared to the week before then grew another 9.9% in the following week. This could signify an increase in dispensaries stocking up on Flower in advance of Labor Day 2021. 
  • Packaged Flower was the most popular subcategory, making up 17.47% of total GMV in the month before Labor Day, with Bulk Flower coming in second at 16.29%

The most popular products in the month leading up to Labor Day in 2021 were: Slurricane Packaged Flower – MUV (FL) 

Gelato Cake Packaged Flower – District Cannabis (MD) 

Wedding Cake Packaged Flower – Pacific Stone (CA) 

Blueberry Indica Gummies – MUV (FL) 

Moon Rocks Concentrates – UBaked (MI) 

The most popular Cartridges in the month leading up to Labor Day 2021 were: Biscotti – Platinum Vape (MI) 

Sour Jack – MUV (FL) 

Double Bear Honey Cart – Terrapin (PA) 

Pink Lemonade – MUV (FL) 

Pie Driver – Platinum Vape (MI) 

Flowhub 

Flowhub provides point-of-sale, inventory, and other dispensary analytics. That company found that on average, Labor Day normally outperforms the typical Monday by 17-27%. Unfortunately, Flowhub’s data agreed with Headset as this year’s Labor Day 2021 was right on par with (actually slightly less than) a typical Monday. Flowhub said that there didn’t appear to be any holiday bumps in sales or transactions for Labor Day Monday and sales dropped by 9% versus the 2020 holiday.

Maybe the pandemic lockdowns of 2020 caused consumers to buy more last year? Labor Day’s Monday 2020 sales increased around 10% versus 2019. Just one year later as more people were able to get out and return to a less restrictive lifestyle, Labor Day weekend sales dropped 35% compared to 2020. On average, Labor Day weekend outperforms the typical (median) weekend by 15-21%. Flowhub said that Labor Day weekend 2021 sales were 27% less than sales on a typical summer weekend.


Julie AitchesonSeptember 3, 2021
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It’s that time of the month again when cannabis industry wholesale marketplace LeafLink releases LeafLink Insights Flash—a roundup of data-driven insights regarding category sales, state-by-state performance, and pricing analysis designed to help businesses identify new opportunities and accelerate growth. Every month brings its own set of highlights that point to important trends, market shifts, and recommendations for what it all means for businesses. This time it could be that the category winner flower is losing its market share power.

The August 2021 Insights Flash yielded some key takeaways, including the fact that the wholesale cannabis industry grew by 43% in July 2021 YoY (Year over Year), with top-performing brands like Item 9 Labs, Jeeter, Spectra, Platinum Vape, CannaPunch, and LTRMN leading the charge. Average sales per seller grew 1% year over year, with the average spend per buyer increasing 6%. But all was not rosy for cannabis’s most popular consumable. Flower took a hit this summer, seeing the largest drop in platform market share from June 2021 to July 2021. Despite a 6% dip in sales and a .74% drop in market share, flower held its dominant position for the month of July with 36% of GMV. Pre-rolls saw the largest increase during July, gaining .84 percentage points month over month and making it the first time the category led in share growth since 2020.

Within the US, Nevada gained the top spot as the fastest-growing state in Gross Merchandise Value (i.e., the volume of goods sold via customer-to-customer or e-commerce platforms), with a 25% increase in GMV compared to the same period a year ago. LeafLink gathers market-specific information and conducts comparative analyses for key states each month, with Alaska, Oregon, California, Arizona, Colorado, and Michigan joining Nevada for inclusion in the data collection. This analysis showed, among other things, that although Nevada retailers in the 2nd quintile spent 27% more than those in the same quintile in Alaska, the difference in the order of frequency ends up making this group of retailers worth 171% more on a monthly basis in Alaska.

LeafLink’s Insight Flash also charts consumer trends to create a visual representation of the competitiveness of seven categories of cannabis products (flower, cartridges, pre-rolls, topicals, accessories, concentrates, and edibles/ingestibles). This information, which this month demonstrated that (for the first time) a single state (Nevada) had both the most and least competitive categories. Ingestibles in Nevada made up 14% of sales while being sold by 54% of brands in the state. Flower made up 36% of sales while being sold by 26% of brands. This type of data helps industry professionals to position themselves to capitalize on where the market is headed based on current trends, as well as painting an overall picture of the cannabis industry’s current overall trajectory.


