The cannabis industry is one of the most popular industries currently on the market. This industry is worth billions and has grown significantly since the spread of legalization across the US and other parts of the world. CBD, or medical marijuana, can also be attributed to the rapid growth of this industry because more and more people are now aware of the many benefits of cannabis for health purposes.
If you are an investor or an entrepreneur, you need to know that this industry is highly profitable with many divisions in the market that you can explore. There is a growing demand for cannabis and as a result, businesses within this industry are booming.
The cannabis market is expected to grow to $197.74 billion in 2028 from $28.266 billion in 2021 and if you want to join this industry, here’s everything you need to know.
Large selection of products
The cannabis industry has a massive product pool with so many different options for businesses to branch out into. There are a large number of cannabis products and accessories from cannabis flowers to cannabis consumption devices such as bongs, vaporizers, dab rigs, bubblers, and one-hitters to name a few.
There are now many established brands that sell these products, like Magic Vaporizers which specializes in vaporizers, and the competition is slowly but surely growing. You can also brand out cannabis products such as edibles, cannabis beverages, tinctures, topicals, capsules, and even bath bombs. Additionally, cannabis accessories are also in huge demand and include products such as lighters, ashtrays, crushers, etc.
Some businesses within the cannabis industry don’t necessarily deal with products but services which is another market to explore. Things such as cannabis websites, blogs, and apps can be delivered as well as delivery services. The advantage of being in an industry with such massive potential and a huge product pool is that there is so much room for your business to grow and the market won’t be saturated which enables everyone to become successful.
Selection of cannabis businesses
Within the cannabis industry, there are many different subcategories. A few prominent ones include:
- Marijuana cultivation: This involves the growing of cannabis and requires extensive knowledge about growing seeds as well as knowledge about soil. Cultivation can happen outdoors or indoors which is more complicated. The advantage of cultivation is that cannabis is easy to grow in most climates except in extreme conditions. This is also a very lucrative market because cannabis flowers will always be in demand. Growing cannabis is highly profitable as well.
- Dispensary: dispensaries are a ‘one-stop-shop’ where customers can purchase a variety of different strains of cannabis, including medical cannabis. Dispensaries also deal with other cannabis products such as consumption devices and accessories. This is a huge business venture that involves obtaining licenses; however, this is highly profitable as well.
- Advertising: all businesses need to market themselves and if you want to get involved in the marijuana industry more indirectly but still play an important role, you can pursue advertising. This mainly focuses on the digital space and you will need knowledge of social media marketing, influencer marketing, affiliate marketing, email marketing, SEO, and even events. There are also strict regulations for cannabis marketing which you need to know about. Overall, this is a useful and profitable industry to explore.
Brand identity
Brand identity refers to the way that businesses present themselves to the public. This typically focuses on the visual aspect of branding and includes things such as trademarks, product design, public relations, and marketing. This is how your brand will be recognizable and gain legitimacy which makes brand identity very important. You must also remain original while being familiar with your competition in the cannabis market. Establish the tone of your business through brand identity and pay special attention to logo design.
Staff
Lastly, you need to prioritize finding the right staff for your cannabis business. Ensure that the people you hire are cannabis enthusiasts and have the necessary skill and knowledge so that they can add value to your business.
You need to assemble a reliable team that aligns with the mission and values of your business. You should also prioritize diversity when hiring a team because this welcomes a variety of perspectives that will relate to a much wider customer base within the cannabis community.
