Currently the CEO of Synergy Life Science, Chris has 25 years of experience creating, distributing and supplying quality ingredients.
The cannabis industry’s rapid growth and development offer exciting opportunities for the developers of novel products—but it also presents several challenges in getting these products to market.
With my extensive experience introducing products to the cannabis and cannabinoid industries as the head of Synergy Life Science, I have learned several essential techniques to keep at the center of any product-to-market strategy. These methods will allow you to optimize your product-to-market strategy in the cannabis industry and help your company succeed.
1. Perform ample cannabis market testing and validation.
Cannabis, and especially novel cannabinoids, are burgeoning industries. Their novelty means that manufacturers, retailers and other professionals have plenty of opportunities to find a niche for themselves, their businesses and their products. However, these exciting new industries are also extremely competitive as many companies vie for a spot at the table.
To find and effectively dominate your niche, performing sufficient market research as part of the product development process is critical. A few questions to answer include: What is the market missing? What do customers want? What do they need? Where is it legal to operate the type of cannabis business I run?
It’s also crucial to research any other companies in your target niche. Ask yourself the following: What makes them your competitors? What defining features does your product have that will allow you to differentiate yourself and outpace them as a market leader?
Performing research on every market aspect is especially important in a specialized, regulated and highly competitive industry like cannabis. For example, at my company, rigorous research is second nature. Even if you are hoping to enter a less specialized subsection of the cannabis industry, however, I’ve found research is still the key to effectively leveraging your competitive advantage and ensuring operations are legally compliant.
2. Identify and target your ideal cannabis product consumers.
Use the market research you performed previously to help you figure out who will want or need your new product. A few things to consider include: How will you target them? How will you get your product before your audience while complying with advertising regulations? How will you clarify to them that this product is right for them?
Once you determine your new product’s target market, you can work on your customer acquisition and retention strategies. Consider: How will you capture new customers? How will you ensure the loyalty of existing ones?
Leveraging the connections and professional relationships you and your company already have can be extremely beneficial in garnering customer attention for your new product. Whether you are marketing to people already familiar with your brand or looking for mutual connections with new and prospective customers, leveraging a human connection can go a long way to encouraging them to become clients.
My company, for example, recently released a new piece of consumption technology compatible with the cannabinoid ingredients we offer and backed by the same consumer-oriented scientific approach. However, it is slightly outside our typical offerings and multifunctional across multiple industries. As we began to market this product, we segmented the market and targeted new and existing clients with slightly different approaches, paying equal attention to each group.
3. Emphasize flexibility and adaptability in your go-to-market cannabrand strategy.
As I’ve mentioned, the cannabis industry is fast-evolving; the rules, regulations and requirements surrounding cannabis change quickly from state to state. Correspondingly, cannabis market trends and consumer interests are also constantly shifting. It is, therefore, essential to keep flexibility at the core of your go-to-market strategy.
Consider employing principles of phased growth or testing multiple iterations of the same product to see which one performs best in the market as it is now. Futurecasting is also imperative when introducing a new product, but in an industry like cannabis, flexibility must remain at the center of your strategy.
Focused strategies can lead to successful cannabis product launches.
Introducing a new product to the market can be an exhilarating time for a company, full of promise for future developments. However, in industries that are prone to rapid changes and uncertainty, like the cannabis and cannabinoid industries, introducing a new product can also be tricky. Keeping flexibility, relationships with new and existing customers and ample research at the center of your plan can help you to optimize your strategy and ensure your product launch is successful.
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