StaffAugust 17, 2021
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As the cannabis industry continues to demand respect from the rest of the corporate world, Inc. Magazine has stepped forward to acknowledge growing companies. Inc. just published its list of 5,000 of the fastest-growing private companies in the U.S.

Mattio Communications

MATTIO Communications, one of the longest-running and largest cannabis marketing services firms, ranked No. 190 on its annual Inc. 5000 list, the most prestigious ranking of the nation’s fastest-growing private companies. The company has grown 2,244% helping it to rank so highly. Mattio Communications said it will be featured in the September issue of Inc. when it hits newsstands on August 20th.

“Since MATTIO started, we have grown our client base to over 50 companies in every vertical across the cannabis industry across the U.S. and Canada,” said Rosie Mattio, Founder and CEO of MATTIO Communications. “Our team is especially proud to be recognized as one of the only PR firms ever featured on the Inc. 5000 list, and our tremendous growth over the past three years reflects the abundance of opportunities available in the nascent cannabis industry.”

Mattio Communications is an industry-leading strategic marketing firm focused on cannabis, lifestyle and emerging markets. The company’s roster of clients is a who’s who in the cannabis industry. MATTIO provides end-to-end marketing services, including media and investor relations, crisis communication, content creation, social media, SEO and experiential marketing. We have firms in New YorkLos Angeles and Toronto.

“The 2021 Inc. 5000 list feels like one of the most important rosters of companies ever compiled,” says Scott Omelianuk, editor-in-chief of Inc. “Building one of the fastest-growing companies in America in any year is a remarkable achievement. Building one in the crisis we’ve lived through is just plain amazing. This kind of accomplishment comes with hard work, smart pivots, great leadership, and the help of a whole lot of people.”

LeafLink

In addition to Mattio making the list, cannabis online marketplace LeafLink also clocked in at number 204 after growing 2,144%. LeafLink. LeafLink is currently logging $3 Billion of annualized Gross Merchandise Value (GMV).  LeafLink’s marketplace makes up an estimated 32% of U.S. wholesale cannabis commerce. Currently, LeafLink serves 27 markets across the U.S. and Canada with offices in New York City, Los Angeles, and Toronto. In December, LeafLink closed on a $40 million Series C investment round, led by Founders Fund. Additional participants include Thrive Capital, Nosara Capital, and Lerer Hippeau. This company said that this latest round of investment brings its venture funding to over $90 million and marks Founders Fund’s largest technology investment in the cannabis space.


StaffDecember 10, 2020
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 Cannabis wholesale marketplace operator LeafLink has closed on a $40 million Series C investment round, led by Founders Fund. Additional participants include Thrive Capital, Nosara Capital, and Lerer Hippeau. This company said that this latest round of investment brings its venture funding to over $90 million and marks Founders Fund’s largest technology investment in the cannabis space.

The proceeds will be used to expand in current markets by bringing on new brands and retailers, as well as capitalizing on new markets that legalized cannabis following the 2020 election. LeafLink said it will also continue to expand its offerings around payments, delivery, and data & analytics.

“This fundraising round is monumental for a technology company like LeafLink as we continue to define a space that shows no signs of slowing down,” said Ryan G. Smith, Co-founder and CEO of LeafLink. “We’re honored to partner with Founders Fund as we scale our marketplace technology across the growing cannabis industry. Our eyes are set on bringing efficiency and innovation to the supply chain and we’re excited for cannabis to serve as a model for more legacy industries in the future.”  

With the latest round of funding, LeafLink said it will continue to accelerate growth beyond its current $3 Billion of annualized Gross Merchandise Value (GMV).  LeafLink’s marketplace makes up an estimated 32% of U.S. wholesale cannabis commerce. Currently, LeafLink serves 27 markets across the U.S. and Canada with offices in New York City, Los Angeles, and Toronto.

