America’s state-legal cannabis industry is one of the youngest and fastest-growing industries in the country. In just a couple of years, players in the cannabis game have been able to generate billions of dollars in sales, and most experts project massive growth for cannabis. However, despite being extremely profitable, the marijuana and hemp sectors are wrought with pitfalls, including supply chain issues, long lead times and uneven regulations across state lines. To ensure that your packaging is compliant with packaging regulations and doesn’t eat into your profit margins, keep the following tips in mind when you contract packaging suppliers.
According to a variety of executives from cannabis companies in the United States, desirable qualities such as communication, transparency and quality should be your main focus. Brook Allman, the founder and head of product at Platinum Brands, says you need a packaging supplier who will meet deadlines on a consistent basis and warn you beforehand about potential delays. The last thing you want is to slow down or halt production since your packaging supplier didn’t inform you of incoming delays. Similarly, Jonathan Persofsky, the cofounder and CEO of Green Gruff, advises players in the marijuana sector to find suppliers with accurate forecasting abilities to ensure they always have enough packaging on hand.
Reliability is essential, says the vice president of marketing at Theory Wellness, Thomas Winstanley. Can the suppliers deliver on their promises, including quality, price points or timelines? You will want a supplier that can always be counted on to keep their word.
For Chris Lane, the chief marketing officer at Airfield Supply Co., his goal is to source packaging suppliers who meet his company’s sustainability and recyclability values. With climate change and waste becoming more pressing by the day, sourcing sustainable and recyclable packaging will limit your products’ impact on the environment and attract customers who are on the lookout for ecofriendly products.
Experience is equally important, says Samip Shah, the chief operating officer at C3 Industries. A packaging supplier that has experience working with a variety of businesses in different industries will have solid problem-solving capabilities, he says.
Conversely, you should stay away from packaging suppliers that don’t put quality and timely delivery first, says Cortney Smith, CEO and founder of DaVinci. Another red flag you should keep an eye on is poor communication. Allie Marconi, the senior director of marketing at Copperstate Farms and Sol Flower, says suppliers that offer a swift response and a strategy for addressing your queries are best suited for your long-term goals.
Startups in the marijuana space would do well to borrow a leaf from companies such as Simply Sonoma Inc., which have fine-tuned their processes for selecting different vendors in order to deliver products with a high degree of consistency despite the shocks the global economy has faced in the recent past.
NOTE TO INVESTORS: The latest news and updates relating to Simply Sonoma Inc. are available in the company’s newsroom at https://cnw.fm/Sonoma
CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.
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