420 with CNW — How the Marijuana Industry Is Leveraging the CPG Technique

The state-legal cannabis industry has come quite a long way, all things considered. After decades of racially motivated prohibition and the proliferation of anti-cannabis propaganda, Americans in dozens of states can now legally access the controversial plant. Dozens of states now allow medical marijuana while nearly 20 states have passed recreational cannabis legislation, building a massively lucrative state-legal cannabis market and attracting plenty of new businesses. Coincidentally, a lot of the talent drawn to America’s nascent cannabis industry is from the consumer packaged goods (“CPG”) space, and these experienced professionals are applying techniques they learned to the young but lucrative sector.

Consumer packaged goods companies have been around for decades, and they have pretty much standardized the techniques for taking a CPG from initial development all the way to profitability. But since the cannabis industry has legal and regulatory considerations that most other industries don’t, mostly thanks to its federal status as a Schedule I Controlled Substance, leaders in the cannabis space have been careful with how they apply CPG techniques. Presently, most forward-thinking cannabis companies are using a variety of different form factors collectively called Cannabis 2.0.

While the industry was still in its infancy, Cannabis 1.0 was the main model. It mainly consisted of cannabis flower lumped into two categories: indica and sativa. There was limited product differentiation and few standards for product safety, but as the industry grew, states began setting regulations for product quality, the market saw an influx of different cannabis products and the customer base grew. Leaders in the cannabis space are now leveraging CPG techniques to ensure their products remain marketable and relevant as the industry matures.

With the cannabis market now proliferated with all kinds of products, including edibles, concentrates, and beverages, branding has become especially crucial, says Greenlane Holdings CEO Nick Kovacevich. Branding will allow cannabis companies to create differentiation and better connect with their customers. This will help cannabis companies carve out portions of the ever-increasing cannabis market as more consumers purchase cannabis products. And to cater to the growing consumer base, Cannabis 2.0 products are diversified to meet different consumer needs and wants, just as in the CPG space.

Curaleaf CEO Joseph Bayern is also chiming in, noting that CPG companies achieve profitability by understanding their customers’ needs and developing better products than their competitors to meet those needs. Cannabis companies that are looking to expand past state borders have also been held back by the patchwork regulations governing America’s state-legal cannabis space. To work around this, multistate operators are installing individual operations that can produce products that meet local, state and municipal standards and ensure customer satisfaction.

Companies in the cannabis space are also adopting CPG strategies such as upper and lower funnel marketing and good-better-best pricing that have had success for consumer packaged goods companies, says Adam Grablick, CEO of Kiva Confections. Moving forward, he says, cannabis companies will need to focus on positioning, segmentation, product points-of-difference, and evolving consumer needs and wants to ensure their brands stay competitive.

As the industry grows over the coming years, we are likely to see a lot more innovation from sector players such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) as the fight to consolidate market dominance intensifies.

NOTE TO INVESTORS: The latest news and updates relating to Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) are available in the company’s newsroom at https://cnw.fm/RWBYF

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CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

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420 with CNW — Scientists Uncover Cause of Cannabis’ Distinctive Odor

Cannabis has a rich, distinctive odor that’s hard to forget. While plenty of cannabis consumers, especially recreational users, enjoy the skunk-like odor, many users do not. It can be extremely pungent, sticks to clothing and can be hard to get rid of. This makes it difficult to consume either recreational or medical cannabis flower in densely populated communities such as high-rise apartments without affecting others. Now, a new study carried out by a team of California scientists has uncovered the chemical compounds responsible for marijuana’s characteristic aroma.

Previous studies on marijuana’s odor looked mostly at terpenes, which are aromatic compounds produced by most plants that yield a wide range of aromas. Cannabis produces more than 150 terpenes, so it’s only natural that these aromatic compounds create their unique, unforgettable odor. However, scientists from Abstrax Tech, a California-based cannabis research company, have found that in marijuana’s case, terpenes are not responsible for its aroma. Rather, the distinctive smell is caused by a newly discovered family of compounds called prenylated volatile sulfur compounds (“VSCs”).

Coincidentally, skunks also rely on several VSCs to create their acrid spray. This led the scientists to question whether these particles played a role in marijuana’s aroma. To test their hypothesis, they used a custom 2D gas chromatography system equipped with three types of smell detectors to analyze flower from three different cannabis varieties. After the analysis, a four-people panel categorized how pungent each marijuana variety was on a scale of 0 to 10. They found that the Bacio Gelato strain boasted the highest VSCs concentration and had seven different types of prenylated VSCs.