“We invested in LeafLink because the team is merging best practices from e-commerce marketplaces with B2B technology to streamline an entire industry’s supply chain and operations,” said Napoleon Ta, Partner at Founders Fund. “We’re excited to make our largest investment in the cannabis space to date in LeafLink.”

LeafLink’s fundraising is notable since it is a private company. According to Viridian Capital Advisors, most of the cannabis capital that has been raised in 2020 has come from publicly traded companies. Of the 280 deals happening so far in 2020, only 49 have been private company raises, while the other 231 have come from public companies.

 


StaffNovember 25, 2020
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Predictions for 2020
Headset

Headset forecasts an even larger than usual uptick in recreational cannabis sales on Green Wednesday this year for several reasons:

–  In all adult use cannabis states tracked by Headset, the total market has grown by at least 20% in total revenue over last year (when comparing October 2019 to October 2020).

– During the COVID-19 pandemic we have seen significant changes in consumer behavior. In March and April 2020, when many states were enforcing stay-at-home orders, the cannabis market saw a decrease in total transaction volume, but a significant increase in average basket size. This makes sense because customers were likely trying to minimize their trips to the dispensary, so they bought more per trip.Through the summer and into Autumn, average baskets have stayed significantly higher than they were pre-COVID, but transaction volume has crept back up to nearly the same level it was at in February. These two trends combined indicate a ‘new normal’ in the cannabis industry driving the highest monthly revenue totals since the beginning of the legal sales.
– Additionally, with many states reinstating COVID-19 lockdown measures, and advising against travel and social get togethers, Thanksgiving 2020 will be unlike any in living memory. With millions of Americans being asked to stay at home for the holiday, frankly, what else is there to do?
– Edibles have performed well throughout the COVID-19 pandemic. That along with their usual strong sales lifts during the holiday season leads us to predict Edibles and Beverages to again be the categories with the biggest sales lifts on Green Wednesday this year. Both product formats are conducive to indoor consumption (for those that don’t want to smoke or vape in their homes), and THC infused Beverages are often associated with celebration, as they are increasingly seen as a substitute for alcoholic beverages.
Akerna

“On average, Thanksgiving tends to be one of the Top 5 sales holidays of the year, and we expect that trend to continue this year,” said James Ahrendt, Business Intelligence Architect, Akerna (NASDAQ: KERN). “In the past, we’ve seen huge spikes in sales on Wednesday and Friday since most dispensaries are closed on Thursdays.”

Akerna anticipates that the average order total will be around $82.30 for adult-use customers and $128.46 for medical consumers, representing an increase of approximately $13 compared to the average order total on any other given day of the year.

Additional Thanksgiving Holiday Predictions:

Sales by product type:

  • Flower – 42%

  • Cartridge/Pens – 37%

  • Concentrates – 11%

  • Infused Edibles – 8%

  • Other – 2%

Sales by Gender

  • Male – 64%

  • Female – 36%

Sales by age group:

  • Under 30 – 28%

  • 30-40 –30%

  • 40-50 – 19%

  • 50-60 –12%

  • Over 60 – 11%

LeafLink
The cannabis industry, as measured by cumulative wholesale transaction volume growth through the LeafLink marketplace, increased by 40% between the start of the pandemic in March and October 2020. Overall, cumulative wholesale transaction volume is up 60% through the end of October compared to the start of the year, and we expect the growth trend to remain healthy through the end of the year. – Alex Feldman, General Manager of LeafLink Insights

Julie AitchesonNovember 18, 2020
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Though April 20th takes the top prize in cannabis sales year after year, Green Wednesday (Black Friday’s cannabis counterpart) has come in a strong second place since its inception in 2016, and 2020 looks to be no different. As a result of clever moves by retailers to offset pandemic-related impacts on buying behavior, starting deals and discounts earlier in the season than ever before, and tailoring the shopping experience to customer health and safety concerns, Green Wednesday sales for 2020 are poised to hit an all-time high. 

