By: Natan Ponieman, Benzinga Staff Writer
February 24, 2020 12:40pm
2 min read
https://www.benzinga.com/markets/cannabis/20/02/15395430/cannabis-execs-tackle-branding-pot-stock-valuations-dispensaries-are-the-brand?utm_source=Benzinga+Cannabis+Insider+Newsletter+-+Delivered+Weekly&utm_campaign=577bd1b652-MailChimp_Cannabis_Newsletter&utm_medium=email&utm_term=0_4af33b5f7f-577bd1b652-311122729
No significant brand exists in the cannabis space.
That was the eye-opening statement JW Asset Management President Jason Wild made Monday at the Benzinga Cannabis Capital Conference in Miami Beach.
Wild's rationale: when a brand drops out of any dispensary, the store won't see a change in sales, since consumers are not yet loyal to any particular brands.
“Dispensaries are the brand,” Wild said during a VIP panel that included Vireo Health International Executive Chairman Bruce Linton; Rob Sechrist, Pelorus Equity Group's co-founding president; and Jim Kirsch, senior managing director at Alliance Global Partners.
Agreeing To Disagree On Cannabis Branding
The branding situation in Canada is even more extreme because regulators don’t allow for strong branding differentials in product packaging, Wild said.
The panel joked about how consumers move their cannabis products from their original packaging to the more interesting packaging that came with medical marijuana products before the time of adult-use legalization.
Alliance Global's Kirsch disagreed.
“I’m a firm believer of brands, and I’ve seen the power of brands,” he said.
Yet cannabis is still an emerging market and many brands are striving to become dominant, Kirsch said. He expects the introduction of the beverage industry in the cannabis space to become a major driver of brands in the sector.
Cannabis Industry Outlook For 2020
Panel moderator Tim Seymour, the founder and CIO of Seymour Asset Management, asked the group's opinion on the recent drop in cannabis stock valuations.
The U.S. stock market continues to be the most efficient and transparent market in the world, Kirsch said.
“There’s definitely access to capital, in a rational manner," he said, adding that “the irrational exuberance of the cannabis business has passed.”
For Vireo Health International Inc's (CSE: VREO) Linton, the industry should not be focusing on how cannabis is decelerating, but on how it's moving forward.
Today's low charts are an opportunity to reset and go even faster, said Linton, who is also the executive chairman of Gage Cannabis Co. and the former CEO and co-founder of Canopy Growth Corp and Tweed.
Trying to solve many small problems is much harder than solving one big one, he said.
For this reason, Linton said he advises companies to merge and ally in order to look for solutions together, rather than apart.
Moderator Tim Seymour, left; Rob Sechrist; Bruce Linton; Jason Wild; and Jim Kirsch speak Monday at the Benzinga Cannabis Capital Conference in Miami Beach. Photo by Shelby Jones.
Recent FAF News
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 09/25/2024 10:07:22 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 09/24/2024 08:38:30 PM
- First American Financial Corporation Prices Senior Notes Offering • Business Wire • 09/24/2024 12:00:00 AM
- Form FWP - Filing under Securities Act Rules 163/433 of free writing prospectuses • Edgar (US Regulatory) • 09/23/2024 09:29:54 PM
- Form 424B2 - Prospectus [Rule 424(b)(2)] • Edgar (US Regulatory) • 09/23/2024 12:53:37 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 09/21/2024 12:22:54 AM
- Form S-3ASR - Automatic shelf registration statement of securities of well-known seasoned issuers • Edgar (US Regulatory) • 09/19/2024 01:13:29 PM
- Los Angeles Long Beach Glendale Home Prices Up 2.3% Year Over Year in August, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 09/19/2024 01:00:00 PM
- New York-Jersey City-White Plains Home Prices Up 3.2% Year Over Year in August, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 09/19/2024 01:00:00 PM
- Dallas-Plano-Irving Home Prices Up 2.3% Year Over Year in August, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 09/19/2024 01:00:00 PM
- Houston-The Woodlands-Sugar Land Home Prices Up 2.9% Year Over Year in August, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 09/19/2024 01:00:00 PM
- Annual House Price Growth Nears Return to Historical Norms Nationally, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 09/19/2024 01:00:00 PM
- Form 3 - Initial statement of beneficial ownership of securities • Edgar (US Regulatory) • 09/13/2024 09:09:13 PM
- First American Named One of the Best Workplaces in Financial Services & Insurance™ by Great Place to Work® and Fortune for Eighth Straight Year • Business Wire • 09/11/2024 03:30:00 PM
- First American Financial Corporation Increases Quarterly Cash Dividend to 54 Cents Per Share • Business Wire • 09/10/2024 09:15:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 09/10/2024 08:30:10 PM
- First American Financial Corporation Appoints Deborah L. Wahl to Board of Directors • Business Wire • 09/10/2024 08:30:00 PM
- First American Named by Fast Company as One of the Best Workplaces for Innovators for Second Consecutive Year • Business Wire • 09/10/2024 03:30:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 09/09/2024 10:45:09 AM
- First American Title Co-President Sally French Tyler Selected for 2024 HousingWire Vanguard Award • Business Wire • 09/03/2024 05:30:00 PM
- Form N-PX - Annual Report of proxy voting record of management investment companies • Edgar (US Regulatory) • 08/26/2024 08:37:20 PM
- Slowdown in National House Price Growth Seeps into Seventh Straight Month, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 08/20/2024 01:00:00 PM
- Los Angeles-Long Beach-Glendale Home Prices Up 3.2% Year Over Year in July, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 08/20/2024 01:00:00 PM
- Dallas-Plano-Irving Home Prices Up 2.0% Year Over Year in July, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 08/20/2024 01:00:00 PM
- New York-Jersey City-White Plains Home Prices Up 0.9% Year Over Year in July, According to First American Data & Analytics Monthly Home Price Index Report • Business Wire • 08/20/2024 01:00:00 PM
North Bay Resources Commences Operations at Bishop Gold Mill, Inyo County, California; Engages Sabean Group Management Consulting • NBRI • Sep 25, 2024 9:15 AM
CEO David B. Dorwart Anticipates a Bright Future at Good Gaming Inc. Through His Most Recent Shareholder Update • GMER • Sep 25, 2024 8:30 AM
Cannabix Technologies and Omega Laboratories Inc. Advance Marijuana Breathalyzer Technology - Dr. Bruce Goldberger to Present at Society of Forensic Toxicologists Conference • BLOZF • Sep 24, 2024 8:50 AM
Integrated Ventures, Inc Announces Strategic Partnership For GLP-1 (Semaglutide) Procurement Through MedWell USA, LLC. • INTV • Sep 24, 2024 8:45 AM
Avant Technologies Accelerates Creation of AI-Powered Platform to Revolutionize Patient Care • AVAI • Sep 24, 2024 8:00 AM
VHAI - Vocodia Partners with Leading Political Super PACs to Revolutionize Fundraising Efforts • VHAI • Sep 19, 2024 11:48 AM