Some of the VSCs found in Bacio Gelato were also present in other cannabis strains. Generally, the team concluded that five types of VSCs were associated with sulfuric or skunk-like aromas. The most common VSC in the most pungent cannabis strains was 3-methyl-2-butene-1-thiol (“VSC3”). This is the compound associated with the smell and flavor of beer that goes bad after being exposed to UV lights, also referred to as “skunked” beer. VSC3 is also present in the cannabis concentrates that are used with vaping products.

Prenylated volatile sulfur compounds are at their strongest and most concentrated toward the end of the flowering stage. Prenylated VSCs achieve peak potency during the curing process when cultivators put marijuana buds in airtight containers to conserve flavor and aroma. According to the researchers, VSCs can provide cardioprotective and anti-cancer benefits.

Now you know that the skunky aroma is one way to ascertain the quality of cannabis flower, whether you are buying from established entities such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) or from any other supplier in your area.

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420 with CNW — Insurance, Labor and Financial Groups Urge Legislators to Enact Cannabis Banking Reform

Recently, the United Food and Commercial Workers Union, Credit Union National Association, the American Bankers Association and 11 other organizations sent a letter to Senate leadership urging members to enact cannabis banking reform as part of the National Defense Authorization Act.

The letter implores members of the Senate to adopt language that protects financial institutions that work with state-legal marijuana businesses in the defense bill. Federal data shows that most financial institutions are hesitant to have marijuana companies as clients, which is most probably because of the plant’s classification in the Controlled Substances Act.

In the new letter, the labor groups and financial associations stated that they had joined together as the current state of affairs was unsustainable for communities, workers, law-abiding financial institutions and ancillary businesses. The organizations added that enacting the SAFE Banking Act would also offer legitimate businesses access to necessary protections and insurance products that are offered to other businesses.

The organizations continued explaining that the banking reform would strengthen national security and support the thousands of veterans who depend on the marijuana industry for employment, medical treatment or business opportunities. In addition to this, the groups noted that workers in marijuana-related businesses were constantly in danger because of the cash intensive transactions they completed every day.

The letter maintained that while the organizations understood that establishing a true federal regulatory framework for marijuana was a lengthy process, they believed that the banking reform was a crucial first step in ensuring that legal marijuana marketplaces were transparent, legal and safe.

Other organizations who signed off on this letter include the National Association of Realtors, the Electronic Transaction Association, the National Bankers Association, the American Land and Title Association, the Wholesale & Specialty Insurance Association and the National Association of Mutual Insurance Companies.

In November, the Credit Union National Association along with other credit union associations sent a similar letter to the Senate committee leadership. Members of the Senate Armed Services Committee also sent a letter to legislators urging them to include the SAFE Banking Act in the final National Defense Authorization Act.

Shortly after this, Senators Michael Bennet and John Hickenlooper from Colorado made a similar request in a separate letter to the Senate. Thus far, the House has already adopted language from the SAFE Banking Act in its version of the defense legislation.

However, the measure has stalled in the Senate, with the current Senate Majority Leader suggesting that he’d consider enacting the SAFE Banking Act if it contained provisions on social equity.

Enacting cannabis banking reforms could ease the headaches that the entire industry, including companies such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF), have to deal with on a regular basis.

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CannabisNewsBreaks – Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) Focusing on Continued Growth of Top-Line Revenue, Bottom-Line Results

Red White & Bloom Brands (CSE: RWB) (OTCQX: RWBYF) has officially entered the second phase of a three-phase development strategy that captures its expansion plan in Florida after installing, commissioning and loading five of 30 planned modular grow pods, which are already growing plants. RWB, through its subsidiary Red White & Bloom Florida LLC (“RWBFL”), is fast-tracking the remaining 25 pods. Collectively, the 30 pods will provide about 19,000 square feet of operating space with an expected yield of 10,000 pounds of high-quality flower annually. RWB anticipates this annual yield will generate $30 million in additional revenue. RWBFL also successfully produced the first batch of chocolates from its new Sanderson production facility, announced in early September. A recent article reads, “The three-phased development strategy aligns perfectly with [RWB CEO Brad] Rogers’ summary of the company’s focus for the remainder of 2021 and throughout 2022. ‘The company will focus on the continued growth of our top-line revenue and bottom-line results through expansion of our house of brands that continue to gain momentum, fortification of our vertically integrated businesses and the synergies from our M&A success,’ stated Rogers.”