A November 16th press release from the National Retailers Federation and Prosper Insights and Analytics cited the results of an annual survey which showed that shoppers are getting an earlier start on purchasing for the upcoming holidays. According to the survey, 59 percent of holiday shoppers had already started making purchases as of early November– a 21 percent increase over figures from ten years ago. Despite the Covid crisis, consumers seem to feel confident in the efforts retailers are making to keep them Covid-free, with 70 percent saying they feel safe shopping in stores. One such safety measure includes stocking shelves with gift items earlier in the season and offering special deals to avoid overcrowding as the season progresses.

Deliveries Increase

Eaze, a cannabis delivery platform in California, posted new data showing that Green Wednesday 2019 saw a 90 percent increase in deliveries over a typical Wednesday and a 147% increase in deliveries over the previous year. Cannabis data and analytics provider Headset posted a comparison of Green Wednesday and Black Friday sales from 2019 on its blog, which showed record Green Wednesday sales, although savings lagged behind Black Friday bargains. The study attributes this to bigger discounts and lower average item prices on Black Friday.

Retailers hit hard and early with special deals and holiday gift packages to tempt those seeking to spread some cheer this holiday season and they’re not letting up as the week of Thanksgiving approaches. Beyond the standard pre-rolls, tinctures, and vape paraphernalia, companies like Her Highness, a lifestyle brand based in New York City, offer 25% off gift items like the Grindzilla Cannabis Grinder and the Lip Service Ashtray (shaped like, you guessed it, lips) while Indiana brand Cannabolish is promoting its products with a 30 percent Green Wednesday deal featuring its popular Odor Removing sprays and gels and candles to make sure cinnamon and pine are the only top notes in your holiday home. 

Caliva is also offering a variety of deals on products that will help you survive the season – whether that be teaching grandma how to get on zoom (again) or kickstarting your metabolism for the big Thanksgiving feast. On Green Wednesday (11/25) Caliva is offering up to 40% off select top brands: Caliva, DELI Nickels, Plus Gummies, KIVA, and more! On Black Friday the company said customers will receive an extra deal when they pay through Hypur, the first digital payment solution for cannabis transactions. The promotion will be available through Caliva delivery online and all Caliva / DELI retail stores.

Top Selling Products

Chart provided by Headset

According to LeafLink, a B2B e-commerce wholesale marketplace that connects retailers and brands, in 2019, sales through LeafLink increased by 5.45% during the two weeks leading up to Green Wednesday and the Thanksgiving holiday weekend. What products were the most popular as retailers stocked up for the holiday weekend? Flower was the most popular product category at the time, making up 31.2% of the market share in the week leading up to Thanksgiving. However, Disposable Cartridges and Pre-Rolls experienced the biggest sales lifts, seeing a 29% increase and a 44% increase, respectively.

Here are the top 5 selling Pre-Rolls of 2020, according to LeafLink List:

  • Caviar Joint from Kaviar (CO)
  • Mini Fuzzies from Sublime, CA
  • Wedding Cake Pre-Rolls from Pacific Stone, CA
  • Relax & Chill Pre-Rolls from Exotic Blendz, OR
  • Bubble Joints from the Flower COllective, CO

So whether you go for some fancy swag, all-natural home care products, or perhaps a cozy fireside read like Bong Appetit (a weed cookbook from the editors of Munchies), there are ample ways to cross some friends and family off of your shopping list this year. If consumer behavior and favorable legislation continue on their current trajectory and retailers keep ably adapting to these uncertain times, Green Wednesday could give Black Friday and Cyber Monday some serious competition when the sales numbers come through for 2020.


Debra BorchardtJuly 31, 2020
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Oklahoma has essentially been shunned by the largest multi-state operators (MSO’s) in the country. Most legal states tend to have a handful of MSO’s who plant their flags and make a big showing. Cresco Labs in Illinois or Trulieve in Florida and great examples of this. However, Oklahoma is a massively fractured market when it comes to ownership and the jury is out on whether it’s a good idea or not.

Oklahoma’s Market Size

Medical marijuana was legalized in Oklahoma through a ballot referendum in 2018. The state looked like it was on track to move forward for full legalization, but that has been delayed by the pandemic. The state has been on a licensing frenzy with over 7,000 businesses approved. 

