I’m going to talk to my business mavericks for a moment. You are the cornerstone of an industry that is projected to surpass $22 billion by 2020. What do you get in return? More competition, tighter margins and price wars. It’s the kind of excitement I felt when Virginia Slims told me that I’d “come along way, baby.” I threw up in my mouth a little bit.
As discussed in the previous post, the rate at which new cultivators are entering the market has accelerated, greatly increasing the market’s product supply, resulting in downward pressure on prices. Across the board, wherever there’s a legal market for marijuana, prices have been dropping by as much as half. And as the price of cannabis drops so low as to compete with the illegal marijuana market, still more ganjapreneurs join the ranks.
Here’s an idea: stop selling cannabis, and start selling your business.
If you “only” sell cannabis, it’s hard to create value, capture a premium price and attract new customers. But if you’re selling more than a product — some call it “lifestyle” or “experience” (again, a little vomit) — then you’re different. And the more unique you are, the harder it is for anyone else to copy you.
Differentiation must start with your customers in mind. How can you be more relevant to them before, during and after the transaction? Keep reading …