The number of baby boomers buying marijuana increased 19% in 2017 in comparison with an year earlier, the highest of any generation. Vaporizers and food items are most widely used among millennials, while tinctures are most widely used among baby boomers. On Inauguration Day 2017 (Jan. 20), Eaze sales increased 21%, rendering it the seventh-most popular holiday for ordering cannabis, more than Cinco De Mayo (May 5), Memorial Day weekend and Mother’s Day. Other popular days include government holidays including President’s Day as well as the July 4th, which ranked as the third- and sixth-most favored delivery days, correspondingly.
Consumers favor ready-to-use, convenient consumption methods like vaporizers, edibles and prerolled marijuana cigarettes. In 2017, vaporizer sales increased 191% and preroll sales increased 267% from 2016. Sales of loose kush for sale in USA, on the other hand, are wilting, having dropped 43% over the past year. Consumers are turning to marijuana being a wellness product for such things as sleeplessness, anxiety, joint pain as well as other ailments. 45% of respondents said they replaced sleeping pills with marijuana.
Meanwhile, other web-based services like marketplace LeafLink Inc. are using the net to get in touch marijuana growers and brands with retailers. LeafLink, which launched in 2016 now employs 25, facilitated $18.2 million worth of transactions in December and is on track to facilitate $500 million worth of B2B marijuana transactions in 2108, says Ryan Smith, LeafLink’s 26 year-old co-founder.
Everything is changing so quick. People say twelve months inside the marijuana sector is like seven somewhere else. Cannabis retailers have typically managed their ordering process through email, sms messages and calls using a decentralized web of cannabis flower, edible, concentrate and topical vendors, LeafLink says. “As a purchasing manager at a dispensary you may have 25 to 50 brands on your own shelves, and also you used to have to get emails, PDFs, text messages and telephone calls from brands about what was available so when. It absolutely was old school,” Smith says.
The LeafLink marketplace lets them place all orders in a single legally compliant shopping website. The cannabis vendors then manage their incoming orders using the platform’s business tools, including CRM, data reporting, order status tracking and fulfillment, the business says. LeafLink will not process payments, however.
“LeafLink is an order management platform, and so the orders are performed online through our platform, but the brands and retailers handle their payments as they usually have offline,” Smith says. “There are challenges around banking in the industry, so today we don’t provide that service. Companies settle face-to-face.”
1,850 dispensaries utilize the platform and 450 brands sell through it, LeafLink says. To utilize the marketplace, a dispensary sends its state license to LeafLink for review and when approved, LeafLink displays marijuana brands the specific dispensary is legally allowed to purchase based on state regulations. “Retailers only see what’s they can purchase based on state rules, “Smith says.
LeafLink, which has raised $14 million from investors, collects a fee every month for brands to list out on its marketplace; the services are free for retailers. LeafLink recruits buyers and sellers mainly though its team of eight sales representatives but in addition though online advertising. But marketing is tricky for the industry, he says.
Facebook Inc., Google and Apple Inc.’s app store have a range of constantly changing rules about words and pictures associated with cannabis, Smith says. “On one platform you maybe can’t put up a photo of a marijuana leaf, so you may have to create an image of your logo instead,” Smith says. “I know one cannabis company with the app that took a couple of years to get approved kifsiz the iOS app store.”
Smith’s partner at LeafLink originated from from eBay Inc., and LeafLink built all of its technology in-house. The business is always adapting to the ever-changing regulations in the business, Smith says. “It’s very much an income project,” he says. “In California for example, we have been basically building out our structure while they’re drafting their regulations. Things are changing so quick. People say one year inside the marijuana market is like seven somewhere else.”
Because cannabis is not really legal under federal law, cannabis sellers inhabit a gray area with unpublished rules which are enforced sporadically in terms of advertising their goods online, West says. For example, a cannabis retailer could have a Facebook page for its business, but it can’t make sales offers to consumer. However, Facebook Inc. has not yet clearly defined what a sales offer is, plus some National Cannabis Industry Association members have experienced their pages rejected through the social networking network since they listed their store locations, West says.