Oklahoma is now forecast to make it to the top ten list of states for per capita spending on cannabis. The per capita spending as per a recent ArcView/BDSA report showed Oklahoma at $90.40 in 2019 spending and that is projected to grow to $226.40 by 2025. 

The state recorded $365 million in sales in 2019, the first full year, and that number is estimated to grow to $950 million by 2025. That will be even bigger than Pennsylvania’s estimated $770 million in 2025. The legit market took 30% away from the illicit market almost immediately. 

These numbers would seem to be enough to entice a big MSO to head to the Sooner State, but that hasn’t happened. According to Cannabiz Media, 6,088 license holders only have one license, while 619 held multiple licenses. There are none of the familiar names in the top 25 license holders list. 

Everyone Gets A License

One of the biggest differences for Oklahoma’s program is the liberal approach to licensing and the low 4% tax rate. Unlike the millions of dollars that it costs in most states to procure a cannabis license. it only costs $2500 to get a license in this state. A refreshing difference, but as one unnamed cultivation vendor put it, “I expect to see my products for sale in two years on CraigsList or eBay.” 

The state has registered 5.8% of the population for medical marijuana patient cards. That is expected to grow to 10% in 2025. By comparison, Nevada only registered 1.2% and Oregon was at 2.5% in 2014 at its peak. With no qualifying conditions, doctors are free to recommend medical marijuana for any reason they deem fit. Like other states, many of these patients are actually recreational users and if full legalization happens, they are likely to drop their medical cards.

Producers Paradise

The numerous dispensaries though are great for brands. Oklahoma is home to the second most dispensaries per capita, which equals 15.6 dispensaries per 100,000 residents. A new report from Verilife wrote, “It’s interesting to note that while Oklahoma has the most marijuana dispensaries per capita, it has generated the least amount of tax revenue from cannabis out of all the states where marijuana is legal. The state is home to nearly 600 dispensaries but generated only $70,000 from marijuana in 2018.”

According to LeafLink, Smokiez Edibles is the number one brand in the state. The brand also sells its products in California, Washington, and Oregon and comes from a California-based privately-held company called LoudPack Inc. This quiet brand has been amassing numerous awards for its quality and quickly looked to the state as a place to dominate. 

Top Oklahoma Brands on LeafLink in 2020 – 7/29/20

  • Smokiez Edibles
  • US Cannabis Pharma
  • Pharmicated
  • Cartel Oil Co
  • Sublime Brands OK

Top Oklahoma Products on LeafLink in 2020

  • Maui Waui Outdoor Flower from Argent Cannabis
  • KIMBO KUSH from Happy Hour Medicinals
  • Sublime 100mg Caramel Chew from Sublime Brands OK
  • Multi-Piece Watermelon 250mg Sweet Fruit Chews from Smokiez Edibles
  • 500mg GANJA GUMMIES from CANNA BASICS

Colorado-based edible brand 1906 said it was choosing to enter into the Oklahoma market in lieu of California and Oregon, due to the state’s burgeoning cannabis scene within its major cities such as Tulsa, Oklahoma City, and Norman. The brand is aiming to become not only the largest edibles company in Oklahoma but west of the Rocky Mountains. The promise Oklahoma holds is the brand’s first foray into becoming the market leader in the emerging region.

1906 CEO Peter Barsoom said, “Oklahoma is the most “free market” of medical and adult use markets with low barriers to entry for patients and business owners. As a result, you have a vibrant market with one of the highest per capita patient counts, competitive prices, and high accessibility (lots of dispensaries). Which had translated into one of the largest medical marijuana markets.”

He added, “The financial success of MSOs is dependent on regulatory arbitrage. Keeping competition out, prices high, and vertical integration requirements. So if those are the requisites of success for an MSO, Oklahoma is not an attractive market. The business model of most MSOs is dependent on a supply-constrained large arbitrage between the cost to cultivate cannabis and the cost the consumer/patient pays.” 


StaffJuly 22, 2020
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Cannabis wholesale marketplace, LeafLink announced that its cannabis supply chain financing arm LeafLink Financial has closed a $250 million senior secured credit facility with a private commercial lender. The company said that the capital will be used to provide liquidity directly to licensed businesses. 

