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From Joints to a Lifestyle Movement: the Rise of the Cannabis Economy High Times 2

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From Joints to a Lifestyle Movement: the Rise of the Cannabis Economy High Times 2 FROM JOINTS TO A LIFESTYLE MOVEMENT: THE RISE OF THE CANNABIS ECONOMY HIGH TIMES 2 Contents Introduction ......... 3–8 Beauty ................. 30–35 Green rush, 5 Beauty counter-culture, 32 Controversy, 7 Beauty packaging: sophisticated purity, 35 Why should marketers care?, 8 Food & Drink ....... 36–44 Lifestyle ............... 9–18 High-end edibles, 38 Pro-pot media, 12 Natural high, 40 Luxury brands, 14 Cannabis fine dining, 41 Women and weed, 16 Cannabis: the new alcohol?, 43 Food packaging: Californian cool, 44 Retail ................... 19–24 High-end dispensaries, 21 Experience Culture ...... 45–49 Green e-commerce, 23 420 festivals, 47 Health & Wellness ..... 25–29 Medicinal highs, 28 Asche INTRODUCTION HIGH TIMES 3 Cannabis is undergoing a massive rebrand, shedding its stoner image to become part of a chic, wellness-forward lifestyle. Sundae School HIGH TIMES 4 Introduction Today, one in five American adults has Though it remains to be seen, the access to legal marijuana. Cannabis ramifications of the legalization has proved an economic boon, with movement are starting to be felt. Colorado processing $1 billion in sales in just the first eight months of With the exploding cannabis economy 2017. The industry is poised to create come startup brands, innovative a quarter of a million jobs by 2020, products, new marketing, crossovers, according to a New Frontier Data more regulations—and fresh report—more than manufacturing, controversies. What are the latest utilities, or the federal government. developments? Who are today’s cannabis consumers? And why should The rapid rise in spending and large marketers care? All these questions compound annual growth in the and more are explored in this report. cannabis industry has been compared to the rapid penetration of cable TV in the 1990s and broadband internet in the 2000s. Will cannabis have the same far-reaching effect on society as these two game-changers? One in five American adults has access to legal marijuana. Eaze INTRODUCTION HIGH TIMES 5 Green Rush In the cannabis economy, the to have a disproportionate effect on sales. And Canada numbers are racking up faster than will become the world’s largest country with a national anyone anticipated. According to legalization program. Arcview Market Research, a leader in cannabis market research, the North As the cannabis economy emerges, a new type of American marijuana market posted consumer emerges as well. Today’s marijuana smokers $6.7 billion in revenue in 2016, up are just as likely to be data scientists or entrepreneurs as 30% from the year before. Sales for they are to be musicians or writers. The emergence of a 2017 could jump an additional 33% range of cannabis products allows for items like low-dose to hit $10 billion by 2017. By 2020, the edibles or vaporizers that make marijuana appealing to market could top $22 billion. even the most fitness-conscious purchasers. And that’s before two of the world’s In June 2017, marijuana delivery startup Eaze conducted largest cannabis markets really get a study of its customers. In stark contrast to stereotypes under way. Recreational marijuana of cannabis users, a majority were well-educated and use has been legal in California since well-paid. Just over half of respondents had at least a January 1, 2018, and recreational bachelor’s degree, and 49% made $75,000 or more per weed will be introduced in Canada by year. And while 58% reported that they smoked every midyear. As California is the largest day, 91% had jobs. In both new markets and the popular economy in the United States, its imagination, stoner tropes like “lazy,” “unmotivated,” and legal marijuana industry is poised “antisocial” are fading away. Eaze vaporizer INTRODUCTION HIGH TIMES 6 — By 2020 the marijuana market could top $22 billion. — Eaze vaporizer INTRODUCTION HIGH TIMES 7 Controversy The industry still faces major Yet some of the industry’s challenges open the door to controversies, not the least of which unparalleled creativity. Marijuana is “a very rare instance is the discrepancy between state where small and medium-sized players are getting a and federal law. In January 2018, the chance to take a run at a multibillion-dollar market before Department of Justice suspended an there are any big dogs,” says Troy Dayton, CEO of the Obama-era policy that encouraged Arcview Group. He adds that, as “a multibillion-dollar federal prosecutors to adopt a market growing at a 27% compound annual growth rate hands-off approach in states with with no big institutional multinational companies,” the legal marijuana, opening the door industry has room to grow in surprising ways. to more crackdowns. There’s also a growing backlash against the plant’s new cultural cachet and growing profitization, driven primarily by advocates of those behind bars for possession or distribution. Make & Mary INTRODUCTION HIGH TIMES 8 Why should marketers care? Today, marijuana legalization enjoys longer