To view the full article, visit https://cnw.fm/8yJCw

About Red White & Bloom Brands Inc.

The company is positioning itself to be one of the top three multistate cannabis operators active in the U.S. legal cannabis and hemp sector. RWB is predominantly focusing its investments on the major U.S. markets, including Florida, Michigan, Illinois, Massachusetts, Arizona and California with respect to cannabis, and the U.S. and internationally for hemp-based CBD products. For more information about the company, visit www.RedWhiteBloom.com.

NOTE TO INVESTORS: The latest news and updates relating to RWBYF are available in the company’s newsroom at https://cnw.fm/RWBYF

About CannabisNewsWire

CannabisNewsWire (CNW) is an information service that provides (1) access to our news aggregation and syndication servers, (2) CannabisNewsBreaks that summarize corporate news and information, (3) enhanced press release services, (4) social media distribution and optimization services, and (5) a full array of corporate communication solutions. As a multifaceted financial news and content distribution company with an extensive team of contributing journalists and writers, CNW is uniquely positioned to best serve private and public companies that desire to reach a wide audience of investors, consumers, journalists and the general public. CNW has an ever-growing distribution network of more than 5,000 key syndication outlets across the country. By cutting through the overload of information in today’s market, CNW brings its clients unparalleled visibility, recognition and brand awareness. CNW is where news, content and information converge.

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CannabisNewsBreaks – Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) Announces Q3 2021 Results, Including 93% YOY Revenue Increase

Red White & Bloom Brands (CSE: RWB) (OTCQX: RWBYF), a multistate cannabis operator and house of premium brands, today announced 2021 third quarter financial results. Among the highlights, the company reported a 93% increase in third quarter year-over-year revenue. “In the third quarter, we made excellent progress in laying additional building blocks in our core operating states of Florida, Michigan and California to become more vertically integrated where it will be most profitable,” said Brad Rogers, RWB chairman and CEO. “This will help drive increased revenue and margins for the company. Simultaneously, we are gaining significant market share with our premium Platinum Vape(TM) (‘PV’) and exclusively licensed High Times(R) branded products in select markets as evidenced by ArcView/Greentank’s 2021 Q3 Industry Vape Report, which named Platinum Vape as the No. 1 brand vape cartridge in Michigan.”

To view the full press release, visit https://cnw.fm/YZsjr

About Red White & Bloom Brands Inc.

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420 with CNW — Study Finds That Legalizing Cannabis Doesn’t Cause Increase in Traffic Injuries

A new study has discovered that the move to legalize cannabis in Canada did not translate into a rise in traffic injuries. The study’s findings were reported in the “Drug and Alcohol Dependence” journal.

The objective of the researchers was to investigate claims from prohibitionists who argue that enacting laws to legalize marijuana would make roads less safe. Canada approved laws to legalize marijuana, which took effect in October 2018.

For their study, the researchers conducted an analysis on emergency-department data gathered from the Alberta and Ontario provinces between April 2015 to December 2019. The researchers found no evidence supporting the claims, noting in their report that implementing the Cannabis Act across the country wasn’t linked to evidence of substantial post-legalization changes in visits to the emergency departments in the aforementioned provinces due to traffic injuries among young drivers in particular, as well as all drivers in general.

The researchers say that this was despite the fact that the momentum toward legalizing the recreational use of marijuana globally had raised concerns that these laws could lead to a significant increase in marijuana-impaired driving and, subsequently, traffic-related injuries.

In a press release, Russ Callaghan, the lead author of the study, stated that the research’s findings were a bit surprising, noting that the results could have been influenced by the enactment of stricter federal laws. He gave the example of Bill C-46, which imposed serious penalties on impaired driving under the influence of alcohol and marijuana as well as combined alcohol and marijuana use.

In addition to this study, prior research exists that also challenged the idea that legalizing marijuana contributes to increased traffic risks.

In a separate 2019 report, a congressional research body in the United States stated that concerns expressed by legislators over marijuana legalization making roads more dangerous may not be based on facts. The researchers tasked with investigating this discovered that evidence about the ability of marijuana to impair driving was currently inconclusive.