“We are excited to announce this milestone – it’s a huge leap forward for the cannabis industry, and marks a major advancement in the way LeafLink is able to serve and support our community,” said Doug Gordon, EVP and Head of LeafLink Financial. “As the cannabis industry’s wholesale marketplace, we are in the ideal position to support our customers with the liquidity they need to efficiently run their businesses, and closing this facility allows us to accomplish just that.”

The cannabis industry has always struggled with access to capital due to the legal nature of the product. LeafLink Financial said it is able to offer an on-demand liquidity option for the $2.8 billion in orders placed annually on LeafLink’s wholesale marketplace, which represents an estimated 30% of all US wholesale cannabis. 

LeafLink Financial is LeafLink’s proprietary digital supply chain financing product. Customers that assign invoices to LeafLink Financial, brands and distributors can rely on upfront payments, broadly extend net terms to their retail customers, receive payment via ACH, and digitally reconcile invoices. The company said that retailers benefit from access to the flexibility of net terms, centralized accounts payable, and cash flow management tools. 

 


Anne-Marie FischerOctober 2, 2019
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As the platform that processes 21% of all wholesale orders of cannabis products in the U.S., LeafLink had gotten a birds-eye view of the preferences and spending habits of cannabis retailers, allowing them to compile insightful data into one source. 

The United States of Cannabis is a new data source developed by LeafLink, which is the largest online marketplace for wholesale cannabis in the country. Using the information about the wholesale orders placed by 3,800+ retailers in 12 states, The United States of Cannabis presents comprehensive information about who’s buying what in the legal cannabis states. 

Suzannah Rubinstein, Director of Marketing for LeafLink calls their concept and platform “the industry standard of connecting wholesale orders”, where the platform serves as a connection between retailers and manufacturers for regulated cannabis products. “We process $1.4 billion in orders placed annually through the marketplace,” states Rubinstein.

This intel, achieved through tracking wholesale orders state-by-state, has allowed LeafLink to gain insights about who’s buying what, and why, in 12 legal cannabis states, as presented in the interactive cannabis map entitled The United States of Cannabis.

Most Favorite Products

Here are some of the best selling products according to the platform with some surprises:

  • California – Dosist Bliss Vape Pen
  • Colorado – Wana Sour Gummies
  • Washington – Happy Apple Beverage
  • Oregon – Winberry Farms – Tropical Trainwreck cartridge
  • Nevada – District Edibles – Tropical Punch
  • Michigan – Platinum Vape – Alien OG
  • Pennsylvania – Vireo Health – Red Cartridge
  • Arizona – Timeless Vapes – Lemon Faderade
  • Alaska – Red Run Cannabis Company – Hashade

Here are some overall insights that The United States of Cannabis reveals:

  • There are 18 product types on the LeafLink marketplace, but three main categories account for 67% of total sales in the country: Flower, Cartridges, and Edibles, yet these product categories differ distinctly state-by-state;
  • Every market that was tracked by LeafLink has a distinct cannabis identity, that can be viewed state-by-state;
  • In newly legalized cannabis states, there is less product and brand diversity; newer states’ packaging and marketing are more “medical” in look and feel, while states with a long-established legal market are more diverse in products available, and in branding.

“Our data shows that in states with more maturity, there is greater product diversification,” says Rubinstein, “Where there’s product diversification, it means that people are experimenting with different methods of consumption.”

The United States of Cannabis allows users to examine state-by-state marketplaces, to see what product types, and what products reign supreme. Here are a few examples of legal states and what LeafLink uncovered:

  • In Colorado, the longest-established legal cannabis market, the top 3 product categories are cartridges, concentrates, and disposable vapes, with pre-rolls rising up as the fastest-growing category;
  • In Pennsylvania, one of the newer medical cannabis states, the top 3 product categories are cartridges, edibles, and flower, with flower being the fastest growing product category in the state;
  • In Alaska, the top product categories are cartridges, concentrates, and vapes, with concentrates being the fastest growing product category;
  • In Michigan, a new recreational cannabis state, the top product categories are cartridges, flowers, and edibles, with cartridges being the fastest growing product category for that state;

In addition to top product categories and fastest-growing product categories, the United States of Cannabis contains information on the biggest brands, product superlatives, most unique products, and even the state flower and producer.

