Marijuana Business Magazine October 2018

I t wouldn’t be fall without pumpkin spice, winter without peppermint, spring without strawberries or summer without lemonade. Cannabis-infused product manufacturers know this, and they’re capitalizing on popular demand among consumers to shake up their product lines with seasonal or limited- release products. These products – from THC-infused sparkling waters to rainbow-colored sugar cookies – can be a boon for brand equity or reap community good- will through corporate social-giving campaigns. But special products can add 5% or more to production costs, and manu- facturers typically don’t mark up the wholesale costs, said Peggy Moore, co-founder of Love’s Oven, a Denver infused-products maker that creates a half-dozen seasonal items per year. So, before infused-product makers start manufacturing seasonal or limited- release products, they should consider: • State regulations that might pre- vent them from getting a seasonal product to market. • Added manufacturing processes that may need to be in place. • When to rerelease a seasonal prod- uct – and when to discontinue it. • Corporate social-giving opportunities. “Without discipline, you could eas- ily disrupt day-to-day operations and introduce risk for errors,”Moore said. Plan for Regulatory Scrutiny Before investing time and money in developing seasonal or limited-release products, identify regulatory barriers that may prevent you from getting the product to market in a timely manner. Some states require additional test- ing or control studies or have strict packaging regulations for new edibles. That means you should be prepared for regulators to nix a special product that doesn’t meet state requirements. Infused product manufacturers in Washington state, for example, must submit product-development plans and package design for new products to both the state Liquor and Cannabis Board (LCB) and the Department of Agriculture, said Oliver Stannard, director of business development for Washington’s Green Labs, the maker of Swifts Edibles, a brand that manu- factures seasonal products, including a pumpkin truffle in the fall. In such a market, timing is a critical factor in developing seasonal or limited- release products. Seasonal, themed or specialty infused offerings can complement a product line without compromising it By Joey Peña ’Tis the Season for Limited-Release Products October 2018 • Marijuana Business Magazine • 75