Other studies have also found on different occasions that traffic fatalities don’t grow after states legalize cannabis. For instance, research that was recently reported in the “Journal of the American Medical Association” discovered that small CBD doses had no considerable impact on an individual’s driving.

However, the study did find that similar amounts of THC were linked to short-term impairment, which the researchers equated to the impairment observed in drivers with a below 1% blood alcohol concentration.

This research provides further proof that allowing cannabis companies such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) to operate is unlikely to worsen the road accident situation in the jurisdictions where marijuana is legal.

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420 with CNW — Survey Finds More Seniors Using Cannabis

The use of cannabis has been increasing among older people as research uncovers more about the impact of the plant’s use among adults. Data from last year’s National Survey of Drug Use and Health shows that the number of adults aged 65 and above who reported recent marijuana use rose by 18%. The survey also found that the number of older individuals who reported that they had used cannabis at some point in their life had increased to 36%, which signals a potential shift in willingness to be more open about prior indulgences.

Individuals with a medical cannabis card in the state of Florida can legally purchase THC products in the state, with those eligible revealing that the process to obtain the card was simple. The process entails taking an eligibility survey to see if one qualifies for medical cannabis in the state. If an individual believes that they qualify, they can then schedule an appointment with qualified medical cannabis doctors.

Before the appointment, patients are advised to get their medical records in order. This especially applies to those who have a prior diagnosis that makes them eligible to use medical cannabis. At the scheduled time and place, patients will be given a recommendation by a physician after their medical records have been reviewed.

After this, they can then complete and submit an application with the state. All applicants have to pay the $75 application fee. The state of Florida usually takes two to four weeks to process the application, after which patients will receive an email on the status of their application.

Trulieve, a marijuana company based in Florida, operates almost 20 dispensaries in the Tampa Bay area. The company, which is one of the leading marijuana providers in the state, gives a 10% discount to consumers aged 55 and above every Sunday.

While the company declined to give data on the total number of its clientele in this age range, its spokesperson revealed that seniors made up a big percentage of registered individuals in the state, noting that the firm had observed a significant increase in the use of marijuana among older people in the last few years.

Additionally, chief marketing officer Valda Coryat stated in an emailed statement that the company had observed that older individuals were receptive to marijuana and its medicinal benefits. Coryat added that in comparison to any other audience, seniors were some of the company’s most passionate and educated users of the medicinal herb.

Given that seniors don’t easily take up unfamiliar habits, the survey results indicating that more seniors are using marijuana is a kind of testament that this demographic is probably benefiting from the medicinal marijuana products manufactured in Florida by companies such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF).

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CannabisNewsBreaks – Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) Eyeing Q1 2022 Delivery of Highest-Quality Retail Products from Florida Grow Operations

Red White & Bloom Brands (CSE: RWB) (OTCQX: RWBYF) recently completed phase one of an aggressive three-phase development strategy for its Florida facilities, located in Apopka and Sanderson. Phase one entailed the rapid development of the Apopka facility. RWB also announced that it had commenced operation in late September after receiving regulatory approval to begin cultivation. “The initial licensed area in Apopka is capable of producing 85g of flower per plant, translating to projected annual revenue in excess of $10 million. The Apopka facility will supply RWB’s phase two of the strategy, which entails activating thirty 16’ by 40’ customized, self-contained growing pods,” reads a recent article. “We brought this site into production ahead of forecast and ahead of budget, and I’m very proud of our Florida team,” stated RWB CEO Brad Rogers. “Despite being relatively new players in the Florida market, I feel we have the most talented team of PhDs and horticulturalists, and an incredible grow infrastructure to bring the highest-quality products, rich in terpenes and cannabinoid content, to some of the best retail locations in the state starting Q1 2022.”

To view the full article, visit https://cnw.fm/kdb4V

About Red White & Bloom Brands Inc.

The company is positioning itself to be one of the top three multistate cannabis operators active in the U.S. legal cannabis and hemp sector. RWB is predominantly focusing its investments on the major U.S. markets with respect to cannabis and the U.S. and internationally for hemp-based CBD products. For more information about the company, visit www.RedWhiteBloom.com.