LeafLink’s wholesale marketplace is unique in that each state has a closed marketplace. Retailers access only the products and brands that are available in their state, across 24 different markets. “This allows in-state communities to be built,” says Rubenstein, “Brands are able to promote products in-state directly to retailers,” she says, which helps quite a bit when marketing and advertising regulations are so tight in every state.

Emerging brands can use each state’s distinct cannabis identity to find niche markets and new opportunities to create products in product categories they know people of different states are interested in. 

More about the LeafLink platform can be found at https://leaflink.com/

 


William SumnerAugust 7, 2019
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It’s time for your Daily Hit of cannabis financial news for August 7, 2019.

On the Site

LeafLink

Online cannabis wholesale marketplace, LeafLink announced the completion of a $35M Series B round of funding. The round was led by Thrive Capital. Current investors Nosara Capital, Lerer Hippeau, Wisdom VC, and Thought Into Action Ventures also participated in the round alongside L2 Ventures.

Columbia Care

Columbia Care Inc. (NEO: CCHW) (OTCQX: CCHWF) reported financial results for its second quarter ending June 30, 2019, with revenue increasing 102% to $19.3 million and 50% sequentially. The net losses grew to $33.7 million versus $4.2 million for the same time period in the previous year. The company blamed the losses on the “recognition of listing fee and share-based compensation expense, as well as higher operating expenses related to the company’s expansion in both new and existing markets.”

The Green Organic Dutchman

The Green Organic Dutchman Holdings Ltd. (TGOD)  (TSX: TGOD) (US: TGODF) has submitted an application to list its common shares on the NASDAQ according to a statement from the company. “This is an important step in the growth of TGOD, one that will broaden our investor base and increase access for international investors as we build the leading global organic cannabis brand”, commented Brian Athaide, CEO of TGOD.

Guest Post: The Legal Status of CBD Oil in Italy

The issue of legalisation of cannabis and its derived products has been under discussion for decades in Italy. However, with each passing year, the legal status of cannabis and CBD products only gets murkier.

In Other News

Pasha Brands

Pasha Brands Ltd. (CSE: CRFT) (OTC:CRFTF) (FSE:ZZD) announced that it has secured eligibility from the Depository Trust Company (DTC) to list its shares on the OTC Markets. “We are very pleased to have obtained DTC eligibility,” said Patrick Brauckmann , Executive Chairman of Pasha Brands. “This status will make the process of trading our stock in the United States much easier. We expect that this will make our shares available to a larger percentage of the investment market, which should improve the liquidity of our shares and therefore benefit Pasha and our shareholders.”

GW Pharmaceuticals

After the market close yesterday, GW Pharmaceuticals (NASDAQ: GWPH) announced that it has released its financial results for the second quarter, ending on June 30, 2019. Revenue for the quarter was $72 million, the vast majority of which was generated from sales of CBD-based drug Epidiolex ($68.4 million). Net income was $79.7 million, up from a net loss of $84 million in the same period of the previous year. “We are pleased to report a strong second quarter of sales of Epidiolex in the US, reflecting high demand by US patients, increased prescribing by healthcare providers, and ongoing progress in payor coverage determinations,” said GW CEO Justin Gover. “In Europe, we are pleased to have recently received the positive opinion from the CHMP which clears the way for an expected approval in October.”

CV Sciences

CV Sciences, Inc. (OTCQB:CVSI) announced the release of its financial results for the second quarter, ending on June 30, 2019. Revenue for the quarter was $16.9 million, representing an increase of 36% over the same period in the previous year. The gross margin improved slightly, rising from 70.8% to 70.9%. Operating income was $1.3 million. “We remain highly confident in the long-term growth of hemp-based CBD and will continue to lead the industry in quality, innovation and both regulatory adherence and support as the market develops,” commented CV Sciences CEO Joseph Dowling.


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