The WeedWeek California Pro newsletter

Every Thursday morning the newsletter delivers exclusive reporting and analysis about what’s happening in the California market and why it matters for your business.
(See an example here.)

September 8 2022,

TOGETHER WITH

THE BIG IDEA

Happy fall and greetings from WeedWeek’s new HQ in Long Beach, California.

Let’s get to it:

  • Exclusive: We tested top Calif. prerolls for potency inflation

Plus lots more.

I’ll be at the Benzinga conference in Chicago next week. Say hello.

Alex 

*

Follow us on TwitterInstagram and LinkedIn!

*

WeedWeek regularly links to paywalled content

*

Our advertising policy

WHAT YOU MISSED IN WEEDWEEK CALIFORNIA PRO

El Blunto
Via Flower Company

WeedWeek test of seven California preroll brands suggests potency inflation is close to ubiquitous in the product category. 

  • The seven brands we tested include some of the top selling brands in California: El Blunto (Albert Einstone’s), Field (Glass House), Jeeter (DreamFields), KingRoll (StateHouse), Lowell, Pacific Stone and Raw Garden.

Of the seven brands (and nine total products) included, all of them tested below the THC levels on their label. The implied potency inflation on various products ranged from  14% to more than 500%.

How’d your favorite brand do?

GET 20% off your subscription to with promocode WWCalPro20.

LATEST PRESS RELEASE

Natural Lip Balm Brand, P
Natural Lip Balm Brand, Phat Lip, Releases New Skin-Renewing CBD Lip Balm Powered by Natural Fruit Terpene Infusion
Fort Lauderdale, Florida (Newsworthy.ai) Tuesday Apr 19, 2022 @ 2:00 PM Central — Phat Lip, the all-new lip healing and moisturizing expert on the scene, has released its CBD & Terpene infused lip care line to finally show the world...

Feature your company news in WeedWeek

LATEST Cannabis Industry Jobs

Hiring? Get your position in front of the most influential audience in cannabis. Click here to Start!

SEE ALL JOBS

UP TO SIX STATES COULD LEGALIZE IN NOVEMBER

Public domain

The Hill looks at the six states that could legalize in November:

  • South Dakota’s bill would legalize without creating a market. The idea is to avoid the lawsuits that killed the REC initiative the conservative state passed in 2020.
  • Arkansas’ board of electors recently derailed a REC initiative, but activists are taking it to the state supreme court.
  • Deep blue Maryland is voting on a REC constitutional amendment that would bypass Republican Gov. Larry Hogan, who is ambivalent on legalization.
    Marijuana Moment 
  •  Missouri’s REC proposal, like Maryland’s, would expunge some past pot convictions. The Kansas City Star has more.
  • MED state North Dakota is likely to vote on REC.
  • Oklahoma’s Supreme Court could put off the REC vote.
    AP
  • NORML’s Paul Armentano criticized Nebraska’s Supreme Court for killing a MED ballot initiative.

Read The Hill story 

*

Are you registered to vote?

QUICK HITS

National:

Business:

State and local:

Health and science:

Fun and interesting:

NOTABLES

Company Milestones:

Job moves:

View our privacy policy here.

May 6 2022,

TOGETHER WITH

THE BIG IDEA

Hi all,

Here’s my dispatch from Hall of Flowers.

Next week, don’t forget, we’ll be starting Thursday morning conversations in WeedWeek Discord, a few hours after the newsletter drops.  

Today:

  • Fun at Hall of Flowers
  • Seven brands with interesting business models

Enjoy,

Alex

*

Our advertising policy.

*

Send tips, press releases, concerns, feedback and criticism to hello@weedweek.com

FUN AT HALL OF FLOWERS

 

Courtesy of Luchador

The Star Wars themed party for distributor Herbl, was already bumping when two big guys had a beef and stripped down to their leotards. It was a promotion, of course, for the edibles brand Luchador.

Wrestling, is fake, but up close it looks and sounds real. Surrounded by a tight circle of cheering budtenders, it had a frisson of fun and daring that similar stunts rarely do.

Cannabis is more fun, and to my mind more appealing, when it doesn’t take itself too seriously. So in a market where the overwhelming mood is doom and gloom, it was refreshing that everyone at Hall of Flowers seemed eager to shake the pandemic and enjoy themselves.

Wellness seemed to be on the back burner. Instead brands like Moxie and Papa’s Herb brought fresh, contemporary takes on classic American motifs. Korean-inspired streetwear brand Sundae School delivered a natural extension with Mochi gummies. And Pure Beauty raised eyebrows with its menthol cigarette joint. (Menthol tobacco cigarettes could soon be banned nationwide.)  

  • Nor did I detect much pot snobbery. No one was bashing wedding cake clones.

The good mood might also reflect that the operators able to attend Hall of Flowers represent only a small percentage of the market.

Rashaan Everett, founder and CEO of delivery company Good Tree, said the event, with the company’s hot pink booth in the baking sun represented an outlay of $100,000 which he hoped to make back with 33 orders of $3,000. Plenty of companies aren’t in a position to take that kind of risk.

  • The delivery service, which operates in SoCal, the Bay Area and Sacramento is the biggest equity business in California, with 200 employees, and perhaps the country. 

DOGWALKERS

Filings suggest more upheaval at TPCO

Michael Bowen, a financial industry veteran and must-follow on LinkedIn for news dug out of SEC filings, notes that California operator TPCO “had to pay off [departing] COO [Dennis O’Malley] to stay quiet.”

Also noted in the filing, (and by Bowen) three TPCO directors are departing: Former Yahoo CEO Carol Bartz, former Barracuda Networks CEO Jeffry Allen and Desiree Perez, CEO of Roc Nation.

  • Perez was effectively Jay-Z’s representative on the board.
  • TPCO did not respond to a request for comment.

WeedWeek recently explained why the company wrote down $654M last year.

Another question about Fresno licensing

Fresno, the largest city in California without a pot shop, began its licensing process in 2020. The city has awarded 21 licenses but none have opened thanks to appeals, lawsuits and other delays.

The San Joaquin Valley Sun recently obtained a letter which shows former major league pitcher Matt Garza, the local owner of applicant Authentic 559, contacted Mayor Jerry Dyer (R) in violation of a clause prohibiting contact between applicants and relevant officials about their application.

  • A social equity applicant was disqualified for breaking the same rule. A city spokesperson didn’t respond to requests for comment. 

Without any dispensaries open, Fresno isn’t collecting pot taxes.

QUICK HITS

Business:

Legislation:

  • The state senate governance and finance committee advanced SB 1336, a labor-supported bill which would offer cannabis businesses tax credits equal to “employment compensation, safety-related equipment and services, and employee workforce development and safety training.”    

Regulation:

  • Three quarters of California’s nearly 13,000 licenses are still provisional, a sign of backlog at DCC.
    North Bay Business Journal 

Legal:

  • A federal judge threw out claims that corrupt law enforcement officials conspired to extort Mendocino Co. growers.
    Courthouse News

Crime: 

Local:

Fun and interesting:

CHART OF THE WEEK

This week’s data, from point of sale software provider Cova, looks at 4/20 sales across its shops in two big SoCal counties. Recent same store growth looks especially strong in Riverside. 

View our privacy policy here.