On the first day of Gasoline Gas Cannabis Capital Conference in Chicago, Nancy Weissman, CEO of Wana brands; Luke Anderson, co-founder of Can; and Erin GoreFounder and CEO of garden societyjoined Madison FioreCEO of a cannabis marketing agency Mattio Fioreand Cy ScottCEO and co-founder of a cannabis data company Headphones Inc., in a panel discussion on how cannabis brands can scale outside of the multi-state operator structure.
Panelists shared their strategies for scaling their brands’ footprints.
Wana’s scale-up story
“Wana began with an initial relationship that was loosely structured as a joint venture, which evolved into a royalty-based model that evolved over time as the brand became better known,” Whiteman said.
“We provided the intellectual property, training, and marketing resources, and our partners handled all manufacturing and distribution. We understood that we were more successful where we had more control over marketing and sales, so we evolved into a revenue-sharing structure.”
In the deals Wana has signed over the past four years, Wana’s partners will handle manufacturing and Wana will handle at least some of the sales, the CEO said.
How a cannabis beverage brand scales
The path for Cann, a cannabis beverage brand, was different. The entrepreneurs behind it focused on the asset they wanted to offer to the market.
“We started making the product and trying to see if we could commercialize a 2 mg THC drink. Once we figure that out, we realize we need to scale it. My recommendation is to start with a city and a retailer. And if you can win, you have a statewide case, and then if you win in that state, think about taking on the complexity of other markets’ regulatory compliance,” Anderson said.
Anderson explained that Cann first formulated the drink without cannabis and ensured consistent quality.
“We’ve maintained quality control by purchasing raw materials and unflavoring cannabis so it doesn’t impact…