inherently edgy; if anything, it’s moved towards the broad-based support in the United realms of Instagram gurus and soccer moms. Do brands States. Nearly two thirds (61%) of today have their sense of edge calibrated correctly? Americans supported marijuana legalization in 2017, according to Although normalized in culture, the cannabis industry a Pew Research Center survey, a remains less regulated than many others. With the drug number that has nearly doubled still outlawed or ostracized in many areas, the industry since 2000 alone (31%). Though still boasts fewer large players and less startup funding. The far off, legalizing weed nationwide no result? A sandbox for new technologies that could one longer seems impossible—making day move to a much larger industry once they’ve proved this industry one even the most their effectiveness—particularly in the realm of digital conservative of marketers should payments. keep an eye on. An emerging economy, the cannabis industry can also For consumers, cannabis represents a shed light on trends in other sectors. In sectors such tipping point. Public attitude towards as beauty, cannabis is following an overall societal the drug has undergone a massive trend towards wellness as it becomes a tool for self- shift similar to attitudinal changes to optimization or personal care. As a natural experience sexuality, menstrual health, feminism enhancer unlike anything else on the market, cannabis is and more. A topic that was once also carving exciting new paths in the experience economy. taboo has pushed its way towards Where else might cannabis trends offer a glimpse at a mainstream acceptance. In much larger movement? This report offers some answers. of the United States, cannabis is no Elise by Mineral Health - LIFESTYLE - Canndescent. Ashley Parker, Creative Director. Jacqueline Rubasky, VP Brand Marketing LIFESTYLE HIGH TIMES 10 Cannabis is everywhere today—even for those not in a legal market. Canndescent. Ashley Parker, Creative Director. Jacqueline Rubasky, VP Brand Marketing LIFESTYLE HIGH TIMES 11 Cannabis is everywhere today—even for those not in a legal market. Beauty brands are infusing their The face of the cannabis consumer products with cannabis extracts, while is undeniably changing. As the plant TV characters are learning to light up. loses its stigma, it also loses its Cannabis motifs have made their way stereotypes. Far from its basement- onto high-end fashion, including labels dwelling connotations, cannabis today such as Alexander McQueen, as well has been fully rebranded as a lifestyle as popular streetwear brands. product. And like most of today’s lifestyle brands, it’s chic, ambitious, For regions with a legal market, and increasingly appealing to cannabis is a pervasive theme that demographics well beyond its roots. extends well beyond the dispensary. There’s Vangst, the LinkedIn for weed jobs, as well as cannabis-infused manicures and marketing mash- ups with fast-food chain Jack in the Box. In Los Angeles, there’s even a cannabis-friendly dating service called Highly Devoted. Highly Devoted LIFESTYLE HIGH TIMES 12 Pro-pot media The face of the cannabis economy is for star-studded dinner parties. And rebranding for a generation of viewers Disjointed, a new Netflix comedy, who are young, hip, and increasingly follows a family of “budtenders” pro-pot. Shows such as Broad City running a dispensary. and High Maintenance, the HBO series that follows a marijuana delivery Elsewhere, publishers are launching man in New York City, have created a content sites that blend cannabis normalized image of cannabis users: news with politics, humor, art, and young hustlers who freely embrace more. Broccoli, a magazine launched cannabis culture, while still chasing in November 2017, “explores and other dreams. shapes modern stoner culture by looking at cannabis through an art, With cannabis increasingly normalized culture and fashion lens.” Civilized, on TV, networks are developing the a news and pop culture website, next iteration of shows for the era of reflects the “millions of motivated, legal weed. Queens of the Stoned Age, productive adults who choose to launched in July 2017 on YouTube, enjoy cannabis recreationally,” while challenges the male-dominated The Fresh Toast takes a BuzzFeed- stereotype of stoners with its focus esque approach to cannabis culture on empowered, entrepreneurial alongside medical marijuana news women who use weed. On Viceland, from certified physicians. Bong Appétit challenges chefs to prepare weekly weed-infused dishes Top image: Broad City Bottom image: Queens of the Stoned Age LIFESTYLE HIGH TIMES 13 Brocolli magazine LIFESTYLE HIGH TIMES 14 Luxury brands The surest sign that cannabis has left the products are targeted at those its stoner roots behind is the sheer enjoying social consumption. number of luxury products aimed at the cannabis consumer. These items Elsewhere, Canndescent’s cannabis share many of the same attributes as strains are marketed through an today’s rising lifestyle brands: they’re Instagram page that reads like an organic, experiential, and tied into upscale lifestyle brand: models an active and successful lifestyle.
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