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420 with CNW — Yet Another Study Says Government-Sourced Marijuana Akin to Hemp

Cannabis research has been hampered by federal law for decades. Only one institution, the University of Mississippi, has been allowed by the Drug Enforcement Administration (DEA) to cultivate cannabis for research purposes, and researchers have long said that the plant material provided by the university is subpar and does not measure up to the cannabis sold in dispensaries across the country.

With some studies finding that this cannabis is often contaminated by mold in many cases, industry stakeholders have argued that the DEA needs to approve more cultivators. Now a new study has revealed what most cannabis researchers already suspected: the cannabis grown at the country’s only federally authorized source is genetically akin to hemp.

While hemp and marijuana both belong to the cannabis family, differing THC levels set them apart. THC is the chemical that makes people feel “high,” and it is usually present in large quantities in marijuana. Hemp, on the other hand, contains little to no THC and cannot intoxicate you. Published in the scientific journal “Frontiers,” the new study found that the cannabis grown on the University of Mississippi farm, and the cannabis sold in licensed dispensaries are genetically distinct. The researchers analyzed 49 samples of cultivated hemp and wild hemp as well as a couple of varieties of commercial marijuana and the “research-grade” cannabis cultivated at the University of Mississippi.

The results of the analysis showed that marijuana from the federally licensed facility and most of the drug-type strains sold in legal cannabis markets had a significant genetic difference, the researchers say. The “research-grade” cannabis was so genetically different from state-legal marijuana that it shared genetic similarities with the hemp samples. As such, the researchers say that based on their analyses, it seems that the marijuana that is supplied by National Institute on Drug Abuse for scientific research is genetically different from retail drug-type cannabis strains. It does not align with what consumers are purchasing and consuming, the researchers say, and they hope that the study’s results will push NIDA and the National Institutes of Health (“NIH”) to support the cultivation of the strains most commonly used by the public.

This study aligns with what previous studies into the matter have found; cannabis research needs plenty of reform. Federally licensed grow facilities will not just have to cultivate drug-type cannabis strains, but most of the different cannabis strains that are represented in the market as well. With millions of Americans already using cannabis medically and recreationally, such barriers to proper cannabis research present a significant public health issue.

Once additional manufacturers/growers are licensed, the future research done will stand a chance of giving findings that closely represent the effects of marijuana products made by industry actors such as Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) rather than those that aren’t reflective of the reality lived by consumers.

NOTE TO INVESTORS: The latest news and updates relating to Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) are available in the company’s newsroom at https://cnw.fm/RWBYF

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CannabisNewsBreaks – Red White & Bloom Brands Inc. (CSE: RWB) (OTCQX: RWBYF) Announces Entry into Phase 2 of Florida Expansion

Red White & Bloom Brands (CSE: RWB) (OTCQX: RWBYF), a multistate cannabis operator and house of premium brands, has officially entered phase 2 of its Florida expansion plan. According to the update, the plan is ahead of schedule with this week’s delivery of 30 modular grow pods to Red White & Bloom Florida LLC (“RWBFL”), a Red White & Bloom Brands subsidiary, at its Apopka, Florida, cultivation location. Phase 2 started with the commissioning and OMMU approval of five pods that have been loaded and are growing plants. RWBFL is fast tracking the remaining 25 pods and expects to have them operational no later than Dec. 1, 2021. “Our Red White & Bloom Florida team has been on time, on target and under budget with the execution of every step of our aggressive three-phase development strategy for our two cultivation centers in Florida,” said Brad Rogers, CEO of Red White & Bloom. “With the delivery of the grow pods and anticipated launch date of Dec. 1st, we are ahead of schedule and on our way to adding $30 million in revenue annually from the pods. Coupled with our cultivation and processing in Sanderson, the additional product will ensure Red White & Bloom has the needed inventory to fulfill inventory requirements at our HT Medical Cannabis dispensary in Springhill and for the next three dispensaries opening in the first quarter of 2022. The locations of the three dispensaries are St. Petersburg, Daytona and Miami Beach.”

To view the full press release, visit https://cnw.fm/MIT00

About Red White & Bloom Brands Inc.

The company is positioning itself to be one of the top three multistate cannabis operators active in the U.S. legal cannabis and hemp sector. RWB is predominantly focusing its investments on the major U.S. markets, including Michigan, Illinois, Massachusetts, Arizona and California with respect to cannabis, and the U.S. and internationally for hemp-based CBD products. For more information about the company, visit www.RedWhiteBloom.com.

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