Organa Archives - Green Market Report

Debra BorchardtNovember 2, 2017

The Federal government says marijuana is illegal but is sanctioning cannabis advertising in an airport. Organa Brands, one of the largest privately owned cannabis companies launched the first ever in-airport public service announcement (PSA) about cannabis. SecurityPoint Media is the company behind the campaign and whose programs have been vetted by the Transportation Security Administration (TSA).

The campaign will debut in airports in Southern California with branded trays across all terminals at security checkpoints. The message will read, “Cannabis is legal, traveling with it is not. Leave it in California.” It is expected to be seen by 15 million people.

Organa Brands approached SecurityPoint Media with the idea and is paying for the PSA. The airport has the ultimate say over the campaign and its wording. “The TSA doesn’t get involved in ad copy,” said Joe Ambrefe, Chief Executive Officer of Security Point. “All the airport people approved of it,” he added. Ambrefe did concede that the TSA does have its eye on it and would step in if it was problematic. “It’s a positive message,” he said.

TSA officers do not search for marijuana, but if they observe it can refer the matter to a law enforcement officer. The TSA was established in 2001 following the September 11 attacks to detect terrorism and was moved to the Department of Homeland Security in 2003.

“When we first came up with the plan, we thought there was no chance that the airport or the TSA would ever approve us running a PSA in this space. We are still so amazed to see them in use at the airport,” said Brittany Hallett, Marketing Director at Organa Brands. Organa Brands believes this public service announcement will lead the movement for the next generation of cannabis advertising and legitimize their position as a cannabis powerhouse.

“This is a step in the right direction toward further acceptance of cannabis as a mainstream business,” says Jeremy von Heidl, Co-founder, and President of Organa Brands International. “We wanted to get out ahead of recreational legalization in California with a meaningful public service announcement. The security trays have been a great way to reach our consumers and the reaction has been overall very positive. I think it’s a huge sign of changing perceptions around cannabis that you can walk into an airport and see our brands and our messaging in security trays at the checkpoint.”

The 12-month campaign is seeking to educate cannabis consumers as California enters its first year of legalized adult use marijuana. In a statement, the company said, “By running a public service announcement in a major airport for the first year that California offers recreational marijuana, Organa Brands hopes to ensure the focus at the security checkpoint remains safety and security.”

Hallett said, “The message the trays carry is an important one. We’re very excited for the public to have better access to this information as we move into a new recreational market in California.”

Debra BorchardtOctober 2, 2017

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How is it that a man who knew little about marijuana ended up being the CEO of one of the largest privately held cannabis companies in the country?

Ralph Morgan is the current Chief Executive Officer of O.penVAPE, which is the largest branch of Organa Brands. He started his career in healthcare, but as he was climbing the corporate ladder he felt he was moving further away from healthcare.

“I started a dispensary in 2009 with my wife because I knew how to speak to people with ailments and basically that was it,” he said. “I had very little experience with cannabis.” His research into the product told him it was the perfect place for entrepreneurial opportunity. “It’s controversial, a little bit of David and Goliath, a little bit of right and wrong. Great opportunity on the upside for a social change.”

His experience as a dispensary owner, however, showed him that there was a gap in the market for products that were consistent, reliable and safe. This encouraged him and his wife to invest in a MIP or manufactured infused product facility and this was the birth of Organa Labs in 2010.

He invested in CO2 equipment. “It was avant-garde at the time,” said Morgan. Then e-cigarettes started taking off and he started playing around that concept. By 2012, Morgan and his partners had decided that vaporizers were the ideal way to consume cannabis. They felt it was going to be a disruptive technology for the cannabis market and they were right. O.penVAPE was born and the company has grown into a business that does over $100 million in sales each year.

The challenge the company faces now is scaling and growing. Morgan said that picking great partners comes from surviving bad partnerships. “At this size, the stakes are just that much higher. A new partnership means we have to get it right, if we get it wrong, can we recover?” he asked. “Each mistake gets more expensive. We made a lot early on, but the costs were low.”

Morgan’s time as CEO is about to shift. “I started as CEO of Organa Labs, but I don’t act in that capacity anymore and I’ll officially change that to President of Wellness and CBD products,” he said. The company is planning on expanding the leadership to people outside of the cannabis industry. Morgan said they are looking for folks that have the experience to grow a company that’s on track to be a billion company in a few short years. “I’ve never done that before,” he said. “Despite my tenacity, I’m not qualified. We need better help. We’ve got one chance to get this right.”

Now he is focusing on the medical vertical and wellness line as he gets back to his roots. “It’s something that is near and dear to my heart.” We should have a full launch by Christmas of this year. It will be called OBA, Organa Brands Alternatives.”

With Organa Brands, it will be healthier alternatives to conventional products. Instead of a 5-hour energy drink like a Red Bull, OBA will have an energy option with CBD in it. Some will have THC in them, but the products without THC will be sold everywhere.

The OBA will have several categories, but none including vapes since that’s already available. There will be pressed pills for energy, sleep, relax and rejuvenation. A gel cap product called “Daily Dose” with a small amount of THC or CBD. A point of purchase kiosk is designed to educate the customer. It has a simple decision tree to help drill down into the product. There will be hard copy, plus a tablet to give information.

Morgan said the culture of Organa is hiring someone with the right attitude, passion and moral compass. “We work way too hard for this to be just a job,” he pointed out. “If you’re just here to make a buck you’re in the wrong industry.” Some of Organa’s company perks include free rides on Uber, matching the 401k two to one and generous pay. Morgan said, “If you have the right attitude, there’s a seat on the bus for you.” He’ll be driving the bus.